myFICO, the consumer division of FICO (NYSE: FICO), has rolled out the FICO Mortgage Score Simulator, a new tool designed to help consumers better prepare their credit health before applying for a mortgage.
Now available to myFICO Premier subscribers, the new tool simulates how different credit actions could impact several of the FICO Score versions used in mortgage lending. Among the simulated scenarios are the results that could occur if the consumer pays all bills on time, pays down credit card balances, and applies for new credit. According to the company, the tool provides a better understanding of the trade‑offs of different financial decisions without impacting credit scores.
“Buying a home is one of the most important financial decisions a consumer will make, and we realize that FICO Scores play a big role in that journey,” said Geoff Smith, vice president and general manager of Consumer Scores at FICO. “myFICO’s new simulator gives our customers a window into how potential credit behaviors can influence the credit scores lenders rely on most in mortgage decisioning, empowering people to take proactive steps toward their homeownership goals.”
