Cardinal Financial Works with FICO to Offer First VA Mortgage-Backed Security Decisioned on FICO® Score 10 T
February 26 2024 - 8:00AM
Business Wire
Mortgage Leader to Integrate FICO’s Most
Predictive Score to Help More Veterans Buy Homes
FICO, a leading analytics software firm, has announced that
mortgage leader Cardinal Financial (Cardinal) is the latest in the
movement to adopt FICO® Score 10 T for non-conforming mortgage
loans. The lender is also the first to plan to issue a United
States Department of Veterans Affairs (VA) Mortgage- Backed
Security (MBS) using FICO’s newest and most predictive scoring
model.
As part of this, Cardinal will integrate FICO® Score 10 T into
its proprietary loan origination software, Octane®, to provide an
enhanced valuation of the company’s portfolio. With the adoption of
FICO Score 10 T, Cardinal can benefit from a more predictive and
precise scoring model, to help enable the lender to increase its VA
loan production and help more veterans buy a home.
“At Cardinal Financial, we're dedicated to redefining the home
financing experience, placing a premium on simplicity and
transparency. Our partnership with FICO to integrate the FICO Score
10 T into our operations underscores this commitment, particularly
expanding our assistance to Veterans," said Joshua Mitzner,
Executive Vice President of Capital Markets at Cardinal Financial.
"With the integration of the latest FICO Score 10 T, we're poised
to broaden our support, empowering a greater number of veterans and
their families to realize their dream of homeownership.”
FICO® Score 10 T provides even greater precision in making
lending decisions. FICO Score 10 T can help lenders better manage
credit risk and default rates while extending competitive credit
offers to consumers. FICO Score 10 T can enable an increase in
mortgage originations of up to five percent (without taking on
additional credit risk) and reduce default risk and losses by up to
17 percent. FICO® Score 10 T can also help lenders project cash
flow more accurately.
“With the adoption of FICO® Score 10 T, Cardinal Financial is
proactively enhancing its operations to better serve its customers
by using the most predictive FICO Score model in the market today,”
said Julie May, vice president and general manager of Scores at
FICO. “FICO is thrilled to help enable Cardinal to continue to put
its customers’ needs at the center of every financing
decision.”
FICO is committed to assisting mortgage industry participants
looking to transition to its most current model, FICO® Score 10 T.
The FICO Score Migration Resource Center provides a detailed
guide to support organizations through their score transition with
key planning steps and activities, in addition to implementation
best practices.
About FICO
FICO (NYSE: FICO) powers decisions that help people and
businesses around the world prosper. Founded in 1956, the company
is a pioneer in the use of predictive analytics and data science to
improve operational decisions. FICO holds more than 200 US and
foreign patents on technologies that increase profitability,
customer satisfaction and growth for businesses in financial
services, insurance, telecommunications, health care, retail and
many other industries. Using FICO solutions, businesses in more
than 100 countries do everything from protecting 2.6 billion
payment cards from fraud, to improving financial inclusion, to
increasing supply chain resiliency. The FICO® Score, used by 90% of
top US lenders, is the standard measure of consumer credit risk in
the US and has been made available in over 40 other countries,
improving risk management, credit access and transparency. Learn
more at www.fico.com.
Learn more at https://www.fico.com.
Join the conversation at https://twitter.com/fico &
https://www.fico.com/en/blogs/.
For FICO news and media resources, visit
www.fico.com/news.
FICO is a registered trademark of Fair Isaac Corporation in the
U.S. and other countries.
About Cardinal Financial
Cardinal Financial is a dynamic, forward-thinking mortgage
organization committed to designing an exceptional experience and
tailored home financing solutions for borrowers. Licensed to sell
directly through Fannie Mae, Freddie Mac, and Ginnie Mae, the firm
operates in all 50 states, offering a wide range of lending options
to help more people achieve homeownership. Cardinal Financial's
innovative approach is powered by Octane®, their custom-built loan
origination platform, designed to streamline the lending process
from start to finish. Visit CardinalFinancial.com for more
information.
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version on businesswire.com: https://www.businesswire.com/news/home/20240226018264/en/
Julie Huang press@fico.com
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