Less than a month after reducing its pricing for borrowers with higher credit scores, Radian Guaranty Inc. is lowering rates for borrowers with lower scores.
Late last month, the Philadelphia-based organization announced that
it was cutting rates on some Fannie Mae and Freddie Mac loans with high credit scores.
The mortgage insurer made the move
to more closely align with new private mortgage insurance eligibility requirements from the Federal Housing Finance Agency.
On Thursday, Radian said in
eBulletin 2016-3 that it was refining its borrower-paid mortgage insurance rates further.
The latest update will generally lower premiums for borrowers whose FICO scores are less than 660 and whose loan terms exceed 20 years.
In addition, rates will be lowered on loans where the FICO score is less than 700, the term doesn’t exceed 20 years and the loan-to-value ratio in more than 90 percent.
The changes impact M.I. applications received on or after April 7.
