What does Biden’s new mortgage rule mean for YOU? How homeowners with good credit scores will pay $375 of dollars more – while those who don’t pay the bills on time will save $6,000
White House has come under fire for a revamp of mortgage fee rules on May 1
Move will effectively penalize home buyers with good credit scores and help those with poorer ratings
But what does it mean for you? Dailymail.com breaks down the changes
By HELENA KELLY CONSUMER REPORTER FOR DAILYMAIL.COM
Mortgage experts and politicians are up in arms over a revamp to borrowing rules that will see home buyers with higher credit scores penalized in favor of those with lower ratings.
President Joe Biden has come under fire for changing the way Loan-Level Pricing Adjustments (LLPAs) are calculated, which will effectively ‘tax’ those who have built up good credit scores. The new rules come into effect May 1.
In real terms, it means borrowers with a good credit rating – above 740 – could pay as much as $375 extra in the long run while those with poorer scores – below 639 – stand to save up to $6,000.
www.dailymail.co.uk/news/article-12016357/What-Bidens-new-mortgage-rule-mean-YOU.html