CrossCountry Mortgage Adopts FICO® Score 10 T, Providing Forward Looking Insights for Mortgage-Backed Security Investors (2024)

SAN JOSE, Calif., January 9, 2024 – CrossCountry Mortgage (CCM), the nation’s number three retail mortgage lender, has adopted FICO® Score 10 T. As a forward-thinking industry trailblazer, the lender will use FICO’s newest, most innovative, and most predictive scoring model to support origination and decision making for non-conforming loans, ultimately helping more consumers realize the dream of homeownership.

Additionally, CCM is the first mortgage lender to commit to issuing mortgage-backed securities (MBS) exclusively based on FICO® Score 10 T. This move will enable investors to update their guidelines to accept the most predictive score for MBS and allow the $12 trillion MBS global market to have access to more powerful insights and information. This commitment will be the first step for investors to familiarize themselves with the new score and realize the promised performance improvement. This first ever instance of FICO® Score 10 T applied to an MBS pool will show investors, rating agencies, and other stakeholders a real-world example of the improved predictive performance offered by FICO® Score 10 T.

As an industry leader and first to adopt FICO® Score 10 T, CCM’s commitment to the scoring model is leading the way for a growing number of companies to adopt the model as well.

"By proactively issuing mortgage-backed securities exclusively based on FICO® Score 10 T, we’re helping to empower investors to make smarter decisions,” said Jenn Stracensky, CCM Chief Operating Officer. “We’re excited about the opportunities that the use of FICO® Score 10 T will provide as we continue to offer personalized solutions to our customers.”

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 when extending competitive credit offers to consumers. Compared to the version of the FICO® Score used by the Enterprises today, FICO® Score 10 T can enable an increase in mortgage originations of up to 5 percent (without taking on additional credit risk) or reduce default risk and losses by up to 17 percent. The more predictive FICO® Score 10 T also helps lenders project cash flows more accurately.

“CrossCountry Mortgage’s astute decision to adopt FICO® Score 10 T demonstrates its commitment to innovation, credit access and responsible business growth," said Julie May, vice president and general manager of Scores at FICO. “By leveraging FICO’s most predictive credit scoring model, CCM is at the forefront of meeting the needs of today’s borrowers and investors.”

Press kit