Here’s what I’m watching this week. On July 1, Fannie Mae and Freddie Mac released long-awaited historical performance data for two newer credit scoring models — FICO Score 10T and VantageScore 4.0 — a quiet-looking move that’s actually a real step in modernizing the credit scores that sit behind most mortgage approvals (Scotsman Guide, July 1, 2026). It didn’t make big headlines, but it’s the kind of plumbing change that eventually reaches everyday borrowers, so I want to explain it in plain English.
What actually happened
For decades, the credit scores used in conforming mortgage underwriting came from a single, older FICO model. The industry has been working toward allowing two more modern models — FICO 10T and VantageScore 4.0 — as part of an effort by the Federal Housing Finance Agency to add competition in the credit-score space.
Before lenders and investors can lean on a new model, they need to see how loans scored by that model have actually performed over time. That’s what this release provides: the GSEs published historical datasets covering loans acquired roughly from April 2013 through September 2025 for FICO 10T, and from April 2023 through September 2025 for VantageScore 4.0 (Scotsman Guide, July 1, 2026). In plain terms, they handed the industry the receipts so everyone can independently study whether these newer scores predict repayment well.
Why the industry cares
The Mortgage Bankers Association framed the data release as helping “lenders, investors, and technology providers prepare for a successful transition to a fully modernized credit scoring framework” (MBA NewsLink, July 6, 2026). The stated goals behind giving lenders a choice between models are more competition, broader credit availability, and — over time — lower consumer costs.
Newer scoring models can consider things the older model doesn’t weigh the same way, such as trended data (how your balances move over months, not just a single snapshot) and, in some cases, rental or other alternative payment history. The idea is that a more complete picture can help responsible borrowers who don’t score as favorably under the older method.
My take: helpful, but don’t overhaul your plan
I want to be measured here, because this is genuinely encouraging without being an overnight change. This was a data release, not a switch getting flipped on your loan file. Adoption is rolling out gradually — VantageScore 4.0 is available to a limited set of lenders, with FICO 10T slated to follow — so most buyers shopping right now are still being evaluated much the way they always have been.
So what should you actually do with this? Honestly, the same fundamentals that have always mattered:
- Pay every bill on time. Payment history is the heaviest factor in essentially every scoring model, old or new.
- Keep balances low relative to your limits. Because newer models look at balance trends, steadily paying things down can help even more than it used to.
- Don’t open or close a bunch of accounts right before applying. Stability reads well no matter which model is used.
- Check your reports for errors. A modern model can’t fix inaccurate underlying data — that’s still on you to catch.
None of that is new advice, and that’s the point: a more modern model rewards the same good habits, it just measures them a little more completely.
What I’d keep in perspective
I’m not going to predict when any particular lender flips to a new model, or promise that your score will move a certain way — nobody credible can, and it depends on your individual file. What I can tell you is the direction of travel: the mortgage industry is moving, deliberately and carefully, toward credit scoring that paints a fuller picture of a borrower. For most people that’s a good thing over the long run.
If you’re planning a purchase, the smart move isn’t to wait for the “perfect” scoring model — it’s to understand where your credit stands today and what you can realistically borrow. Running a couple of scenarios with our mortgage calculators and getting pre-approved for a conventional loan will tell you far more about your actual buying power than any headline about scoring models. If your credit picture is complicated, send me your situation — we work across 22 states and can help you sort out where you stand and which loan fits.
Sources: Scotsman Guide — “Fannie and Freddie release FICO 10T historical data,” July 1, 2026; MBA NewsLink — “Advocacy Update: GSEs Release Historical Data for VantageScore 4.0, FICO 10T Adoption,” July 6, 2026
About the author: Michael Kerby is the Founder & President at Ignite Loan Partners, NMLS #1163561. Read Michael's bio →
This article is for general education and isn't financial advice or a commitment to lend. Loan programs, terms, and availability depend on your qualifications and are subject to credit approval. Ignite Loan Partners, NMLS #2381991. Equal Housing Opportunity.