Origination Activities Flashcards
1
Q
What are the 6 C’s
A
Credit Capacity Collateral Cash flow/capital Character Common sense
2
Q
What does the housing ratio include
A
Principal interest fire insurance taxes mortgage insurance HOA dues and flood insurance
3
Q
Total debt ratio can’t exceed what
A
40-45% of their gross monthly income
4
Q
What are the three debt categories in the total debt ratio
A
Debt that shows up on a credit report
Debt that is court ordered
Housing
5
Q
What are the 5 components of FICO
A
Precious credit performance Current level of debt Amount of credit history Pursuit of new credit Type of credit used
