Ashley Sellers of Equifax sits down with Jordan Sullivan, Director of Retail Lending at CSL Financial, to explore how modern credit scoring is reshaping mortgage lending. As one of the first lenders to adopt VantageScore for underwriting, CSL shares real-world results, from higher approval rates and lower costs to stronger portfolio performance. The conversation dives into affordability, trended credit data, thin-file borrowers, and why delaying adoption of new credit models may be a competitive disadvantage for lenders navigating today’s evolving credit ecosystem.

Economist Justin Begley of Moody’s Analytics provides our economic update.

In this episode:

Why did CSL Financial adopt VantageScore for underwriting?

CSL Financial adopted VantageScore after internal testing showed it was a stronger predictor of credit risk than legacy models. The lender found it better aligned with borrower behavior and more effective for evaluating thin and non-traditional credit files.

How does VantageScore help lenders approve more borrowers?

VantageScore uses trended credit data to evaluate whether a borrower’s financial behavior is improving or declining over time. This allows lenders to make more informed decisions than snapshot-based models, helping qualified borrowers who may have been overlooked receive approval.

What results has CSL Financial seen using VantageScore?

Since adopting VantageScore, CSL Financial has increased loan pull-through rates from approximately 8% to nearly 20%, while maintaining stable delinquency levels. The lender has also reduced credit-related costs and improved portfolio performance.

Who benefits most from VantageScore-based underwriting?

Borrowers with thin credit files, limited credit history, or past credit challenges benefit most. This includes younger borrowers building credit and older consumers who have paid off debt and have limited active tradelines.

Why is delaying VantageScore adoption a competitive disadvantage?

Lenders who delay adoption risk higher costs, lower approval rates, and less accurate risk pricing. Early adopters like CSL Financial report both operational savings and stronger credit outcomes, making modern scoring models a competitive advantage.

Jennifer Henry of Equifax sits down with Christina Randolph of Freddie Mac to discuss how lenders can drive efficiency, improve data quality, and build resilience through digitization and automation. From reducing origination costs to leveraging tools like Loan Product Advisor, AIM, and verified income data, the conversation offers practical insights to help lenders prepare for the next market cycle while delivering a better borrower experience.

In this episode:

How are lenders improving efficiency in today’s housing finance market?
Lenders are improving efficiency by digitizing and automating key steps in the mortgage process, including underwriting, income and employment verification, and data validation. Tools that reduce manual documentation help lower origination costs, shorten cycle times, and improve consistency across fluctuating market conditions.

What does resilience mean in the mortgage and housing finance ecosystem?
Resilience means a lender’s ability to perform consistently across economic cycles by managing risk, maintaining data quality, and using technology that scales with volume changes. A resilient mortgage operation is prepared for both market slowdowns and rapid growth without sacrificing loan quality or borrower experience.

Why is loan data quality critical for mortgage lenders and investors?
Loan data quality is critical because inaccurate or incomplete data increases defects, repurchase risk, and operational costs. Verifying income, employment, and assets earlier in the loan lifecycle helps lenders deliver cleaner loans, meet investor requirements, and reduce downstream risk.

How can digital income and employment verification reduce mortgage costs?
Digital income and employment verification reduce costs by eliminating manual document collection and repeated reviews. Lenders using automated, source-verified data can save hundreds to thousands of dollars per loan, reduce cycle times by several days, and significantly lower the likelihood of income-related defects.

Emmaline Aliff of Equifax sits down with Matt Orlando, Chief Experience Officer at Informative Research, to unpack one of the most talked-about developments in mortgage lending: FICO’s new Mortgage Direct Licensing program and what it could mean for lenders, credit providers, and borrowers.

In this episode:

What is FICO’s Mortgage Direct Licensing program?

FICO’s Mortgage Direct Licensing program allows lenders and technology providers to license FICO scores directly, rather than receiving them solely through traditional credit reporting agencies. The program is still new, and its full impact on the mortgage ecosystem has yet to be determined.

How could FICO Direct Licensing impact mortgage lenders?

Lenders are still evaluating how the program will affect their overall cost of credit each month and whether it will increase expenses across the loan lifecycle.

What risks does Direct Licensing introduce into the mortgage market?

The program introduces risk across multiple layers of the ecosystem. Credit reporting agencies may now be asked to generate scores—something they have not historically done. Lenders must assess the reliability of these scores, while the broader mortgage market and borrowers face uncertainty as scoring responsibility shifts to a more fragmented landscape.

How might borrowers be affected by these changes?

Borrowers could ultimately bear higher costs if credit expenses rise for lenders. There is also risk tied to accuracy and consistency as new parties begin generating credit scores. The long-term borrower impact remains unclear.