BUZZ-FHFA may ease mortgage data requirements, US credit reporting companies’ stocks fall

October 2 - ** Shares of US credit reporting companies fall in premarket trading

** According to Bloomberg, the US Federal Housing Finance Agency plans to ease mortgage loan credit data requirements for Fannie Mae (FNMA.PK) and Freddie Mac (FMCC.PK)

** Fannie Mae and Freddie Mac are two mortgage finance institutions providing funding support to the US housing market (link)

** The report said the FHFA is working on a framework that would require lenders to use credit data from only two credit bureaus, rather than three, when selling mortgages to Fannie Mae and Freddie Mac

** Credit scoring company Fair Isaac FICO.N fell 6.6%, credit reporting agency TransUnion TRU.N fell 2.4%, and consumer credit report agency Equifax EFX.N dropped 3.4%

** According to Bloomberg, the director of the Federal Housing Finance Agency (FHFA), Bill Pulte, could announce this change as soon as October 12

** Earlier this week, Pulte reiterated his previous view that FICO unnecessarily raises consumer costs and subsequently voiced support for lowering mortgage loan credit reporting requirements

** As of the previous trading day's close, the share prices of FICO, TRU, and EFX have dropped 60.9%, 27.5%, and 35.6% respectively so far this year

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