FHA Loans Many people in the “challenged credit” range will find success through an FHA Loan. These are government-insured loans backed by the Federal Housing Administration. Because these loans are backed by the federal government, restrictions from lenders are less strict—in some cases, approval can even be seen when the individual has experienced foreclosure or ba

How your credit scores are calculated Your credit score is calculated using an algorithm based on five factors. The most recent derogatory items on your credit profile have a bigger impact on your credit rating than older derogatory accounts. The mortgage industry will take your mid credit score to grade your loan worthiness.