FHFA Eases Mortgage Data Requirements, Credit Reporting Stocks Plummet

The US Federal Housing Finance Agency (FHFA) is considering easing mortgage loan credit data requirements for Fannie Mae and Freddie Mac.

This move could impact the operations of major credit reporting companies, as lenders would only need to use credit data from two bureaus instead of three when selling mortgages to these institutions.

Fair Isaac (FICO.N), TransUnion (TRU.N), and Equifax (EFX.N) have seen their share prices drop following the news. FICO fell 6.6%, TransUnion decreased by 2.4%, while Equifax dropped 3.4% in premarket trading.

As of the previous trading day's close, these companies' shares have plummeted this year: 60.9% for FICO, 27.5% for TRU, and 35.6% for EFX.