eLEND is lowering minimum credit score requirements on select FHA cash-out refinances and conventional loans through the end of the year, joining a growing number of lenders easing restrictions to reach borrowers who previously fell outside their lending guidelines.
The Parsippany, New Jersey-based lender announced Monday that its new CreditEdge program will accept FHA cash-out refinances with decision credit scores of 500 to 579, along with select conventional purchase and rate-and-term refinance loans with scores below 620, subject to automated underwriting approval.
For conventional loans requiring private mortgage insurance, a minimum credit score of 600 still applies. The expanded eligibility is limited to primary residences, and loans must be locked by Dec. 31, 2026.
The incentive is available through eLEND's retail, wholesale, and non-delegated correspondent channels. Manual underwriting, conventional cash-out refinances, and delegated correspondent transactions are excluded.
Lenders Put Existing Agency Flexibility To Work
The conventional loan expansion builds on changes already made at the agency level.
Fannie Mae eliminated its longstanding 620 minimum credit score requirement for new loans evaluated through Desktop Underwriter in November 2025, allowing its automated underwriting system to assess credit risk without relying on a fixed third-party credit score threshold. Lenders must still obtain an eligible third-party credit score for loans delivered to Fannie Mae.
That change created additional room for lenders to evaluate borrowers whose scores previously prevented them from qualifying, although individual lenders can continue imposing their own minimum requirements.
eLEND's CreditEdge program allows eligible conventional borrowers with scores below 620 to proceed when they receive an Approve/Eligible finding from Fannie Mae's Desktop Underwriter or an Accept finding from Freddie Mac's Loan Product Advisor, subject to the lender's remaining requirements. Conventional eligibility under the incentive is limited to one-unit properties.
A borrower whose application previously failed a lender's minimum score requirement may now have another opportunity to qualify, even without an improvement in their credit score.
Earlier in October, United Wholesale Mortgage eliminated its minimum credit score overlays on conventional, FHA, VA, and USDA loans, shifting eligibility decisions toward applicable agency underwriting requirements. UWM's changes apply more broadly, while eLEND's program targets specific products for a limited period.
A Year-End Push For More Production
eLEND is promoting the temporary expansion as an opportunity for its lending partners to revisit previously declined applications, reconnect with borrowers, and close additional purchase and refinance loans before year-end.
"Our broker partners tell us credit score requirements are one of the main reasons they have to turn borrowers away," said Michael Brenning, chief operating officer of eLEND. "That's changing. With expanded credit score requirements on FHA cash-outs and conventional loans, our partners can help clients tap into their equity, get more first-time homebuyers in the door, and close more loans before year-end."
The emphasis on FHA cash-out refinances is notable. ICE's August 2026 Mortgage Monitor estimated that 47.5 million mortgage holders had approximately $11.7 trillion in tappable equity, giving lenders a substantial pool of potential borrowers seeking to access their home's value.
eLEND's expansion also arrives alongside other year-end lending incentives.
UWM has introduced a separate pricing incentive on eligible FHA and VA loans, waiving certain credit-score-based pricing adjustments for borrowers with scores of 580 or higher through Dec. 31.
eLEND is expanding eligibility on select loans, while UWM's incentive reduces pricing adjustments for qualifying borrowers. Both provide originators with additional options for transactions that may have stalled under previous terms.
Credit Competition Moves Beyond Scoring Models
CrossCountry Mortgage recently reported average savings of $2,500 among qualifying borrowers benefiting from VantageScore 4.0, while removing an 80% loan-to-value restriction on its use of the scoring model.
UWM has similarly introduced automated selection of the highest qualifying score between Classic FICO and VantageScore 4.0.
Those developments focus on which credit score a lender uses and how that score affects pricing. eLEND's announcement addresses a separate issue: whether a lender's own minimum score requirement prevents an otherwise eligible borrower from proceeding through underwriting.
"The Fed held rates steady last week, and with inflation still weighing on the economy, affordability can't wait on rate relief," said Rob Pieklo, president and CEO of eLEND. "That's why we're focused on what we can control. Expanding credit score requirements, backed by AUS approval to evaluate each borrower's ability to repay, gives our broker partners more ways to get deals done and helps more people get into homes."
For LOs, the practical opportunity is to revisit lower-score purchase and FHA cash-out refinance scenarios that previously fell outside lender guidelines. Automated underwriting findings, mortgage insurance requirements, and other eligibility conditions will still determine which borrowers can qualify.
With CreditEdge requiring loans to be locked by Dec. 31, that opportunity comes with a year-end deadline.
