In Brief: Fair Isaac, Partner Aim For Prepayment Model

Mortgage Information Corp. and Fair, Isaac and Co. are collaborating to develop a model that would predict the propensity of prime mortgage loans to pay off early.

Mortgage Information Corp. brings its data base, which has much information on the credit and prepayment performance of whole loans and mortgage securities, and Fair Isaac is contributing its analytics to the venture.

Ken Palla, market manager for the mortgage industry at Fair Isaac, said the model is part of a broader effort by the firm to aid clients' efforts to retain servicing customers.

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