The traditional models used to predict consumer credit performance and newer machine learning methods can be extremely inaccurate, according to a new report.

A lot of the decline in servicing-for-others held by banks was attributable to Wells Fargo and other big players in the market. A number of mid-sized banks grew SFO in 3Q20. (Includes two data charts.)

The shift to lower-risk loans was particularly pronounced in the GSE refinance market, where streamlined property valuation was available for many mortgages. (Includes two data charts.)