Mortgage Myth # 6; All Loan Officers are the Same.
The public perception about loan officers all being the same is what I think is the craziest mortgage myth within our mortgage industry and most of today’s lender want you to think that all loan originators are the same. The Federal Government has created two specific Loan Originator Classifications Registered and Licensed.
Registered loan offices must either work for a Bank or a Credit Union and like their title all they must be is registered by their lender with the NMLS. They are not required to take and State or Federal educational requirements, not go through any State of Federal background check, or take any Federal or State Exams. This allows them to practice loan origination's throughout the country with very little education of each states requirements.
Licensed Loan Originators must either work for a Mortgage Broker or a Mortgage Banker. These loan originators must initially take mandatory Federal and State Educational Classes, pass both State and Federal Tests, pass both Federal and State background checks, and take yearly continuing education approved by the NMLS to stay on top of ever change guidelines and regulations.
Now you can do a background check on the Loan Originator you are talking with at, NMLS Consumer Access portal, all you need is their name and NMLS identification number of the LO and lender. You can now look up the lender and Loan Officer. When you do, some of the information you will see includes:
Contact information including phone and fax numbers
Who the LO is employed with and authorized to represent
Office location for the lender
Whether the loan originator is active or inactive
Whether they are licensed or just registered
Any Regulatory Actions against the lender or Loan Originator.
It is also advisable that you check the status of any Testimonials that the Loan Originator or lender might have to see how past clients feel about the service that they received during the application process as some can take up to six months to close. Check out our testimonials from past clients giving you an idea of the service you will get from The Mortgage Outlet.
It is important for all potential borrowers to understand that no 2 Mortgage Loan Originators are the same. Take your time and do your research prior to selecting a Loan Originator to work with. Give us a call today at 631-589-3600 to see what we can do that other might not be able to, put our 30 years of mortgage experince to work for you.