Nearly everything done in the business world is through the internet. The mortgage industry is no different. Technology has made business easier than it has ever been to conduct. People have the whole world at their fingertips through their smartphone. Homebuyers can take advantage of the internet while buying a home and finding a mortgage. Technology has made it more convenient to find a trustworthy online mortgage lender who will find you competitive rates.

Why You Can Trust an Online Mortgage Lender:

Online mortgage lenders are held to the same standard as brick and mortar lenders. They meet all of the same licensing requirements, follow all of the same federal mortgage regulations, and use all of the same mortgage loan documentation.

The operations for online lenders are the same as a brick and mortar institutions, they just don’t have an actual building for you to go into. Let’s face it, most people don’t meet face to face with their mortgage professionals any longer. All interaction is done through phone calls and emails. It is inconvenient to meet at a financial institution during normal business hours so even traditional lenders utilize technology to meet the needs of consumers.

There are many resources available online for you to check the integrity of an online mortgage lender. With a small amount of research you can be rest assured that your online mortgage lender is reputable.

Advantages of Using an Online Lender:

Not only is it safe to use a online mortgage lender, but it is actually more beneficial. There are numerous advantage to applying for a mortgage with an online lender.

Convenience
By using an online lender you can fill out an application, submit documents and correspond with your mortgage loan officer during the hours that best suit you. You aren’t confined to normal business hours to make handle your mortgage needs.

Simple Application
The application is easier to fill out. Most often online lenders take the time to make their applications less extensive to fill out. This saves you time and hassle. You have the ability to fill out a mortgage application while eating dinner or watching TV. Check out our application forms for a mortgage pre-approval or a mortgage refinance. At Loanatik we require minimal information to process your application. Apply online today to experience our user friendly, simple application.

Saves Time
Consumers can avoid time spent commuting to and from in person meetings with your loan officer by using an online lender. Waiting in the office for your mortgage loan officer to be ready is a nuisance. You don’t have to take time out of your already busy day to meet face to face, just call or e-mail your loan officer and get your questions answered quickly.

Saves Money
You can end up savings thousands of dollars by using an online lender. Rates and fees vary by lender, whether online or traditional, so it’s worth comparing offers from several lenders to find the best terms for your situation. A lower interest rate on your mortgage will save you thousands over the years you pay on it.

Closing costs and lender fees vary by lender, loan program, and transaction. Compare Loan Estimates from several lenders to evaluate the rate, fees, and total cost for your situation.

Better Underwriting
Online lenders often work with more underwriters, so your application can be reviewed by several of them rather than just one. That can mean more options to compare.

Quick Turnaround
Online lenders often work with a wider pool of underwriters, which can help streamline the underwriting process, though turnaround times vary by lender and by loan file. Fill out a mortgage loan application today to see what you are pre-qualified for.

Online lenders may use digital tools to streamline document collection and communication, but closing times vary by lender, loan file, appraisal, title work, and borrower responsiveness. Ask each lender for an estimated timeline for your transaction.

When to Take Caution:

Many consumers are concerned with the increased risk of fraud by using an online mortgage lender. While there are certainly scammers out there, they are relatively easy to avoid. Here are some of the red flags to notice about an online mortgage lender:
• No license. If an online lender is not properly licensed they are not trustworthy. Each financial institution has its own NMLS number and the mortgage professional has their own unique identifier as well. Look up the NMLS number for any mortgage professional on their site to verify that their licensing number is legitimate and up to date.
• Be cautious of upfront-fee requests from an unfamiliar lender. Before you indicate an intent to proceed after receiving a Loan Estimate, a lender generally may charge only a bona fide and reasonable credit-report fee. Ask what each fee covers and verify the lender’s license before paying.
• Rates that are significantly lower than other online lenders. Although lenders have the capability of offering lower rates online, it is a cause for concern if one online lender has rates that are completely inconsistent with competitors. This can be a way to lure you into applying. Later, after filling out an application they may tell you that the introductory rate has expired and quote you a higher rate.
Credentials to Look For:

Mortgage License
Individuals who take residential mortgage loan applications or offer or negotiate residential mortgage terms generally must be state-licensed or federally registered, depending on their role and employer. Use NMLS Consumer Access to verify the company and, when applicable, the individual mortgage loan originator.

Belongs to a Reputable Organization

Many mortgage brokers are a part of organizations that uphold their reputation. Look to see if your lender belongs to organizations that monitor the integrity of your lender.

Some organizations to look at:
– Better Business Bureau
– Online Lenders Association
– Consumer Financial Protection Bureau

You can review the Consumer Financial Protection Bureau’s complaint database as one source of information about a lender. A lack of complaints in one database does not establish that a lender is reputable, so also verify licensing and review the lender’s terms and disclosures. Remember, that a lender is not required to belong to organizations like the Better Business Bureau or the Online Lender’s Association. Although belonging to the groups is an indicator of exemplary business practices.

Equal Housing Lender

All mortgage lenders are required to adhere to the Fair Housing Act. The Fair Housing Act prohibits discrimination in housing-related lending because of race, color, national origin, religion, sex (including sexual orientation and gender identity), familial status, or disability. The Equal Credit Opportunity Act separately prohibits credit discrimination based on, among other things, age, marital status, and receipt of public assistance. If a mortgage lender is in compliance with the standards and regulations of the Fair Housing Act than they are an Equal Housing Lender.

At Loanatik we strive to make the mortgage loan process simple and seamless all while saving our consumers time and money. Our innovative software requires minimal information from the consumer and will perform automated underwriting on your loan.

Experience lending with integrity and proficiency- apply today for a Loanatik mortgage and experience stress free mortgage lending.