Shopping Around for the BEST Mortgage Interest Rates and Lender?

Let me ask you one question. Who would you prefer handling your largest single financial transaction?

1) A Licensed Mortgage professional?
2) An unlicensed call center clerk?

The answer is clear... Now learn the difference

Licensed versus unlicensed loan officers? Who are you working with?

All Loan Officers must have an NMLS number. This number must be displayed on business cards, web sites, etc. It is a tracking number, not a license number. The display of this number gives consumers the false illusion that a Loan Officer is licensed. Sadly, 80% of Loan Officers are NOT licensed. Unlicensed bank loan officers are more like call center clerks. How to verify a Loan Officer has a license.

Licensed Loan officers are held to a very strict licensing standard (SAFE Act). A absolutely ridiculous exemption in the consumer protection laws allows Banks Loan Officers to have different rules. Well, let's just say, no rules! Who are these banks? All the big names (Wells Fargo, Chase, Bank of America, etc.), plus plenty of smaller ones, Credit Unions, and mortgage companies owned by banks.

Now I am not trying to make this into a David versus Goliath story, but I am trying to emphasize the huge differences and implications this has on consumers.

Here is a chart to show the differences in people who are "loan officers"
	Licensed	Unlicensed
Actual License	Yes	No
Pass FBI Background check	Yes	No
Fingerprinted	Yes	No
Surety Bonded	Yes	No
Pre-licensed schooling / education	Yes	No
8 hours continuing education each year	Yes	No
Personal Credit checked each year	Yes	No
*Pass difficult State Test in every state*	*Yes*	No
Pass difficult Federal Test	Yes	No
Complaint mechanism's	Yes	No
Licensing fees and renewals	Yes	No
Registered with NMLS number	Yes	Yes

Now that you know the difference. Who would YOU rather be working with on the largest financial transaction of your life? Trained, licensed, fingerprinted, and background checked - or the person with none of that?

What to do?

Simple. VERIFY THE Loan Officer is LICENSED: If they don't have a license. DON'T WORK WITH THEM.

What if they do have a licensed? Then Google the Loan Officer you are thinking of working with! Do you get any hits? What are they? Does the Loan Officer appear to be highly respected and quoted with lots of links? Then you are probably working with a top notch professional. Can't find anything, or maybe just a listing on the company web site? That probably wouldn't be who I would pick to handle my largest financial transaction.

How to verify a Loan Officer

It is hard to determine if the Loan Officer is simply registered, versus licensed. When looking up a loan officer, you have to go to the bottom of their NMLS identification page and look under State Licenses/Registrations or Federal Registration heading.

The web site to verify a Loan Officer License is at www.NMLSconsumerAccess.org

A LICENSED Loan Officer will say "State Licenses/Registrations" and will have one or more STATES listed with all their state licensing information listed.
An UNLICENSED, but simply REGISTERED Loan Officer will say "Federal Registration" and then say something like "Federal Mortgage Loan Originator".

More Information on how to shop for a mortgage loan

How to Shop for a lender - It's not what you think
Rate Shopping - How to compare rates and costs.
Our Difference - Why choose us? It's a lot more than just great rates
Banker Vs Broker Vs Mortgage Company - Who is a better choice to handle my loan?
Beware of BAD Good Faith Estimates - They don't have to be accurate
Our Code of Ethics. We adhere to guidelines our competition won't
Satisfied Client Testimonials - See what previous customers have to say
Our Advice makes a difference - It is so much more than just great rates.
Get A Second Opinion - You are entitled to one, even if you have been pre-approved with a different lender
Best Rate or Lowest Cost - Which option is better for me? The answer may surprise you
Satisfaction Guarantee - It is not just words. We put it in writing!