THE CONSUMER’S GUIDE · 2010. 6. 29. · We would love to hear how this guide helped you. If you...

Inside you’ll Learn:

•5oftheBAITANDSWITCHandRIP-OFFTACTICS usedEVERYDAYintheMortgageBusiness

•6CostlyMisconceptionsthateveryconsumer shouldknowbeforeapplyingforaloan

•5QuestionstoaskaMortgageBroker toavoidgettingscammed

•QuickReferenceGuidethatCould SaveYouThousands

This is an educational service provided by Brett Nordin

AZ MB – 0907212

WhatpeoplearesayingaboutIntellichoiceMortgage

• I use a consultative approach to consumer financing and provide services for: -NewPurchase -Refinancing -DebtConsolidation -ReverseMortgages

• As a Wholesale Broker I can shop multiple lenders, give you the most options and find you the best rates and terms… banks can’t compete with my product offering

• My services are Risk Free -Free,noobligationmortgageconsultation($100value) -FreeLoanStatusReport($125value) -Ifullydiscloseallfeesrelatedtomyservices

“DealingwithIntellichoicewaseasyandfun.Ineverfeltpressuredandtheyencouragedmetoaskwaytoomanyquestions…whichiswhatIliketodo.Weloveournewhouseandfeellikewegotthebestdealpossible.IwouldrecommendIntellichoicetoallmyfamilyandfriends.”- Doug and Shari, Chandler

“IwashavingtroublequalifyingthroughmybankandIntellichoicewasabletogetmequalifiedandsavedtheday.Icouldn’tbelievehowfastmyloanwasapproved.Ifyouarelookingforsomeoneyoucantrust,Intellichoiceistheplace.”- Steve, Tucson

“Wehaveboughtthreehomesandhaveneverhadsuchaneasytimewiththefinancingandclosing.Whenit’stimeagain,wewillbesuretocallIntellichoice.”- Tobi, Scottsdale

“IworknightsandhadahardtimefindingsomeonetoworkwithwhenIwasawake.MyIntellichoiceconsultantcametomyworktofillouttheapplication.Icouldn’tbelieveit!TheprocesswentsmoothandI’mnowremodelingmyhouse.”- Katie, Phoenix

“IshoppedalotoflendersandIntellichoicewasthemostopenandhonestofthebunch.TheywerealwaysonestepaheadoftheprocessandIwasneverworriedaboutclosingthedeal.”- Brian, Fountain Hills

“IntellichoiceMortgageisveryknowledgeableandmadeusfeelcomfortablethroughouttheentirebuyingprocess.It’shardtofindgoodcustomerservicethesedaysandIntellichoiceisoneoftheexceptions.”- Mike and Patty, Yuma

Things you should know about yourIntellichoiceWholesaleMortgageConsultant

THECONSUMER’SGUIDE TO CHOOSING A MORTGAGE COMPANY

Consumer_Guide_Intellichoice_Imp1 1 9/14/06 6:46:24 AM

FOREWARD: A message from the author, Brett Nordin

WhydidIdevelopthisFREEConsumerGuideformyfriendsandclients?BeforeIstartedasamortgageconsultant,IwasthevictimofaLoanShark.

WasItheperfectvictim?Notbydefinition.•Ithappenedonmythirdhomepurchase,notmyfirst.•Themortgagebrokerwasreferredtome.•Iwasworkingwithanexperiencedrealtor toguidemethroughthetransaction.•Iknewhowtheindustryworked,howmuchtopay andhadstrongcredit.

Sohowdidithappentome?Theperfectstormofconfidence,trust,pressureandlackofknowledgeallowedmetomakeabaddecision.Frustrated,isprobablythebestwaytodescribehowIfelt.Icouldn’tasktherightquestionsbecauseIdidn’tknowwhattoask.Intheend,Iletthemomentumofthedealandfearoflosingthehousetoanotherbuyerforcemeintoamortgagethatisstillhauntingmetoday.

BecauseofthisexperienceI’mnowonamissiontoeliminateloansharksfromthemortgageindustryandraisetheethicalbarofmortgageprofessionalsthroughconsumereducation.

WhatisaLoanShark?TheU.S.Governmentcallsthem“predatorylenders”andhasgivenconsumersrightstoprotectthemselvesagainstbadlendingbehaviors.Butdidyouknowthatlenderscanchargeupto8%oftheloanamountfortheirserviceswithoutbeingclassifiedasapredatorylender?IfyouwerepurchasingtheaveragehomeinArizona,youcouldspendover$20,000infinancechargesandhavenolegalrecourse.Youcangetripped-off,andit’sperfectlylegal!

That’swheretheLoanSharkswimsin.Somewhereinthemurkywaterbetweenwhatisillegalandwhatisfair.Preyingonwhattheaverageconsumerdoesn’tknowandusingthecurrentofoverflowingdocumentsandriptideoffeartomasktheirapproach.

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Notes

17

FeedingbehaviorsoftheLoanShark:•ASharkchargesexcessivefees,pointsandinterestrates•ASharkusesprepaymentpenaltiesandadjustablerate mortgagesthatincreasewithoutregardstomarketconditions•ASharkusesaggressiveordeceptivepracticestoselltheirloans•Sharksstripequityfromhomesandlendwithoutconsideringthe borrower’sabilitytorepaytheloan•ASharkmailsorcallsregardingextraordinaryoffers toconsolidateyourbills•ASharkusesSpanishspeakerstogaintrustandconfidence ofHispanichomebuyers

TheArizonaAttorneyGeneral,TerryGoddardrecentlywrote:“DeceptivelendingisanalltoocommonproblemforArizonaresidents...predatorylendersarereadytotakeyourmoneyandmayenduptakingyourhome.”

HowcanyouavoidbeingthevictimofaLoanShark?Step1isreadingthisConsumerGuide.Eventhebest-educatedconsumercanhavetroubleunderstandingallofthenumbersandloanapplicationforms.Ihavedesignedthisguidetoserveasaquickreferencethatyoucanuseduringconversationswithamortgageprofessional.InsideIpartthecurtainonthemortgageindustryandarmyouwiththeknowledgeneededtoavoidpayingtoomuchforyourmortgage.Enjoy!

Sincerely,BrettNordinFounder,NoSharks.info


BaitandSwitchtactic#1 Rate beaters and unbelievably low rates

You’veheardthesaying,“Ifitseemstoogoodtobetrue,itprobablyis”.Watchoutforlendersthatsaytheywillbeatallotherratesorthosethatad-vertiseridiculouslylowrates.Everyweekyouprobablygetadsinthemailorseebillboardsthatadvertise“ratesaslowas1%withzerodown”.Dotheseloansexist?Absolutely,howevertheyarenotalwaysappropriatepro-gramsformostconsumersandtypicallyapplytoinvestorsituationswherethe1%rateonlylastsforafewmonthsandthenadjustsquicklytohigherthanaveragerates.Iequatethiskindofadvertisingwiththecardealershipadsyouseeinthepaperthatshowacarwitharidiculouslylowpricebut

whenyougettothedealershipyouhaveahardtimefindingthecaryousawintheadorithasbeenmysteriouslysold.

Lendersusethislowrateadvertisingtogetyouinthedoor,but9timesoutof10thestorychangesandtheysay“thatprogramisnotrightforyoubutIhaveanotherthatmightwork”.Orevenworse,thereareun-explainedfeesthatshowupatsigning.Isthiskindofadvertisingethicalorhonest?

Itcanendupthatway,butIbelievethattransparencyanddisclosureineverystepofaloantransactionisbetterforeveryoneinvolved,especiallywhenyouaretalkingaboutalargeinvestmentlikeahome.Ineverprintoradvertiseratesbecausetheycanbemis-leadingtoclients.Aloanprogramshouldnotbejudgedoninterestratealoneandyourpersonalsituationhastobeconsidered.

Lenders use this low rate advertising to get you in the door,

but 9 times out of 10 the story changes

5 OF THE BAITANDSWITCH SHARK-FREEBY INTELLICHOICEMORTGAGE

RiskFreeServices:

• Free, no obligation mortgage consultation ($100 value) Assessesyourfinancialsituation,givesfinancing optionsandgainspre-approval

• Free Loan Status Report ($125 value) Pre-qualifiesyoutopurchaseahomeandallowsyou toshopwithconfidence• We will do everything possible to complete your mortgage transac tion on time. If we can’t help you, we will gladly refer you to an other honest, competent mortgage consultant.

• Our business is referral-based and we rely on clients like you to sustain and grow our livelihood

ThankyoufortakingtimetoreadourConsumer’sGuidetoChoosingaMortgageCompany.Ihopeyoufoundittobevaluableinmakingmortgagedecisions.Wewouldlovetohearhowthisguidehelpedyou.

Ifyouhaveanycomments,questionsorneedhelpwithrefinancingorpurchasinganewhome,pleasefeelfreetocontactyourIntellichoicerepresentative.

BrettNordinFounder,NoSharks.infoBranchManager,IntellichoiceMortgage

AZ MB – 090721216


AND RIP-OFFTACTICS THE MORTGAGEBUSINESS

Nohighpressuresalestactics:Weemployprofessionalmortgageconsultants,notsalesmen.Clientsareexpectedtoaskquestionsandwillreceiveexperiencedanswers.Formost,ahomeisthebiggestinvestmentofalifetimeandthefinancialcommitmentcanlastsforyears.Youwillbeencouragedtotakeyourtimeandmakecomfortabledecisionsthatdon’tleaveyoustuckinamortgageyoucan’tafford.

Transparencyinallmatters:Aspartofourfreeconsultation,wedisclosealloftheservicefeesandexplaintheloanprogramtoyoursatisfaction.You’llknowexactlywhatyouarebeingchargedandfeelconfidentyouaren’tgettingrippedoff.

ConstantCommunication:Withaccesstoourweb-basedloanstatustool,you’llresteasyknowingtherewon’tbeanysurprises.Havingopencommunicationbetweenallpartiesinvolvedinthetransactiondramaticallyincreasesthechanceofyourloanclosingontime.Closingontimemeansyouavoidlosingearnestmoniesanddon’tmissachancetopurchaseyourdreamhome.

ConsumerEducation:We’vededicatedourbusinesstohelpingconsumersunderstandmortgages,andthrougheducation,forceothermortgageconsultantstoraisethequalityofservicewithinourindustry.

WholesaleBroker:AsaWholesaleBrokerwecanshopmultiplelenders,giveyouthe mostoptionsandfindyouthebestratesandterms…bankscan’tcompete withourproductoffering

ConsultativeApproach:Weuseaconsultativeapproachtoconsumerfinancingandprovideservicesfor: -NewPurchase -Refinancing -DebtConsolidation -NoDoc/StatedLoans

SWIMMINGINTHEKIDDIEPOOL: MORTGAGEEXPERIENCEOFFERED

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BaitandSwitchtactic#2 APR Confusion

Mostconsumersdon’tknowhowtocalculatetheAPRofaloanandmostdon’tknowwhatitiscomprisedof.Lenderstakeadvantageofthislackofknowledge.APRisthe“AnnualPercentageRate”oftheloananditistheto-talcostofaloan,whichincludestheinterestrateplusanypre-paidfinancechargesthatarebeingpaidatclosing.Thesepre-paidfinancechargesarewhatthemortgagebroker,thelenderandthetitlecompanyarechargingtocompletetheloan.TheseincludeLoanOriginationfees,anydiscountpointsyoumightbepayingtoreducetheinterestrate,handlingfees,creditscorefees,titlefees,underwritingfees,processingfees,wiretransfersandwhateverelsethelendermaychargefor.APRisthebestmeasurementtoolforconsumerstousewhenshoppingforaloan.CompareAPRstomakesureonelenderisnotgougingyouonthepre-paidfinancecharges.TheAPRwillalwaysbehigherthantheinterestratebecauseitisbasedontheactualamountoftheloan,whichincludeswhatyouarepayingindiscountpointsandwhateverthelenderischargingtocompletetheloan.Asageneralrule,iftheAPRis2.5%greaterthanyourinterestrate,youaregettingrippedoff.

HowdoestheAPRconfusiontacticwork?TheotherdayIwenttothewebsiteofwhomIwouldconsidertobeaveryreputablelenderandtheyhadanadvertisementforanAPRrate,Iwon’tquotetheratebecauseitcaughtmyeyeasbeingexceptionallylow,soIclickedonthefineprintbuttontheyhadonthewebpagetolearnmore.IdiscoveredthattheyhadpulledouttheLoanOriginationfees,titlefees,brokerfeesandunderwritingfeeswhentheycalculatedtheAPR.ImagineyourconfusionanddismaywhenyouaresittingattheclosingtableandtheAPRsuddenlyjumps2%pointsbecauseyoudidn’treadthefineprint.Anincreaseofthatsizecouldkillyourdealandyoucouldlosethechancetobuyyourdreamhome.Whenyouaregettingpre-qualifiedforaloan,alwaysasktheloanofficerormortgageconsultantforatruthinlendingdisclosurestatement.ThisisastandardformthatallbrokersusetodisclosetheAPRandfinancecharges.AlongwiththetruthinlendingdocumentshouldalsobeaGoodFaithEstimatethatshowsthebreakdownofchargesthelenderisaskingfor.APRconfusioncanbeeasilyavoidedifyouaskforthesedisclosuresupfront.


5 OF THE BAITANDSWITCHUSED EVERY DAY IN

#3Rip-offtactic Backside Slaughter

Abrokermakesamajorityoftheirmoneyoneitherthefrontsideofaloancalledan“OriginationFee”,oronthebacksideofaloanbyincreasingyourinterestrate.Somemakemoneyonboththefrontsideandbackside,whichiswhyunderstandingAPRissoimportant.Now,it’sperfectlyOKforthebrokertomakemoneyandI’mnotsuggestingyoushouldn’tpaysomeonefortheirvaluableservices,butyoushouldknowifyouarepayingtoomuch.

Backsideslaughterhappenswhenthebrokeroverchargesontheinterestrate.Ifyourloanofficersendsyouagoodfaithestimatethatshowsyouaren’tpayinganoriginationfee(andyou’llseethisadvertisedaswell“nooriginationfees”),Iguaranteeyouwillbepayingtheoriginationfeesintheinterestrate.So,howdoyouavoidbacksideslaughter?Researchcurrentratesoraskanotherlenderforacompetitivequote.

Rip-offtactic#4 Adding Junk Fees to your closing costs

Bylaw,youshouldreceiveaGoodFaithEstimatewithin3daysofsubmit-tingyourloanapplication.AGoodFaithEstimate,orGFE,providesalistofallthecostsassociatedwiththemortgageprogramyou’veappliedfor.Takealookatthepre-paidfinancechargeslistedinthetopsectionoftheGFE,youshouldseethingslike:LoanOriginationFee,LoanDiscountPoints,ProcessingFees,AppraisalFees,CreditReportfees,TaxServiceFee,DocumentPreparationFeeandFloodCertificationFee.Somelend-erswillalsoincludewhatarecalled“junkfees”tounknowingconsumers.Junkfeesarenotrelatedtoarealproductorservicebutareincludedbyunethicallenderstosqueezeextramoneyoutofyou.Ifanyfeesseemquestionableorvague,askyourmortgageconsultantfor

RESOURCES

Doyoubelieveyouhavebeen thevictimofaLoanShark?

1.Gethelp2.Letothersknowifyouhavebeenavictim3.Youcanhelpstopsomeoneelsefrombeingavictim

ArizonaAttorneyGeneral’sOffice:www.azag.govArizonaStateBankingDepartment:www.azbanking.govTheBetterBusinessBureau(BBB):www.phoenixbbb.orgorwww.tucson.bbb.org

ThisConsumerGuidewascreatedusinginformationfromtheFTC,FannieMae,TheU.S.DepartmentofHousingandUrbanDevelopment,TheTreasuryDepartment,theNationalAssociationofAttorneysGeneral,theNeighborhoodReinvestmentCorporation,theAssociationofCommu-nityOrganizationsforReformNow,TheArizonaSchoolofRealEstate,TheArizonaAttorneyGeneral’sOfficeandtheHomeOwnershipCenter.

14


AND RIP-OFFTACTICS THE MORTGAGEBUSINESS GETTINGSTARTED

4stepstoaShark-Freemortgageexperience

1.Startbygatheringyourpersonalinformation a.Creditscoreandhistory,checkforanyderogatorycomments thatcanbeclearedimmediately b.Understandyourincomeandanydebtsthatyouhave responsibilityfor

2.Listyourobjectives a.Refinancingtogetabetterrateorterm,debtconsolidation b.Newhomepurchase c.Iscashfloworbuildingequitymoreimportanttoyou?

3.Askquestions a.IsthereanyoneItrusttogiveadviceconcerningmy financingoptions? b.Doesaclosefriendorrelativeknowofatrustedsource? c.FollowthisConsumerGuidetointerviewprospective mortgagecompanies d.InvestigatethecompaniesbycallingtheArizonaStateBanking Departmenttoseeifanycomplaintshavebeenfiledagainstthem

4.Whenyoufindtherightcompanyorcompanies,askfor afreeconsultationtodetermineyourfinancingoptions a.AskforaGoodFaithEstimateandTruthinLendingStatement tocompareloanprograms b.Followthequestionsoutlinedinthisguidetofullyunderstand therecommendedloanprograms

13

The amount of work for a lender or mortgage broker does not change because you have bad credit...

Rip-offtactic#5 Overcharging

Thesearetwocommonoverchargingpractices-onemethodischargingmorebasedontheloanamountandtheotherischargingmoreforbadcredit.Bothareequallyunethicalfrommyperspective.Thisisthemostimportantthingtorememberinregardstothesetworip-offtactics:Theamountofworkforalenderormortgagebrokerdoesnotchangebecauseyouhavebadcreditorbecauseyouarebuyinga$1Mhousevs.a$100,000house.Theamountofpaperworkdoesn’tchangeandtheprocessingeffortdoesn’tchange.Theremaybecaseswheremoreconsultationisneededbytheloanofficerbut,forthemostpart,theseshouldnotdoublethefeestructure.Thisisprob-ablyoneofthemostfrequentlyusedrip-offtac-ticsbecauseitistheeasiestthingforatrustingconsumertorationalize...Theloanofficertellsyou,“Well,IhadtodosomerealnegotiatingandIwasabletogetyouapproved,butyourfeeswillbehigherbecauseofyourbadcreditscore”.Ifyouhearthesewords,runaway.Ihaveseenthisresultindoublingthefeespaidtothebroker.

Thebestwaytoavoidtheserip-offsistousealoanofficeormortgageconsultantthatfullydisclosestheirfeesup-frontandthenworkstheirhardesttofindyouthebestloanprogram.Also,haveanideaofwhatyourcreditscoreisandwhatareasonableinterestrateisbasedonthatscore.Thereisawebsiteyoucanvisittofindoneoftheseinterestrateestimatorsbasedonyourcreditscore:http://www.myfico.com


6COSTLYMISCONCEPTIONS BEFOREAPPLYING

CostlyMisconception#1 If I choose the best interest rate, I’m going to get the best deal.

Thisiscompletelyfalse.Interestrateisonlyonecomponentoftheloanprogram.Makesureyoufullyunderstandthetermsoftheloan,especiallyifitisanadjustableratemortgage.Ifyoudoshoprates,makesureyouarecomparingAPRbetweenloanprogramsandthattheAPRincludesallofthepre-paidfinancecharges.Focusequallyontheinterestrateandthefinancechargesyouarepayingtobuytheloan.Watchforpre-paymentpenalties,theycansometimescarryheavypenaltiesifyousellyourhomeorrefinancewithin1to2years.

CostlyMisconception#2 I don’t want to use multiple lenders because they will run my credit score multiple times and my credit score will then be negatively impacted.

Therearenewcreditbureaurulesthatallowyourcreditscoretobecheckedasmanytimesasyou’dlikewithinatwoweekperiodanditwillonlycountasoneinquiry.Inaddition,thescoreignoresallmortgageinquiriesmadeinthe30dayspriortoscoring.So,ifyoufindaloanwithin30days,theinquirieswon’taffectyourscorewhileyou’rerateshopping.Ifyoudonothaveatrustedlenderorloanofficer,getAPRestimatesfromthreedifferentlenders.

CostlyMisconception#3 I’m not being charged a loan origination fee so I’m getting a better deal.

Remember...APR,APR,APR.ThelenderisstillchargingyoubutthefeemayshowupsomewhereelseontheGFEorbeburiedinyourinterestrate.

THOUSANDS

WarningSignsthatadeadlyLoanSharkisinthewater:

1. Loans are offered through mail solicitation, telephone solicitation or door-to-door sales

2. The loan officer promises one set of terms when you apply but gives you another set of terms to sign, with no adequate explanation

3. You are told that you will be approved for a loan regardless of your credit rating or history

4. You are asked to sign incomplete or blank forms that will be filled in later

5. Information is falsified on the loan application to allow you to qualify for a program you can’t afford

6. You are pressured into applying for a loan or accepting monthly payments you can’t afford

7. The loan officer hurries you to sign the papers and tells you it’s not important to read all the fine print

8. Copies of documents aren’t offered or provided

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OncearmedwiththeGoodFaithEstimateandTruthInLendingdocuments,hereisalistofquestionstohelpfullyunderstandtheloanprogrambeingrecommended:

MoneySavingQuestionstoask yourMortgageProfessional

1. What is the total amount I am borrowing?

2. In addition to that amount, what do I have to pay in points?

3. What do I have to pay in fees?

4. Are the application fees refundable if I don’t get approved?

5. What is the interest rate?

6. What is the APR?

7. Is the interest rate fixed over the length of the loan or does it change?

8. If the interest rate will change, when, how often, by how much and how high can it go?

9. What is the total monthly payment?

10. How many years do I have to repay the loan?

11. Are there any pre-payment penalties? If so, what are they?

12. Does the interest rate go up if I’m late on a loan payment or miss a payment?

13. Do I have to pay a late fee if my payment is late? How much is the fee? When is it charged?

14. Do I have to pay interest on late fees?

15. Do monthly payments cover property taxes and homeowners insurance?

16. Can I refinance the loan with another lender?

QUICKREFERENCETHAT COULD SAVE

11

EVERYCONSUMERSHOULDKNOW FORALOAN

CostlyMisconception#4 I don’t want to give out my tax information, income statements orbankstatementsbecausetheIRSmightfindouthowmuch money I really make.

First,lendersdon’tdisclosethistypeofinformationtotheIRS.Second,asageneralrule,themoreinformationanddocumentationyouprovide,thebetteryourinterestratewillbe.Thereareloansthatdon’trequireanydocumentation,justacreditscore,butthesewillrequiremoremoneydownandhaveahigherinterestratebecausethelenderistakingmorerisk.

CostlyMisconception#5 Myfriendreferredmetothisloanofficer,sotheymustbegood.

Iamthefirsttotellyouthatareferralisbyfarthebestwaytofindareputableloanofficer,however,don’tforgetthatyourfriendmayhavebeenripped-offanddoesn’tevenrealizeit.MakesureyouaskthemthequestionsIrecommend,itcouldsaveyouthousandsofdollarsandcount-lesshours.

CostlyMisconception#6 Working with a bank is always safe.

Thisisnottrue.Banksarelimitedtotheloanprogramstheirinstitutionoffersandtheprogramsmayormaynotbecompetitiveormaynotfityourpersonalsituation.Banksmaytrytoforceyouintoaprogramsimplybecausetheyhavelimitedoptions.Irecommendworkingwithamort-gagebrokerthatgivesyouaccesstomultiplelenders.Abrokerispaidtoensureyoufindthebestloanprogramtofityourfinancialscenario.


5QUESTIONSTOASK TO AVOID GETTING

MayIhaveacopyofyourStateBankingLicense?Ifyouareworkingwithamortgagebroker,makesuretheyarelicensedwiththeStateBankingDepartment.Thelicensenumberallowsyoutofileacomplaintifyouhaveabadexperience.Also,StateBankinglawsrequirethemortgagecompanytofollowstrictprivacyandsecuritypoliciestopreventidentitytheft.Youcanseeifanypreviouscomplaintshavebeenfiledagainstalicensedmortgagecompanybyvisitingwww.azbanking.gov.

Doyouhaveareferral-basedbusiness?Thisseparatesmostfly-by-nightrip-offartistsfromtheotherswhoaretryingrunanethicalandcustomerserviceorientedbusiness.Ifsomeonehasareferralprogram,theywillbemorelikelytocareaboutyourlongtermsatisfaction.

Onaverage,howmuchdoesitcost torefinanceorfinanceanewhome?

Iftheyarereluctanttogivetheinformation,ask“howmuchwouldyouchargeme?”andhavethemprovideaGoodFaithEstimate.Theclosingcostsforanaveragerefinanceorhomepurchaseshouldbebetween1-2%oftheloanamount.Thispriceincludesallloanorignation,brokerfees,processingfees,titlefeesandotherpre-paidfinancecharges.Somebro-kerschargemuchmoreandothersmaychargealittlelessbutitisusuallybasedonthevaluetheydelivertotheirclients.

MORTGAGEBROKERSCAMMED

Howandwhenwillyoucommunicatewithme duringtheloanprocess?

12%ofpurchaseclosingsareeitherdelayedorcancelledduetoissuesthatariseinthelendingprocess.Thismeansthatalotofnewhomedreamsaregoingupinsmokeeveryday.Oneofthebiggestissuesduringtherushtoclosealoanisdisclosureandcommunication.Ifyouarebuyinganewhomeorrefinancing,thereareuptofivepartiesinvolved:You,theloanofficer,thebuyingandsellingrealestateagentsandthetitlecompanyallworkingasateamtomakesureyourtransactioniscompletedontime.Makesuretheloanofficerhasanupfrontstrategyforcommunicatingandiswillingtogiveyouallofhisorhercontactinformation.YouwantanofficerthatwilltellwhenthereisaproblemjustasquicklyaswheneverythingisOK.Playingphonetagisalwaysanissue,soweinvestedinawebtoolthatallowsclients24houraccesstothestatusoftheirloan.Askyourloanofficeriftheyuseaweb-basedcustomerservicetoolthatwillprovide24/7loanstatusreports,itwillhelpyourloanfundontimeandletyousleepeasierduringtheprocess.

Thelastquestionandprobablythemostimportantfinancialquestionis,

MayIhaveatruthinlendingdisclosurestatement andgoodfaithestimatebasedontheloanprogram youwouldrecommend?

Thesedocuments,alongwithyourloanstatusreport,whichusedtobecalledaprequalificationletter,willgiveyoualltheinformationyouneedtomakeaneducateddecisionabouttheloanprogramthelenderisoffering.

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5QUESTIONSTOASK TO AVOID GETTING

MayIhaveacopyofyourStateBankingLicense?Ifyouareworkingwithamortgagebroker,makesuretheyarelicensedwiththeStateBankingDepartment.Thelicensenumberallowsyoutofileacomplaintifyouhaveabadexperience.Also,StateBankinglawsrequirethemortgagecompanytofollowstrictprivacyandsecuritypoliciestopreventidentitytheft.Youcanseeifanypreviouscomplaintshavebeenfiledagainstalicensedmortgagecompanybyvisitingwww.azbanking.gov.

Doyouhaveareferral-basedbusiness?Thisseparatesmostfly-by-nightrip-offartistsfromtheotherswhoaretryingrunanethicalandcustomerserviceorientedbusiness.Ifsomeonehasareferralprogram,theywillbemorelikelytocareaboutyourlongtermsatisfaction.

Onaverage,howmuchdoesitcost torefinanceorfinanceanewhome?

Iftheyarereluctanttogivetheinformation,ask“howmuchwouldyouchargeme?”andhavethemprovideaGoodFaithEstimate.Theclosingcostsforanaveragerefinanceorhomepurchaseshouldbebetween1-2%oftheloanamount.Thispriceincludesallloanorignation,brokerfees,processingfees,titlefeesandotherpre-paidfinancecharges.Somebro-kerschargemuchmoreandothersmaychargealittlelessbutitisusuallybasedonthevaluetheydelivertotheirclients.

9

AMORTGAGEBROKERSCAMMED

Howandwhenwillyoucommunicatewithme duringtheloanprocess?

12%ofpurchaseclosingsareeitherdelayedorcancelledduetoissuesthatariseinthelendingprocess.Thismeansthatalotofnewhomedreamsaregoingupinsmokeeveryday.Oneofthebiggestissuesduringtherushtoclosealoanisdisclosureandcommunication.Ifyouarebuyinganewhomeorrefinancing,thereareuptofivepartiesinvolved:You,theloanofficer,thebuyingandsellingrealestateagentsandthetitlecompanyallworkingasateamtomakesureyourtransactioniscompletedontime.Makesuretheloanofficerhasanupfrontstrategyforcommunicatingandiswillingtogiveyouallofhisorhercontactinformation.YouwantanofficerthatwilltellwhenthereisaproblemjustasquicklyaswheneverythingisOK.Playingphonetagisalwaysanissue,soweinvestedinawebtoolthatallowsclients24houraccesstothestatusoftheirloan.Askyourloanofficeriftheyuseaweb-basedcustomerservicetoolthatwillprovide24/7loanstatusreports,itwillhelpyourloanfundontimeandletyousleepeasierduringtheprocess.

Thelastquestionandprobablythemostimportantfinancialquestionis,

MayIhaveatruthinlendingdisclosurestatement andgoodfaithestimatebasedontheloanprogram youwouldrecommend?

Thesedocuments,alongwithyourloanstatusreport,whichusedtobecalledaprequalificationletter,willgiveyoualltheinformationyouneedtomakeaneducateddecisionabouttheloanprogramthelenderisoffering.


OncearmedwiththeGoodFaithEstimateandTruthInLendingdocuments,hereisalistofquestionstohelpfullyunderstandtheloanprogrambeingrecommended:

MoneySavingQuestionstoask yourMortgageProfessional

1. What is the total amount I am borrowing?

2. In addition to that amount, what do I have to pay in points?

3. What do I have to pay in fees?

4. Are the application fees refundable if I don’t get approved?

5. What is the interest rate?

6. What is the APR?

7. Is the interest rate fixed over the length of the loan or does it change?

8. If the interest rate will change, when, how often, by how much and how high can it go?

9. What is the total monthly payment?

10. How many years do I have to repay the loan?

11. Are there any pre-payment penalties? If so, what are they?

12. Does the interest rate go up if I’m late on a loan payment or miss a payment?

13. Do I have to pay a late fee if my payment is late? How much is the fee? When is it charged?

14. Do I have to pay interest on late fees?

15. Do monthly payments cover property taxes and homeowners insurance?

16. Can I refinance the loan with another lender?

QUICKREFERENCETHAT COULD SAVE

CONSUMERSHOULDKNOW FORALOAN

CostlyMisconception#4 I don’t want to give out my tax information, income statements orbankstatementsbecausetheIRSmightfindouthowmuch money I really make.

First,lendersdon’tdisclosethistypeofinformationtotheIRS.Second,asageneralrule,themoreinformationanddocumentationyouprovide,thebetteryourinterestratewillbe.Thereareloansthatdon’trequireanydocumentation,justacreditscore,butthesewillrequiremoremoneydownandhaveahigherinterestratebecausethelenderistakingmorerisk.

CostlyMisconception#5 Myfriendreferredmetothisloanofficer,sotheymustbegood.

Iamthefirsttotellyouthatareferralisbyfarthebestwaytofindareputableloanofficer,however,don’tforgetthatyourfriendmayhavebeenripped-offanddoesn’tevenrealizeit.MakesureyouaskthemthequestionsIrecommend,itcouldsaveyouthousandsofdollarsandcount-lesshours.

CostlyMisconception#6 Working with a bank is always safe.

Thisisnottrue.Banksarelimitedtotheloanprogramstheirinstitutionoffersandtheprogramsmayormaynotbecompetitiveormaynotfityourpersonalsituation.Banksmaytrytoforceyouintoaprogramsimplybecausetheyhavelimitedoptions.Irecommendworkingwithamort-gagebrokerthatgivesyouaccesstomultiplelenders.Abrokerispaidtoensureyoufindthebestloanprogramtofityourfinancialscenario.

8


6COSTLYMISCONCEPTIONS BEFOREAPPLYING

CostlyMisconception#1 If I choose the best interest rate, I’m going to get the best deal.

Thisiscompletelyfalse.Interestrateisonlyonecomponentoftheloanprogram.Makesureyoufullyunderstandthetermsoftheloan,especiallyifitisanadjustableratemortgage.Ifyoudoshoprates,makesureyouarecomparingAPRbetweenloanprogramsandthattheAPRincludesallofthepre-paidfinancecharges.Focusequallyontheinterestrateandthefinancechargesyouarepayingtobuytheloan.Watchforpre-paymentpenalties,theycansometimescarryheavypenaltiesifyousellyourhomeorrefinancewithin1to2years.

CostlyMisconception#2 I don’t want to use multiple lenders because they will run my credit score multiple times and my credit score will then be negatively impacted.

Therearenewcreditbureaurulesthatallowyourcreditscoretobecheckedasmanytimesasyou’dlikewithinatwoweekperiodanditwillonlycountasoneinquiry.Inaddition,thescoreignoresallmortgageinquiriesmadeinthe30dayspriortoscoring.So,ifyoufindaloanwithin30days,theinquirieswon’taffectyourscorewhileyou’rerateshopping.Ifyoudonothaveatrustedlenderorloanofficer,getAPRestimatesfromthreedifferentlenders.

CostlyMisconception#3 I’m not being charged a loan origination fee so I’m getting a better deal.

Remember...APR,APR,APR.ThelenderisstillchargingyoubutthefeemayshowupsomewhereelseontheGFEorbeburiedinyourinterestrate.

7

GUIDEYOUTHOUSANDS

WarningSignsthatadeadlyLoanSharkisinthewater:

1. Loans are offered through mail solicitation, telephone solicitation or door-to-door sales

2. The loan officer promises one set of terms when you apply but gives you another set of terms to sign, with no adequate explanation

3. You are told that you will be approved for a loan regardless of your credit rating or history

4. You are asked to sign incomplete or blank forms that will be filled in later

5. Information is falsified on the loan application to allow you to qualify for a program you can’t afford

6. You are pressured into applying for a loan or accepting monthly payments you can’t afford

7. The loan officer hurries you to sign the papers and tells you it’s not important to read all the fine print

8. Copies of documents aren’t offered or provided


AND RIP-OFFTACTICS THE MORTGAGEBUSINESS GETTINGSTARTED

4stepstoaShark-Freemortgageexperience

1.Startbygatheringyourpersonalinformation a.Creditscoreandhistory,checkforanyderogatorycomments thatcanbeclearedimmediately b.Understandyourincomeandanydebtsthatyouhave responsibilityfor

2.Listyourobjectives a.Refinancingtogetabetterrateorterm,debtconsolidation b.Newhomepurchase c.Iscashfloworbuildingequitymoreimportanttoyou?

3.Askquestions a.IsthereanyoneItrusttogiveadviceconcerningmy financingoptions? b.Doesaclosefriendorrelativeknowofatrustedsource? c.FollowthisConsumerGuidetointerviewprospective mortgagecompanies d.InvestigatethecompaniesbycallingtheArizonaStateBanking Departmenttoseeifanycomplaintshavebeenfiledagainstthem

4.Whenyoufindtherightcompanyorcompanies,askfor afreeconsultationtodetermineyourfinancingoptions a.AskforaGoodFaithEstimateandTruthinLendingStatement tocompareloanprograms b.Followthequestionsoutlinedinthisguidetofullyunderstand therecommendedloanprograms

The amount of work for a lender or mortgage broker does not change because you have bad credit...

Rip-offtactic#5 Overcharging

Thesearetwocommonoverchargingpractices-onemethodischargingmorebasedontheloanamountandtheotherischargingmoreforbadcredit.Bothareequallyunethicalfrommyperspective.Thisisthemostimportantthingtorememberinregardstothesetworip-offtactics:Theamountofworkforalenderormortgagebrokerdoesnotchangebecauseyouhavebadcreditorbecauseyouarebuyinga$1Mhousevs.a$100,000house.Theamountofpaperworkdoesn’tchangeandtheprocessingeffortdoesn’tchange.Theremaybecaseswheremoreconsultationisneededbytheloanofficerbut,forthemostpart,theseshouldnotdoublethefeestructure.Thisisprob-ablyoneofthemostfrequentlyusedrip-offtac-ticsbecauseitistheeasiestthingforatrustingconsumertorationalize...Theloanofficertellsyou,“Well,IhadtodosomerealnegotiatingandIwasabletogetyouapproved,butyourfeeswillbehigherbecauseofyourbadcreditscore”.Ifyouhearthesewords,runaway.Ihaveseenthisresultindoublingthefeespaidtothebroker.

Thebestwaytoavoidtheserip-offsistousealoanofficeormortgageconsultantthatfullydisclosestheirfeesup-frontandthenworkstheirhardesttofindyouthebestloanprogram.Also,haveanideaofwhatyourcreditscoreisandwhatareasonableinterestrateisbasedonthatscore.Thereisawebsiteyoucanvisittofindoneoftheseinterestrateestimatorsbasedonyourcreditscore:http://www.myfico.com

6



#3Rip-offtactic Backside Slaughter

Abrokermakesamajorityoftheirmoneyoneitherthefrontsideofaloancalledan“OriginationFee”,oronthebacksideofaloanbyincreasingyourinterestrate.Somemakemoneyonboththefrontsideandbackside,whichiswhyunderstandingAPRissoimportant.Now,it’sperfectlyOKforthebrokertomakemoneyandI’mnotsuggestingyoushouldn’tpaysomeonefortheirvaluableservices,butyoushouldknowifyouarepayingtoomuch.

Backsideslaughterhappenswhenthebrokeroverchargesontheinterestrate.Ifyourloanofficersendsyouagoodfaithestimatethatshowsyouaren’tpayinganoriginationfee(andyou’llseethisadvertisedaswell“nooriginationfees”),Iguaranteeyouwillbepayingtheoriginationfeesintheinterestrate.So,howdoyouavoidbacksideslaughter?Researchcurrentratesoraskanotherlenderforacompetitivequote.

Rip-offtactic#4 Adding Junk Fees to your closing costs

Bylaw,youshouldreceiveaGoodFaithEstimatewithin3daysofsubmit-tingyourloanapplication.AGoodFaithEstimate,orGFE,providesalistofallthecostsassociatedwiththemortgageprogramyou’veappliedfor.Takealookatthepre-paidfinancechargeslistedinthetopsectionoftheGFE,youshouldseethingslike:LoanOriginationFee,LoanDiscountPoints,ProcessingFees,AppraisalFees,CreditReportfees,TaxServiceFee,DocumentPreparationFeeandFloodCertificationFee.Somelend-erswillalsoincludewhatarecalled“junkfees”tounknowingconsumers.Junkfeesarenotrelatedtoarealproductorservicebutareincludedbyunethicallenderstosqueezeextramoneyoutofyou.Ifanyfeesseemquestionableorvague,askyourmortgageconsultantforclarification.

5

CONSUMERRESOURCES

Doyoubelieveyouhavebeen thevictimofaLoanShark?

1.Gethelp2.Letothersknowifyouhavebeenavictim3.Youcanhelpstopsomeoneelsefrombeingavictim

ArizonaAttorneyGeneral’sOffice:www.azag.govArizonaStateBankingDepartment:www.azbanking.govTheBetterBusinessBureau(BBB):www.phoenixbbb.orgorwww.tucson.bbb.org

ThisConsumerGuidewascreatedusinginformationfromtheFTC,FannieMae,TheU.S.DepartmentofHousingandUrbanDevelopment,TheTreasuryDepartment,theNationalAssociationofAttorneysGeneral,theNeighborhoodReinvestmentCorporation,theAssociationofCommu-nityOrganizationsforReformNow,TheArizonaSchoolofRealEstate,TheArizonaAttorneyGeneral’sOfficeandtheHomeOwnership


AND RIP-OFFTACTICS THE MORTGAGEBUSINESS

Nohighpressuresalestactics:Weemployprofessionalmortgageconsultants,notsalesmen.Clientsareexpectedtoaskquestionsandwillreceiveexperiencedanswers.Formost,ahomeisthebiggestinvestmentofalifetimeandthefinancialcommitmentcanlastsforyears.Youwillbeencouragedtotakeyourtimeandmakecomfortabledecisionsthatdon’tleaveyoustuckinamortgageyoucan’tafford.

Transparencyinallmatters:Aspartofourfreeconsultation,wedisclosealloftheservicefeesandexplaintheloanprogramtoyoursatisfaction.You’llknowexactlywhatyouarebeingchargedandfeelconfidentyouaren’tgettingrippedoff.

ConstantCommunication:Withaccesstoourweb-basedloanstatustool,you’llresteasyknowingtherewon’tbeanysurprises.Havingopencommunicationbetweenallpartiesinvolvedinthetransactiondramaticallyincreasesthechanceofyourloanclosingontime.Closingontimemeansyouavoidlosingearnestmoniesanddon’tmissachancetopurchaseyourdreamhome.

ConsumerEducation:We’vededicatedourbusinesstohelpingconsumersunderstandmortgages,andthrougheducation,forceothermortgageconsultantstoraisethequalityofservicewithinourindustry.

WholesaleBroker:AsaWholesaleBrokerwecanshopmultiplelenders,giveyouthe mostoptionsandfindyouthebestratesandterms…bankscan’tcompete withourproductoffering

ConsultativeApproach:Weuseaconsultativeapproachtoconsumerfinancingandprovideservicesfor: -NewPurchase -Refinancing -DebtConsolidation -NoDoc/StatedLoans

SWIMMINGINTHEKIDDIEPOOL: MORTGAGEEXPERIENCE

andSwitchtactic#2 APR Confusion

Mostconsumersdon’tknowhowtocalculatetheAPRofaloanandmostdon’tknowwhatitiscomprisedof.Lenderstakeadvantageofthislackofknowledge.APRisthe“AnnualPercentageRate”oftheloananditistheto-talcostofaloan,whichincludestheinterestrateplusanypre-paidfinancechargesthatarebeingpaidatclosing.Thesepre-paidfinancechargesarewhatthemortgagebroker,thelenderandthetitlecompanyarechargingtocompletetheloan.TheseincludeLoanOriginationfees,anydiscountpointsyoumightbepayingtoreducetheinterestrate,handlingfees,creditscorefees,titlefees,underwritingfees,processingfees,wiretransfersandwhateverelsethelendermaychargefor.APRisthebestmeasurementtoolforconsumerstousewhenshoppingforaloan.CompareAPRstomakesureonelenderisnotgougingyouonthepre-paidfinancecharges.TheAPRwillalwaysbehigherthantheinterestratebecauseitisbasedontheactualamountoftheloan,whichincludeswhatyouarepayingindiscountpointsandwhateverthelenderischargingtocompletetheloan.Asageneralrule,iftheAPRis2.5%greaterthanyourinterestrate,youaregettingrippedoff.

HowdoestheAPRconfusiontacticwork?TheotherdayIwenttothewebsiteofwhomIwouldconsidertobeaveryreputablelenderandtheyhadanadvertisementforanAPRrate,Iwon’tquotetheratebecauseitcaughtmyeyeasbeingexceptionallylow,soIclickedonthefineprintbuttontheyhadonthewebpagetolearnmore.IdiscoveredthattheyhadpulledouttheLoanOriginationfees,titlefees,brokerfeesandunderwritingfeeswhentheycalculatedtheAPR.ImagineyourconfusionanddismaywhenyouaresittingattheclosingtableandtheAPRsuddenlyjumps2%pointsbecauseyoudidn’treadthefineprint.Anincreaseofthatsizecouldkillyourdealandyoucouldlosethechancetobuyyourdreamhome.Whenyouaregettingpre-qualifiedforaloan,alwaysasktheloanofficerormortgageconsultantforatruthinlendingdisclosurestatement.ThisisastandardformthatallbrokersusetodisclosetheAPRandfinancecharges.AlongwiththetruthinlendingdocumentshouldalsobeaGoodFaithEstimatethatshowsthebreakdownofchargesthelenderisaskingfor.APRconfusioncanbeeasilyavoidedifyouaskforthesedisclosuresupfront.

4


BaitandSwitchtactic#1 Rate beaters and unbelievably low rates

You’veheardthesaying,“Ifitseemstoogoodtobetrue,itprobablyis”.Watchoutforlendersthatsaytheywillbeatallotherratesorthosethatad-vertiseridiculouslylowrates.Everyweekyouprobablygetadsinthemailorseebillboardsthatadvertise“ratesaslowas1%withzerodown”.Dotheseloansexist?Absolutely,howevertheyarenotalwaysappropriatepro-gramsformostconsumersandtypicallyapplytoinvestorsituationswherethe1%rateonlylastsforafewmonthsandthenadjustsquicklytohigherthanaveragerates.Iequatethiskindofadvertisingwiththecardealershipadsyouseeinthepaperthatshowacarwitharidiculouslylowpricebut

whenyougettothedealershipyouhaveahardtimefindingthecaryousawintheadorithasbeenmysteriouslysold.

Lendersusethislowrateadvertisingtogetyouinthedoor,but9timesoutof10thestorychangesandtheysay“thatprogramisnotrightforyoubutIhaveanotherthatmightwork”.Orevenworse,thereareun-explainedfeesthatshowupatsigning.Isthiskindofadvertisingethicalorhonest?

Itcanendupthatway,butIbelievethattransparencyanddisclosureineverystepofaloantransactionisbetterforeveryoneinvolved,especiallywhenyouaretalkingaboutalargeinvestmentlikeahome.Ineverprintoradvertiseratesbecausetheycanbemis-leadingtoclients.Aloanprogramshouldnotbejudgedoninterestratealoneandyourpersonalsituationhastobeconsidered.

Lenders use this low rate advertising to get you in the door,

but 9 times out of 10 the story changes


3

WHY YOU WANT ASHARK-FREEBY

RiskFreeServices:

• Free, no obligation mortgage consultation ($100 value) Assessesyourfinancialsituation,givesfinancing optionsandgainspre-approval

• Free Loan Status Report ($125 value) Pre-qualifiesyoutopurchaseahomeandallowsyou toshopwithconfidence• We will do everything possible to complete your mortgage transac tion on time. If we can’t help you, we will gladly refer you to an other honest, competent mortgage consultant.

• Our business is referral-based and we rely on clients like you to sustain and grow our livelihood

ThankyoufortakingtimetoreadourConsumer’sGuidetoChoosingaMortgageCompany.Ihopeyoufoundittobevaluableinmakingmortgagedecisions.Wewouldlovetohearhowthisguidehelpedyou.

Ifyouhaveanycomments,questionsorneedhelpwithrefinancingorpurchasinganewhome,pleasefeelfreetocontactme.

prof Pro .

BrettNordinFounder,NoSharks.infoBranchManager,IntellichoiceMortgage

AZ MB – 090721216


Notes

behaviorsoftheLoanShark:•ASharkchargesexcessivefees,pointsandinterestrates•ASharkusesprepaymentpenaltiesandadjustablerate mortgagesthatincreasewithoutregardstomarketconditions•ASharkusesaggressiveordeceptivepracticestoselltheirloans•Sharksstripequityfromhomesandlendwithoutconsideringthe borrower’sabilitytorepaytheloan•ASharkmailsorcallsregardingextraordinaryoffers toconsolidateyourbills•ASharkusesSpanishspeakerstogaintrustandconfidence ofHispanichomebuyers

TheArizonaAttorneyGeneral,TerryGoddardrecentlywrote:“DeceptivelendingisanalltoocommonproblemforArizonaresidents...predatorylendersarereadytotakeyourmoneyandmayenduptakingyourhome.”

HowcanyouavoidbeingthevictimofaLoanShark?Step1isreadingthisConsumerGuide.Eventhebest-educatedconsumercanhavetroubleunderstandingallofthenumbersandloanapplicationforms.Ihavedesignedthisguidetoserveasaquickreferencethatyoucanuseduringconversationswithamortgageprofessional.InsideIpartthecurtainonthemortgageindustryandarmyouwiththeknowledgeneededtoavoidpayingtoomuchforyourmortgage.Enjoy!

Sincerely,BrettNordinFounder,NoSharks.info.BranchManager,IntellichoiceMortgage

2


FOREWARD: A message from the author, Brett Nordin

WhydidIdevelopthisFREEConsumerGuideformyfriendsandclients?BeforeIstartedasamortgageconsultant,IwasthevictimofaLoanShark.

WasItheperfectvictim?Notbydefinition.•Ithappenedonmythirdhomepurchase,notmyfirst.•Themortgagebrokerwasreferredtome.•Iwasworkingwithanexperiencedrealtor toguidemethroughthetransaction.•Iknewhowtheindustryworked,howmuchtopay andhadstrongcredit.

Sohowdidithappentome?Theperfectstormofconfidence,trust,pressureandlackofknowledgeallowedmetomakeabaddecision.Frustrated,isprobablythebestwaytodescribehowIfelt.Icouldn’tasktherightquestionsbecauseIdidn’tknowwhattoask.Intheend,Iletthemomentumofthedealandfearoflosingthehousetoanotherbuyerforcemeintoamortgagethatisstillhauntingmetoday.

BecauseofthisexperienceI’mnowonamissiontoeliminateloansharksfromthemortgageindustryandraisetheethicalbarofmortgageprofessionalsthroughconsumereducation.

WhatisaLoanShark?TheU.S.Governmentcallsthem“predatorylenders”andhasgivenconsumersrightstoprotectthemselvesagainstbadlendingbehaviors.Butdidyouknowthatlenderscanchargeupto8%oftheloanamountfortheirserviceswithoutbeingclassifiedasapredatorylender?IfyouwerepurchasingtheaveragehomeinArizona,youcouldspendover$20,000infinancechargesandhavenolegalrecourse.Youcangetripped-off,andit’sperfectlylegal!

That’swheretheLoanSharkswimsin.Somewhereinthemurkywaterbetweenwhatisillegalandwhatisfair.Preyingonwhattheaverageconsumerdoesn’tknowandusingthecurrentofoverflowingdocumentsandriptideoffeartomasktheirapproach.

1

Notes


Inside you’ll Learn:

•5oftheBAITANDSWITCHandRIP-OFFTACTICS usedEVERYDAYintheMortgageBusiness

•6CostlyMisconceptionsthateveryconsumer shouldknowbeforeapplyingforaloan

•5QuestionstoaskaMortgageBroker toavoidgettingscammed

•QuickReferenceGuidethatCould SaveYouThousands

This is an educational service provided by Intellichoice Mortgage Services

WhatpeoplearesayingaboutBrett Nordin

• I use a consultative approach to consumer financing and provide services for: -NewPurchase -Refinancing -DebtConsolidation -ReverseMortgages

• As a Wholesale Broker I can shop multiple lenders, give you the most options and find you the best rates and terms… banks can’t compete with my product offering

• My services are Risk Free -Free,noobligationmortgageconsultation($100value) -FreeLoanStatusReport($125value) -Ifullydiscloseallfeesrelatedtomyservices

“DealingwithBrettwaseasyandfun.Ineverfeltpressuredandtheyencouragedmetoaskwaytoomanyquestions…whichiswhatIliketodo.Weloveournewhouseandfeellikewegotthebestdealpossible.Iwouldrecommendhimtoallmyfamilyandfriends.”- Doug and Shari, Chandler

“IwashavingtroublequalifyingthroughmybankandBrett wasabletogetmequalifiedandsavedtheday.Icouldn’tbelievehowfastmyloanwasapproved.Ifyouarelookingforsomeoneyoucantrust,Brett is your guy.”- Steve, Tucson

“Wehaveboughtthreehomesandhaveneverhadsuchaneasytimewiththefinancingandclosing.Whenit’stimeagain,wewillbesuretocallBrett.”- Tobi, Scottsdale

“IworknightsandhadahardtimefindingsomeonetoworkwithwhenIwasawake.Brett cametomyworktofillouttheapplication.Icouldn’tbelieveit!TheprocesswentsmoothandI’mnowremodelingmyhouse.”- Katie, Phoenix

“IshoppedalotoflendersandMr. Nordinwasthemostopenandhonestofthebunch.TheywerealwaysonestepaheadoftheprocessandIwasneverworriedaboutclosingthedeal.”- Brian, Fountain Hills

“Brett Nordinisveryknowledgeableandmadeusfeelcomfortablethroughouttheentirebuyingprocess.It’shardtofindgoodcustomerservicethesedaysandhe isdefinitely oneoftheexceptions.”- Mike and Patty, Yuma

Things you should know aboutBrett Nordin - MortgageConsultant

THECONSUMER’SGUIDE TO CHOOSING A MORTGAGE COMPANY


THE CONSUMER’S GUIDE · 2010. 6. 29. · We would love to hear how this guide helped you. If you...

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