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Mortgage Broker News | 30 Apr 2014, 10:01 AM Agree 0
One broker is frustrated by a major bank’s refusal to allow him to work with any client who had previously inquired about a mortgage at the branch level.
  • KJL | 30 Apr 2014, 11:51 AM Agree 0
    Your problems can be solved very quickly - STOP sending the deals to the banks. This has been a known fact for the 42 years I have done this ! They play the "bully's" - just like the school kids. There are 21 mono line lenders and majority have a better package than any of the banks and/or credit unions. Stop feeding the fire !
  • Silly Rabbit | 30 Apr 2014, 11:54 AM Agree 0
    Why do you deal with a bank in the first place? so they can steal your client on renewal?

    You deserve to lose money if you're that blind to what banks do for a living....
  • Kevin Duffy | 30 Apr 2014, 11:54 AM Agree 0
    Just another example of brokers not realizing that the Bank is not your friend. I really fail to see why brokers deal with Bank lenders at all. I don't
  • Banks | 30 Apr 2014, 12:34 PM Agree 0
    I have had this happen that the underwriter informed me that they can't post an approval until the branch cancels. So the client just has to call the branch cancel the deal on their end and my underwriter can then proceed.
    I haven't lost one yet because of it.
  • John Bargis | 30 Apr 2014, 12:38 PM Agree 0
    Whether the lender is a bank, or a monoline, it's all about the client in the grand scheme, and no lender is the exception.

    We as proprietors need to keep in mind first and foremost when assessing who to partner up with, which lender is actually interested in partnering up with us long term. Renewal and Trailer models are a great option with some lenders, which should be explored further if one wants to build future value for their business. That's not to say that lenders who don't pay residual comp don't partner well with brokers.

    A word of caution, when considering renewal/trailer models, make sure you obtain in writing that the residual compensation offered is paid perpetually and cannot be retracted. Otherwise, you may be unpleasantly surprised.
  • Mario | 30 Apr 2014, 12:42 PM Agree 0
    "The times they' re a changing".
    Valid points about NOT using the banks ( the few that are left in the broker channel). But... let's face reality; there are deals that Monolines can't do due to the nature of their funding sources & structure. As well, I have been finding that more & more Monolines are getting Super aggressive at client retention offering even lower rates to the client than they offer to us in order to retain clients.
    On top of that more & more Monolines are applying for bank status. Are we seeing a trend here?
  • A Broker | 30 Apr 2014, 12:55 PM Agree 0
    TD Bank is famous for this trick. I've lost deals back to the branch after securing a commitment through Filogix and the client signs and accepts and takes it to the branch, they better the rate and they call it their loan. My TD rep absolutely no help.
  • banker | 30 Apr 2014, 01:34 PM Agree 0
    Why would a bank pay on a deal it already had in the pipeline?,
  • Deborah | 30 Apr 2014, 02:06 PM Agree 0
    Ahh competition is alive and well!!! NOT!
  • Jivan | 30 Apr 2014, 02:53 PM Agree 0
    I had a very similar scenario where a client was extremely dissatisfied with a certain broker channel bank that also has road reps and a branch network. I was told by their Manager straight up, that they will lose the deal but there is no chance they will allow it to be transferred to me. His quote was "that would be really bad politics" last i checked this was about getting clients the best value not "politics"
  • Troy Resvick | 30 Apr 2014, 02:57 PM Agree 0
    I'm surprised that no one has asked "Why did the client return to their FI"? It happens for a number of reasons, all of which are due to an unmet customer need or a failure to create an enduring relationship...
    Provide better w/ service, value and expertise with a client-centric approach and you'll build lasting relationships with your clientele.
    As for the Rate Shoppers, they are out there, deal with it...find a way to meet their needs or do a better job pre-screening.
  • OkanaganBroker | 01 May 2014, 11:29 AM Agree 0
    When this has occurred I just have my clients sign a letter withdrawing ALL applications/dealings with that lender/branch...then they are my client and the deal gets done...and lets not get into bank vs monoline stuff here...the banks are not evil, they provide many benefits to the client and us that monolines don't, and they pay us! Each clients needs should be considered instead of just placing them with the lender that will benefit the broker best...(sorry...got off on a rant now!)
  • Zoltan M Padar MortgagePRO Ltd. | 01 May 2014, 12:11 PM Agree 0
    TD has punted us, we did not make the quota. Yet when we have sent deals to them, they turned everything down or conditioned the deal into death. Same time they are paying Realtors referral fee and when client goes to the branch they are to still them. Happened to me few times. They are wanted on both sides, yet pay you peanuts. The first 5 years they only collect almost entirely interest, most likely the fee they pay you comes back in a month or the most two. We are only slaves.
  • keith | 05 May 2014, 02:54 PM Agree 0
    HOW IS THIS ANY DIFFERENT THAN WHEN THE BANK BARS A BRANCH FROM DEALING WITH A CLIENT WHO IS ALREADY DEALING WITH A BROKER?

    Whine whine whine. That is a broker's tune.
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