Are internet mortgages trustworthy?


Internet mortgages can be easy to shop, especially if you have found a direct online lender. Applying online for home loans saves you time and effort; also a reputable internet mortgage lender will adhere to strict Federal Government rules and provide security to your personal details.

How do I know that the online mortgage lender is a trustworthy mortgage loan source?

Everyone knows that the internet is not a safe place - internet fraud and scams, identity fraud, and a lot of phishing accompanies your web experience. However, direct internet mortgage lenders will be registered by Freddie Mac and Fannie Mae, so you can check their registration number online. They are also supposed to have HUD registration and cite how many US states they service. Licensing is important so make sure you run a check on them.

Once you find a web mortgage loan provider you can trust, you can contact loan officers either through live chat, or submitting your questions via web forms. Most of your concerns are likely to have been asked and answered at the FAQ page.

What information is necessary to provide for internet mortgage loans application?

The new USA Patriot Act requires that online lenders collect name, address, date of birth, any identification number such as driving license, or social security number (SSN). Additional documents to verify your identity may also be requested.

Property information, loan type and amount, income, asset and additional debt information will also be necessary for an official online mortgage application.

Are internet mortgage sites secure and why should I shop for internet mortgages at all?

Internet businesses try to perfect their web portals security to protect their customer's personal data protection. However, if you have any concerns, you are advised to contact a lender rep - usually through a toll-free number and email.

Online mortgage applications eliminate certain loan-associated costs, such as broker and loan officer's commissions, thus reducing significantly the upfront costs of the loan. A quality internet mortgage lender would offer lowest costs compared to other traditional large lenders.

There are so many online mortgage lenders - what is the difference between them?

Internet mortgage loan closing will usually require $300 deposit in the very least that will be charged immediately after the loan application is received and approved.  Your application will be automatically underwritten in several minutes at most, and rates and terms pertinent to you will be offered right away. Right after that, your credit card will be charged the loan deposit amount to be used against certain loan origination costs, such as property appraisal.

With large lenders who simply take online mortgage applications, they will get back to you within 3 business days, and you will be expected to show up in the office for a talk with a loan officer.

When dealing with direct online lenders, all your documents are sent by fax or e-mail, the loan can close within 10 days, and you have to simply attend your closing attorney's office to sign the loan papers.

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