With the growing presence of technology in all areas of life, many mortgage companies have either gone completely online, offering their services over the world wide web, while some companies have used the internet as a tool in addition to their "brick and mortar" offices.
The question oftens arises, is it really more cost efficient and secure for me to apply for a mortgage online?
What things should a client look for and avoid when completing an online mortgage application?
Look to see that the company is an equal housing lender, and also if the secured website logo is on the page. Also, never be afraid to try and call the company to see if they sell your information, or even go as far as to request them to sign a form stating that they will not sell your information.
An advantage to filling out a web application is that you are able to do it on your own time, most often 24/7/365. Doing it from your home also allows you to have access to documents you may not have directly at your fingertips. You are able to gather information at your own pace.
While there are many legitimate mortgage companies that operate only as a web based company, always check up on the company. With the constant threat of identity theft you should do your own research. Some online applications are a very basic form that collects general information about you and your transaction. While others collect a huge amount of personal information from your social security number to account information.
A good place to check is the Better Business Bureau. You can look the mortgage company up on the BBB's website. Although not always an accurate of a company, you can see if a company has repeated complaints or not.
Before submitting an online application, it may be a good idea to find out if they can originate loans in your State.
Pay careful attention to where you are filling out the application. In some cases you may be filling out a "mini-application" that is actually generating your information to sell to mortgage originators. In other cases, you are filling an application to go directly to one mortgage professional. Ideally, you will choose your mortgage originator before filling out an online application and then, if you choose, you will only fill out the online application that your originator directs you to.
Many more mortgage companies are allowing you to apply online. This provides for added speed and efficiency in the mortgage process.
Also, unless you have spoken to someone and developed a trust bond, then placing your social security number on a mortgage application is not necessary.
When applying online pay close attention the to websites URL address. A secure website starts with HTTPS and an unsecured website starts with HTTP. Even if the little lock is in the lower right hand corner the site may not be secure if it does not start with HTTPS.
Some mortgage brokers will give you the option of filling out a shorter, more generalized online application. Such an application will not require your social security number, since no credit pull is performed. In this case, the broker will give you the best estimate possible, based on your own evaluation of your credit profile.
Providing your Social Security Number, bank account numbers and everything else about you on an online application should only be done with extreme caution. The website page you are completing this application on needs to be secure and show the little lock box on it, the company needs to be reputable, and it should not be a site that is going to resell your information to other companies. Use extreme caution and do some due diligence in researching the company you are about to work with before you complete a full online application. The safer route is to only provide basic information online about your situation such as name, address, phone number, your goal or what you are looking to accomplish, some detail about your situation, and maybe some basic employment information (such as monthly income and length of employment). This is much safer and after a mortgage professional has had a chance to review your basic information, they can contact you with a little background on your situation.
An online mortgage application doesn't mean the wholeprocess will be online. For the fastest service, submit your information online, and call 888-418-4467 to follow up with a live loan officer.