Dear Friends – If you don’t want to get bombarded by telemarketers, there is a right way, and a wrong way to get banks to compete after you.
The wrong way is…
You guessed it! Go ahead, put your information out there on the web, hand over your phone number and email address to some lead generation source that has a fancy name. Some names of these data collection sites easily come to mind. Others may disguise themselves as having some type of official government affiliation. These lead generation sites will pose as being a service to you, and perhaps they may be in some aspects. But, the consumer should know that they are a for profit enterprise that makes money by collecting your information, and then “SELLING” it to 3 or 4 other lenders. Many of these companies will continue to re-sell your information over time, but for less money as your original inquiry becomes older, and frankly, worth less money as it becomes dated.
To reiterate, online loan-shopping platforms traditionally require borrowers to share financial data and contact information, which are then sold to a limited pool of lenders. The biggest problem with this type of loan search is that YOU are not picking the Lenders that you want to “compete after you”. After you have provided your information to these lead generation sites, the lenders that are competing for your business, are the lenders who feel the need to pay for so called mortgage “leads”. The next biggest problem may be the challenge in possibly having these lenders quit contacting you. This might also include future lenders who may have paid for your information the second go round, or the third go round after the lead generation site has re-sold it over and over again. Keep in mind, if you willingly give out your contact info to one of these sites, being on the do not call list may not prevent repeated and unwanted calls from them? As if the “do not call list” always works as intended anyway?
Many times, putting your information onto a lead generation site may not merely result in continued phone solicitations. Another consequence, may also result in endless spams that could come from different email addresses, making it difficult, if not futile to unsubscribe.
Don’t get me wrong, “getting banks to compete after you” should be a good thing. But why not take control, and make the decision of which banks you want competing after you?!? In doing so, you can make a few phone calls, talk with and interview the lenders that are local, and have been recommended to you as a trustworthy source. By working with a local and trustworthy lending source, you should have access to rates and costs that are just as (or more) competitive than the distant, online lenders. Additional benefits of this includes the decreased annoyance with follow up solicitations from out of state mortgage telemarketers long after your loan shopping is over.
If you are looking to purchase a home this year, please contact me. By referral, I will sit down with you to go over your loan options. We will review and discuss your loan options including monthly payments in various price ranges, closing costs, how escrows for property taxes and homeowners insurance work, what you qualify for, and, to answer all of your questions.
-Bob Hein, Mortgage Lender
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