Every so often, it’s important for consumers to be reminded of all the hard work that goes on behind the scenes leading up to conversations with their lender and then after their loan closes with their lender as well. By this, I mean what happens outside of the lines.
For example, there’s a tremendous amount of time that’s spent by a team of people who are responsible for developing product guidelines that ultimately help to create more loan products and choices for you.
To accomplish this, your lender might have what’s called a credit policy department typically staffed with an army of industry experts who work together to provide a variety of functions to your lender.
Within this department, you’d find a development team responsible for spending their day researching with investors and agencies to make sure your lender’s guidelines and policies remain up to date.
There’s even a condo team who performs condo project reviews to help facilitate condo financing options for you.
In addition, there’s usually a support team who works directly with the field. These individuals are dedicated to field support, such as taking phone calls and responding to emails to give advice and provide clarity on your lender’s credit policies.
There’s likely an exceptions team, too. This team is tasked with reviewing exception requests from the field on a case by case basis.
They’re charged with researching investor and agency guidelines plus reviewing any loan documentation in consideration of making an exception to a guideline to approve your loan.
On top of all that, when your lender closes your loan, there’s also an equal amount of effort spent by another large team of people who make sure your loan is properly packaged-up and successfully sold to the investor community.
This group is generally referred to as the post-closing department. Their primary initiative is to get your loan over to and then purchased by an investor as quickly as possible.
The department is commonly broken down into several areas.
The first is called the shipping area, which ensures your loan is complete and then delivered to the investor as quickly as possible once it’s closed.
The second could be what’s called the insuring area. If you have a government loan, then there’s most likely some form of government insurance attached to it and this area is responsible for auditing the file and insuring it with the necessary Government entity (FHA or VA) within the compliant time frames post-closing.
Your lender probably has even another area to help clear any conditions that the investor might place on your loan before they purchase it.
Lastly, after your loan is purchased, there’s yet a different area that works with the title company to get the accurate Security Instrument and final title policy to the investor before their specified deadline.
By maintaining a positive relationship within the investor community, your lender works tirelessly outside of the lines to deliver you a competitive interest rate.