Jan

“I believe that banking institutions are more dangerous to our liberties than standing armies. If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs.”
Thomas Jefferson, Letter to the Secretary of the Treasury Albert Gallatin (1802)
3rd president of US (1743 – 1826)
These are the words from one of the most influential presidents to ever serve “our country” in the White House and one of the authors of the declaration of independence.

Let’s face it..Bankers and Lawyers are STEALING us ALL blind!!! When it’s all over, and China moves in, and parts us out to Russia..and/or whoever, it will be becasue Bankers and Lawyers have Sold us out!

EVERYONE needs to get prepared to live in poverty…Our forefathers would JUST SHIT!!

The ONLY way to turn it around, is to STOP electing Lawyers, and STOP borrowing money….Pay as you go!!!! Like our Grandparents used to!

Those who want to label all of the struggling homeowners as greedy, self-serving debt addicts are just trying to keep their own demons at bay.

It’s easy to piont fingers and blame others, easier than it is to look in the mirror and think about what YOU personally might have done wrong.

I read all of those posts in that light. See ya on the other side of the forum!

You said: “When the L.O. recognizes that the borrower is either lacking on paper or in the mind. The evil L.O. does bad. He/She realizes that the borrower is not working from a position of knowledge.” — t

This is just plain wrong and needs to change.

Thanks, I am in the other forum as StangFlyer70. Appreciate the insight. I just get really bent when reading about the free ride some are led to believe some of us our on. I took it in the tailpipe from the beginning and now its being pulled through the urethra. Certainly isn’t a free ride in my neck of the woods.

Tom

And in your first paragraph lies the moment things go wrong. When the L.O. recognizes that the borrower is either lacking on paper or in the mind. The evil L.O. does bad. He/She realizes that the borrower is not working from a position of knowledge. No list will be provided in this one. The good ones will stop and suggest or advise not to do the loan. The list here is the good advice. You must heed good advice. But the bad ones don’t say anything and there you have it. Problems

In terms of the YSP. It’s there. It’s always there. The use of the YSP for brokers is case by case. The use of the YSP is slightly different when dealing with a banker.

When shopping for rates, understand that the market is setting a rate that lenders and banks will all follow suit from and present to you. It’s an almost “it is what it is” thing with that. The golden rule theory. You will see small deviations here and there but it’s basically consistent throughout. The criteria are usually the same.

If your situation applies to what they are offering, then there it is. You get the good rate. Verify the rate with several lenders and banks. If it’s the same, then that’s where you start. At that point it’s service and a feeling of comfort. Remember this is not you mom or your grand moms. Comfort can still get you caught up. Stay on guard.

Anyway, you have the option of discount points to lower your rate, but it cost money to do that. No way around that. Sometimes it’s worth the money, sometimes it’s not. The biggest thing is to know what you will and won’t settle for. In realistic terms.

If the going rate is 5.875%, pressuring for the 5% just because, will not be taken serious and you’ll be handled accordingly. Not good. Always have logical reasoning behind all of this, especially the rate. When a customer asks me for a rate other than the one I’m presenting them, my response is why and based on what?

Keep in mind, if even one aspect of there criteria is not met, and then everything can be affected, including the rate you receive. The more you stray away from their criteria, the worst you get. Keep in mind, the YSP is still there. I know there are constant debates about the YSP but that is really a small part of the problems in this industry.

I’ll let the lender make YSP all day over a crazy product. The product is what hurting people. The lender can only make so much. If I can’t handle the rate, then no deal. He gets a YSP of nothing. If it’s a deal I can get better somewhere else, he knows from the start. It’s worth a try for him. I not mad at that. I probably hit him with some “but can you do this.” Then when the blue dust settles, I’ll let him call me the next day with a good story on how he had to “Kill the Dragon” to get this rate for me.

Absolutely, I used to be one of those people. Am still, in some ways but I am learning. I like your list. We all have to armed like that when entering the business world. And we especially need what you described, the “off” switch — maybe MBs can come up with a list of what a borrower needs to know, the basics of what a borrower should absolutely understand when coming to a closing table.

For instance, the talk about YSP. What do I care if the broker get’s paid a YSP? I think a broker deserves to be paid for work he/she has done.

I want to know about the YSP because I want to know that there is a possibility that I can get a loan at a lower rate. I want to know what kind of loan that would be and make an informed decision about what kind of loan I’m gonna close on.

So what would MBs here advice as a 1-10, must know for borrowers?

My reasoning behind the education emphasis is because when you and I go to our loan officer to do some business, we expected a level of understanding and to some degree some compassion to our situation.

Why, because you are dealing with another human being. To consumers it makes sense. However, when things go left, then the humanity on the business side is disgarded and everyone stands behind “it’s business.” That’s when some of those who have been taken advantage of feel like tearing their L.O. to pieces. So I just circumvent the emotional thing and just go straight business. To do that, I must arm myself with the necessary knowledge to get what I want and to get it just how I want it.

In this industry the consumer needs to have these things already figured out:

1. The credit must in good. 700 good
2. If It’s a purchase, be prepared to spend money and spend it.
3. If it’s a refinance, make sure it does just what you need, nothing more.
4. If you are investing, be prepared to lose. People lose site of what investing entails. You can win and you can lose.
5. Understand in detail 1-4
6. Make a plan from finish to start and then execute from start to finish
7. Plan in advance what you will and won’t accept and stick to that.
8. Once you are satisfied, then and only then sign your life away.

JacMac, my syndrome kicks in only when doing business. . I shut it off when I get home. If I acted like that all day I would probably explode. You are right. Life is all about living it. To make good sound decision, one needs to know how a thing works. Don’t just rely on the professionals to tell you. That’s the issue in this industry. Not all, but alot of people on both sides don’t know what they are doing.