Anyone use Eloan.com or other websites?

[kissinger99]

I'm looking to buy my first house and have been doing a lot of looking and reading. (Still very lost!) Does anyone have any experience with Eloan.com or other websites that offer easy loan shopping? Good or bad experiences welcome! Thanks.

[liverichly]

Normally they sell your information to anywhere from 4-8 companies. These companies may or may not run your credit report without your authorization. My girlfriend worked for a company who received LendingTree.com leads and when she spoke to the borrowers she found out that a lot of other companies would run the borrowers credit report without any authorization - highly illegal. But most of the time consumers don't care because they either don't know that it's illegal or they don't know their credit report has been run. We also subscribe to a "internet lead" company, and about 60% of the people we talk to said they put their information on the web weeks or months ago (when it's supposed to be hours) so if you do, prepare to get phone calls for the next 90-120 days about mortgages.

[anti-something]

more like 365 to 356000 days!

i wouldnt, just coz your info goes out to who knows who?? not good, you'll get heaps of inq hits.

JMHO

[firstsource]

That is one nice thing about the FACTA law/rule that has just gone into effect.

Every time your credit is run, you will receive a copy of the report in the mail.

We are supposed to only run credit when we have a borrowers signature authorization filled out. One credit reporting company I use insists that I get a loan application started before running credit also.

It is a pain, slows things down a bit, but good for the consumer. Years ago I saw a client whose credit scores had dropped over 40 points in less than 30 days due to all the credit pulls. Most of them not authorized, but done anyway.

Charles

[liverichly]

Even a signed borrowers authorization isn't enough for me to run credit sometimes. Sometimes I request them to fax me photo identification.

[amortgageman]

From time to time Eloan and Lending Tree questions have been approached on this forum. Somewhere in the archives was a question about over 40 inquiries from Lending Tree lenders and the credit score absolutely tanked.

I went over to the Lending Tree site and looked at the fine print, and just like applying for an online credit card, the applicant is giving permission for credit pulls on their credit reports when they hit the "Submit" application button. I would have to suspect Eloan to being the same, so be careful, it is in the fine print.

[Recovering Attorney]

eloan and quickenloans will only touch you if your credit is squeaky clean. don't waste your time if you don't have 700 or so. Ameriquest and Spectrum are tricky....you will be better served by a local broker who can get to know you and whom you can call on for help.

[Jazz4Cash]

I just located lender for a HELOC with Lending Tree. I thought the idea was that they did one pull and and let the potential lenders look at the profile. I got back 8 offers from 5 lenders within 12 hrs. I was very pleased that the lenders were all large well known mortgage companies. They all called me for follow-up, but the calls stopped when I went back to the lending tree site and hit the reject option for the offers that did not interest me.....one other item....when I spoke with the rep at one of the companies, he lowered the rate 1/4 point...........very satisfied so far.

Anyway, I believe multiple pulls would count as a single event?

[amortgageman]

Jazz,

Interesting about the HELOC. Some of us know about the ridiculous fees that Lending Tree charges to the lenders.

If you could, or would, share the closing cost information with us here. At $600 -$1,000 per lead from them, these costs have to be passed on to the consumer some way.

Care to share?

[firstsource]

You did not ask, but I think that with the interest rates doing the "interesting" things that they are,

and that last time we had deficit spending like this, the core interest rates went up a lot,

I would be care full going into a HELOC at this time. The interest rate can change every month, and I dont think it is going to go down soon.

Charles

[amortgageman]

You did not ask, but I think that with the interest rates doing the "interesting" things that they are,

You mean that a thirty year fixed rate mortgage is priced the same as a Prime Rate HELOC?????

I would be care full going into a HELOC at this time. The interest rate can change every month, and I dont think it is going to go down soon.

How many times have we heard in the news about "measured increases" in the Fed Funds Rate? It's not going to stop any time real soon, and every time that the fed funds rate increases, the Federal Discount Rate (the interest rate that the Federal Reserve loans money to banks) increases. When the Federal Discount Rate increases, there is an automatic reaction to the Prime Interest Rate, by the very same increase. Not to worry though, most HELOC's cap the interest rate at 19.95%.

If you have not signed the papers yet, be sure to look into a HELOC that has a fixed rate option. There are a few lenders that have these options available.

Charles or I could have pointed you to the right direction for some really good products available, and although some of the time it is "cost prohibitive" for a broker to try to compete with banks on HELOC's, knowing where the good products are, make it worth asking. Interest rate sometimes is not everything.