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brentj26
213 Posts |
 Posted - 08/07/2008 : 1:42:48 PM
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Anybody have any useful advice on how to get banks to send you their turndowns? I heard somewhere that there's a legal way to offer a bank a referral fee as long as they do a certain amount of the initial work.
Any help would be appreciated.
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rascal560
23 Posts |
Posted - 08/07/2008 : 2:36:07 PM
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| I work for a small bank and there is no way my bank would allow me to get a fee from another bank or broker even if it was legal. I would suggest just building some good relationships based on good service, if you can get a banker to give you a shot and you take care of his bank customer you will not have any trouble getting future referrals. Also return the favor, each time you get a stand alone 2nd or something that doesn't fit normal guidelines send it to the bank. |
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raeline
165 Posts |
Posted - 08/07/2008 : 2:38:13 PM
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| Join a BNI or TEAM REFERRAL Network there is always a Banker there and you build a relationship with them thats how i received some good referalls... |
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brentj26
213 Posts |
Posted - 08/07/2008 : 2:41:54 PM
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I didn't mean pay the loan officer at the bank. I was wondering if it was possilbe to pay the bank. They're already on the hook for the marketing costs, payroll, credit report, etc. I just thought it might make sense for them to recover some of those costs.
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ML
3019 Posts |
Posted - 08/07/2008 : 3:08:21 PM
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You don't have to pay a fee, but you do have to understand how a bank works. The Retail Bank branch manager gets paid a modest salary plus a "commission" based on Deposits, New Accounts Opened, CD's, Auto Loans, etc. The last thing a banker WANTS to do is T/D someone on a loan. They run the risk of losing that customer for good to the next bank down the street.
The approach I've used is, ask the manager to send you his T/D's. You might be able to help them, or if they are truly not credit worthy, then the prospective borrower has heard it from two different sources, and won't take the T/D personally from the bank, or take his business elsewhere.
Furthermore, if you work for a Mortgage Broker, or Mortgage Bank, you explain to the Branch Manager that you are not in competition with the bank for retail type business; deposits, auto loans, etc. Also, make sure you understand the banks programs for small ticket loans for H/I, HELOC, LOC, etc. These products come in handy when you're trying to D/C people prior to move up purchases. |
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rascal560
23 Posts |
Posted - 08/07/2008 : 3:11:59 PM
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| I know what you are saying. I just think you are going to have a hard time getting a bank to agree to that. They just want to take care of their customers and sometime get the dead loans off their desk. I would be thrilled if I had a broker come visit me for my td's. There are a lot of banks out there and a lot of lazy brokers, just go call on them and stay in front of them consistently and they will send you some loans. |
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Mandyvilla
3453 Posts |
Posted - 08/07/2008 : 3:16:30 PM
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Good old fashion, swing on by those near you. I network with loan officers from all over the place, each with something different to offer. I could join a BNI group, but personally, that is too much of a time investment for me, the local Board of Realtors is less time per month. Keep track of who does what - and I am not talking about 50 sources, but 10-15. Someone will ask you if you do such and such, and you can come back with "I think so, I have a friend that was offering that last month. Let me make a call for you and one of us will give you a call." Yes, there is the danger someone may snake your contact, but you will find you get far more first rights of refusal to make up for it. (and if they don't play nice, they are off your list.....PERIOD, no second chances).
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brentj26
213 Posts |
Posted - 08/07/2008 : 3:18:59 PM
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Thanks for all your input. Looks like I'm going bankin tomorrow
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ejgoldy
119 Posts |
Posted - 08/07/2008 : 3:32:33 PM
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| I would doubt that this is a viable channel in today's world. Without b/c paper what can you offer that the bank cannot? |
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PinnaclePeters
1116 Posts |
Posted - 08/07/2008 : 3:32:40 PM
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quote:
Originally posted by ML
The last thing a banker WANTS to do is T/D someone on a loan. They run the risk of losing that customer for good to the next bank down the street.
The approach I've used is, ask the manager to send you his T/D's. You might be able to help them, or if they are truly not credit worthy, then the prospective borrower has heard it from two different sources, and won't take the T/D personally from the bank, or take his business elsewhere.
Furthermore, if you work for a Mortgage Broker, or Mortgage Bank, you explain to the Branch Manager that you are not in competition with the bank for retail type business; deposits, auto loans, etc. Also, make sure you understand the banks programs for small ticket loans for H/I, HELOC, LOC, etc. These products come in handy when you're trying to D/C people prior to move up purchases.
Excellent reply.
As far as commercial loan origination, here's my input.
A huge chunk of our business comes from small Community Bank fall-out. They have loans on their books that they do not want to re-up right now. They are trying to free up some room on their balance sheets and often choose not to refinance balloon notes for current customers.
You can spin yourself as a way for them to preserve the depository relationship they have with the borrower and keep them from applying at the big national banks - who would want their deposit business as part of the deal.
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dkendall1979
10290 Posts |
Posted - 08/07/2008 : 3:37:20 PM
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| Pretty flyers work well with 9-5'ers |
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brentj26
213 Posts |
Posted - 08/07/2008 : 3:37:36 PM
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| I know the b/c world is dead, but there are a lot of small community banks that don't offer FHA. A lot of them have really tightened their guidelines. It would be foolish to think they are'nt turning down a lot of deals that I could get approved. |
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darkstar
18309 Posts |
Posted - 08/07/2008 : 3:39:26 PM
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I don't think they can hand you anyone's information without that person's consent...AND I wonder if a bank wants to refer to anyone in case there's an issue, they may be looked at as being part of it since they made the referral and be concerned with getting sued...
BTW< long time no speak! |
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brentj26
213 Posts |
Posted - 08/07/2008 : 3:45:05 PM
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| good to hear from you. How have you been? |
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Mandyvilla
3453 Posts |
Posted - 08/07/2008 : 3:49:10 PM
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I suggest you approach it by going by the various bank branches or even calling a mortgage loan officer at a local mortgage company. First be clear you are looking for reasons to cross refer business, all on the up and up. Shoot the breeze that this business is tougher than ever, loan officers are dropping like flies and this looks far better than the usual cut throat approach. Start by asking them (actually interview them) about what can they offer no one else can. Land? Helocs? Investor? Research the titles on these threads. Did you know most retail bank branches without mortgage companies do not lend VA or FHA? What about credit unions? Have your list ready (on a flier) with a card attached on what you have that is different. The few that I work with know if I get a call from some stranger and they say my friend at such and such said you may be able to help.....oh and be sure to keep your source in the loop. Right now, they are the source's customer. You snake them, that will be your last customer referral......it's just not cool to bite the hand that feeds you.....especially if you plan to live in that town for a while.
What is the worse that could happen? You meet some people in the trenches with you. Maybe find a boss in your furture? It's worth trying - let's just say I can only see good possibilities, very little downside. (Oh, and NEVER ever go to a bank branch on a monday or a friday). |
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dkendall1979
10290 Posts |
Posted - 08/07/2008 : 3:50:41 PM
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You have to build the relationship/trust. They don't just start throwing your name out to their customers without some form of base to build yourself up upon. A stack of cards and a pretty flyer that explains what it is you do (with a picture, they all like pictures for some reason) is about all you'll need. Also, never offer any "fees", it's illegal and banks don't like the talk of such things.
quote:
Originally posted by darkstar
I don't think they can hand you anyone's information without that person's consent...AND I wonder if a bank wants to refer to anyone in case there's an issue, they may be looked at as being part of it since they made the referral and be concerned with getting sued...
BTW< long time no speak!
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brentj26
213 Posts |
Posted - 08/07/2008 : 4:01:09 PM
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Do either of you have a flyer that you use? Would it be possible to get a copy of one you use or of one that a mortgage guy has shown you?
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U812
390 Posts |
Posted - 08/08/2008 : 04:17:04 AM
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Rainy days are also good days to market to Bank LO's. Less client traffic and boredom make them a bit more receptive.
Also, dress for success. |
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Mandyvilla
3453 Posts |
Posted - 08/08/2008 : 05:02:11 AM
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No, not really - somewhere I have a letter I used for letters sent to other bankers/mortgage loan officers for HELOC biz, when I had HELOCs to sell.
Keep it simple. At the beginning, do a one paragraph blurb that times are tough for everyone, and success can even depend upon the competition, as long as the referral process respects the referring relationship and does not attempt to disrupt an existing relationship. Not only do you respect that relationship, you will attempt to strengthen it. How? By reporting to who sent the referral and allowing them to act as gatekeeper. (Chances are they will decline the constant status calls and requests for documentation).
Paragraph 2: About you. Quick resume type (what kind of mortgage loan jobs you have worked - length of time not important, "I learned this business in the trenches acting as _____________ and quickly worked into a top producing sales spot or quickly became the the appointed office expert on ___________loans) and if your resume is short, then resort to expounding your core values, "It didnt' take me long to realized that after product, the next important factor is customer service, a lost art." and so on, not long - 4 or 5 sentences, this is where you are selling you.
Paragraph 3: Products you can offer that may not be available elsewhere w/ bullet points. KEEP IT SIMPLE. too much information is not only intimidating, it eliminates the need to call you.
Paragraph 4: Ask again for the biz with a statement that you look forward to returning the referral, whether it be for mortgage loan products you cannot accommodate or other consumer banking products.
Taaa-----daaaaa. KEEP GOOD NOTES after every F2F call, index cards help kept in the car with things we tend to forget by the time the second meeting occurs (in many of my sources, I have only met them once and use email to grow the relationship).
Good luck, give us some feedback!
(Try to start w/ low brand banks, not your high profile...the only real shot w/ high profile is if an established contact takes a job w/ one).
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brentj26
213 Posts |
Posted - 08/08/2008 : 09:23:39 AM
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| great advice. i really appreciate you taking the time to help me out. I'll keep you updated. |
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