Close Your Own Announces the Death of the Loan Officer

Jun 09, 2008, 01:00 ET from Close Your Own

    SAN CLEMENTE, Calif., June 9 /PRNewswire/ -- The Loan Officer has met
 his end. The recent subprime mortgage collapse and subsequent consumer
 credit crisis has caused a dramatic shift in the mortgage industry. At
 least it has for one mortgage company.
     Close Your Own has eliminated the Loan Officer so you can keep
 his commission.
     Most Homeowners don't realize that 25-90% of the fees you pay on a
 typical home loan go to pay a Loan Officer's commission. Therefore, many
 mortgage companies have to charge each borrower a higher rate or higher
 fees to pay that person's salary plus commission.
     You don't call a travel agent to book airline tickets anymore. You go
     You don't drive all the way to the bank to stand in line just to
 transfer funds between accounts anymore. You go online.
     Close Your Own Loan realized modern homeowners don't need a salesman
 and they don't want to be sold anything. They want to go online and close
 their own loan. Close Your Own Loan has embraced the modern internet age in
 a new way giving the power to the borrowers, not the Loan Officers.
     "We took a good long look at the current mortgage business model and
 realized how outdated it was," says Dan Mason President and CEO of Close
 Your Own Loan. "We asked ourselves if you can buy a car, a boat or even an
 island online, why can't you close your own loan online? We researched it
 and found that this is what people have been begging to do for a long time.
 So, we just gave them what they wanted."
     Online loan applications, "apply here" sections or online rate quotes
 are not exactly new, but what is new is the control of those features. "The
 biggest mistake many borrowers make is going to one of these 'get multiple
 quotes from different lenders' websites," says Mason. "What these
 information brokers don't tell you is that they are going to sell your name
 and phone number to dozens of different mortgage brokers who will then
 overwhelm you with phone calls trying to sell you a loan."
     A recent survey suggests this is not what borrowers want when they go
 online looking for a mortgage. The majority of respondents stated they
 would not recommend one of these "multiple quote" services to a friend.
     Mason says it was the results of this survey that inspired the creation
     How were they able to completely eliminate an employee that has been
 the central focus of home loans for decades? The answer lies in technology.
     Close Your Own Loan uses a sophisticated computer underwriting system
 called an automated underwriter. This automated underwriter is able to
 analyze every aspect of a borrower's qualifying criteria including credit,
 employment history, income, assets, etc. and is able to issue a full loan
 approval instantaneously and upfront.
     Most Loan Officers have to thumb their way through underwriting
 guidelines and loan matrices attempting to decipher which borrower
 qualifies for which loan. But, people make mistakes. These mistakes may
 cost a borrower time and money from a simple oversight on the Loan
 Officer's part.
     The automated underwriter is loaded with every underwriting guideline
 for every loan program and is able to detect any problems, issues, as well
 as any loopholes, up front. There is no more guesswork and no more putting
 your faith in a person who may or may not understand underwriting
 guidelines. A Loan Officer is, after all, a salesperson first and an
 underwriter second.
     Does the automated underwriter sound a little too complicated for you?
 Don't worry. Borrowers don't have to learn how to use the automated
     Once a borrower has selected their loan program and interest rate
 online, they will complete the online loan application. When they return
 the signed disclosures and items needed, their Processor will run their
 loan file through the automated underwriter for them.
     So, homeowners get to avoid the salesman and they get to avoid paying
 their high commission, but what do they know about closing a loan? How will
 they know what to do, what steps to take and how to get the best deal?
     Close Your Own Loan has eliminated the Loan Officer, but they have not
 eliminated the Processors. As any good Loan Officer will tell you, the
 Processor is the person who really makes the loan happen. The Processor
 gathers the information, submits the loan to the automated underwriter,
 orders the appraisal and basically processes the file from start to finish.
     "Our processing staff is a big part of the reason this concept works,"
 claims Mason. "The technology allowed us to put the power in the borrower's
 hands, but our expert Processors have always been the ones to make sure the
 loan process goes smoothly."
     Sharon Dinunzio, Senior Loan Processor at Close Your Own Loan, states,
 "Most of our borrowers tell us they were actually better informed and more
 comfortable with the process because they could check the status of their
 loan by accessing their secure online account any time day or night."
     Close Your Own Loan has enabled borrowers to eliminate the hassle of
 high pressure salesman and their unnecessary fees by putting the power of
 their automated underwriter in the hands of the people. We've eliminated
 the Loan Officer. You keep his commission!
     Close Your Own Loan is licensed by the Department of Real Estate
 #01806220 and the Department of Financial Institutions #510-MB-45825. Close
 Your Own Loan is a proud AAA rated member of the Better Business Bureau and
 an Equal Housing Lender.
     To learn more visit or call

SOURCE Close Your Own