Internet Lenders – Fact or Fiction
BANKRATE IS FEELING THE HEAT: Bankrate, the “800-pound Gorilla” of internet mortgages & online home loan rates is falling under fire.
The Bankrate website draws millions of visitors, with listings of lenders posting low mortgage interest rates and low loan costs. But as many reputable mortgage lenders have known all along, it turns out that consumers are finding the reality of Bankrate to be a little different.
A lawsuit is in the works against Bankrate, after hundreds of customers filed complaints about online lenders who failed to deliver the rates and terms they promised on the website. In fact, one lender actually told a Bankrate employee that a consumer would need a “direct pipeline to God” in order to qualify for the rates and terms they advertise on the site.
Why would a lender post rates and terms they are unwilling or unable to honor? To lure in consumers, that’s why! By the time the consumer finds out they are not getting the package they were promised, it is often too late to switch lenders and they are stuck with whatever new rates and terms the lender presents.
So are there any reputable lenders on Bankrate? Yes, of course. And some of those lenders were the very ones who prompted the lawsuit in the first place.
Bottom line – the internet at large can be a great place to gain basic trends and information about a home loan, but the Bankrate lawsuit illustrates the need to work with a Trusted Advisor.
Like your Mom & Dad always used to say – you get what you pay for. For your Tucson Home Loans it might cost a little more to use a Local Tucson Mortgage Expert, but in the end it usually pays off with a smooth transaction and no surprises at the closing table.
We Strongly advise all our Tucson Home Buyers to use our “Tried and True” Local Tucson Lenders!