6 Ways To Increase Your Home Equity Portfolio…

Interest rates are rising. Refinances are falling. 0% car financing is still readily available. How can you meet your credit union's growth goals? Home Equity Lending could provide the opportunity and here are a few ideas on how to build a successful program.

 

By Old Republic Insured Credit Services, Inc.

 
Old-Republic

Offer Same Day Loan Approvals. Skip the title and appraisal work on loans for members that meet your specified underwriting guidelines and minimum credit criteria. You can close loans faster and have fewer deals accumulate in the pipeline. This will save your loan officers time and the credit union money which can be spent closing more home equity loans.

Expand your product mix. Offer new products, such as; Piggyback (Purchase Money) Loans and Lines of Credit to complement your first mortgage programs. Expanding your product offering gives your members choices and enables you to stay competitive with other lenders in the area.

Enhance your underwriting guidelines. Provide 100% LTV financing to new homeowners for home improvement loans or offer over 100% LTV loans to established homeowners.

Cross Sell loans. Add a debt consolidation option to a home improvement loan. Offer a home equity line of credit with every first mortgage transaction.

Advertise in your local newspapers. Summer is the time for family vacations and Fall is the time for student loans. Advertise home equity loan specials that can be used for trips, financing college tuition or other expenses.

Sponsor a contest or give-away. Create a contest theme and give away a prize that fits within that theme. For example, a “Do-it-Yourself” book or a gift certificate to a home improvement store with each new home improvement loan that is taken out; a chance to win a laptop computer for each home equity loan that is taken out for the purposes of financing student education, or even a drawing for a trip for all new account openings.

Risk mitigation and high LTV protection are the cornerstones involving some of the above recommendations and ideas. Old Republic Insured Credit Services, Inc. (ORICS) can help you enhance your home equity lending program by offering loss protection through credit indemnity policies underwritten by Old Republic Insurance Company. These loss protection benefits are designed to fit around your existing lending programs and guidelines. They enhance your programs which gives credit unions, like you, the ability to increase volume without increasing risk. ORICS has been partnering with credit unions for 50 years. For more information on how we can help you increase your home equity lending portfolio, visit us on the web at www.oldrepublicics.com or call us at 1.800.621.7873.


 

This sponsored content article is provided to the credit union community for shared insights and knowledge from a recognized solutions provider in the industry. Please note that the views and opinions offered here do not reflect those of Callahan & Associates, and Callahan does not endorse vendors or the solutions they offer.

If you are interested in contributing an article on CreditUnions.com, please contact our Callahan Media team at ads@creditunions.com or 1-800-446-7453.

 

July 12, 2004


Comments

 
 
 
  • Same day approvals is a big advantage in the market place followed by very quick closings.
    Anonymous
     
     
     
  • Offering same day approvals is the biggest move you can make to get more loans. We offer same day approvals/next day close thanks to some great new title & appraisal tools.
    Anonymous