Sept. 6, 2017


  • Well written article Victoria! I am curious if the experience after the sale had any bearing on your decision? For instance, if you went through a local mortgage broker, they likely sold the loan to a company that likely will sell to another, and another.....and so on. Some folks are fine with this, but our members tend to want to "stay local" not just with the origination process, but the payment/servicing process. Curious as to any thoughts on this part of the mortgage experience.
    Russ Bernardo
  • Thanks for the comment and question, Russ. It’s good to hear from you! Many credit unions sell mortgages to the secondary market, of course, and we knew that would likely happen no matter who we financed through. And while some credit unions retain servicing rights to keep that relationship in house after the loan is sold, we knew we couldn’t count on that, either. The mortgage broker we worked with was very transparent during the first conversation we had with him that the loan would indeed be sold. We closed in late August and it has already been sold to Chase (we got the notification yesterday). It didn’t really bother us, per se, because the communication has been very open, honest, and clear. However, it was sold so quickly, it caused a few issues with our homeowners insurance – more on that coming soon!
    Victoria Taylor
  • I am from Kansas, but I don't own a pitchfork; however, I do have a concern with articles titled such as this as I believe it perpetuates the myth that CUs aren't as savvy as banks and online lenders. Go ahead, Google CUA, we won't pop up to the top of the search. We are however often in the top 5 lenders by unit and dollars in our market. Yes, ahead of Quicken and BOA. There is more than one way to skin a cat. It's a shame that you didn't educate your realtor to the facts of CU market share growth in mortgage lending over the last few years. Perhaps she'd find an often better lending source. I wonder if you've done a post closing comparison of costs with a local CU lender? It may be painful but good information to have. In my experience Millennials are not that different than other borrowers. They want experienced personalized assistance with major financial decisions. Certainly you can get that from a banker. We've hired several of them.
    Eileen Phelps
  • Thank you very much for your comment, Eileen, we really appreciate it. Congratulations on CUA’s success in your market there. Learning how successful credit unions got that way and stay that way is a big part of what we do at Callahan & Associates, so it’s heartening to hear about what your credit union has accomplished. We would have much rather gone to a credit union for our mortgage. My husband and I did research our options, and were surprised to learn how limited they were for us to go the credit union route. We were in a hurry and perhaps didn’t take the time to do all the research we should have, but I’m sorry to say that we really didn’t have the time at that point. We did mention our commitment and respect for credit unions to our real estate agent, but for expediency, we went with his suggestion.
    Victoria Taylor