Accreditation
- Verify the mortgage company’s accreditation with reputable organizations such as the Better Business Bureau (BBB).
- While the absence of accreditation does not necessarily indicate illegitimacy, it warrants further investigation.
Customer Reviews and Complaints
- Review online customer feedback and reviews on platforms like BBB, Yelp!, Google, and Facebook.
- Pay attention to recurring complaints or red flags raised by customers.
Registration and Licensing
- Contact your state attorney general’s office or state’s bank regulator to confirm the company’s registration and licensing status.
- Legitimate mortgage companies are legally required to register before conducting business.
Company Website
- Visit the company’s website and verify the provided contact information (physical address, phone number, email).
- Cross-check this information with other sources (Google Maps, BBB) for accuracy.
Website Security
- Legitimate mortgage companies prioritize customer information security.
- Check for a padlock icon next to the URL and “https” instead of “http” in the URL, indicating proper security measures.
Upfront Payments
- Be wary of mortgage companies that demand upfront payments or fees before providing services.
- Legitimate companies typically charge fees as part of the loan process, not before.
Company History
- Conduct a background check on the mortgage company to gather information about its history, reputation, and any legal issues or scams associated with it.
- Utilize online research or consult relevant authorities for this purpose.
Conclusion
To ensure accuracy, gather information from multiple reliable sources when assessing the legitimacy of a mortgage company.
FAQs
How can I verify the accreditation of a mortgage company?
- Check with reputable organizations like the Better Business Bureau (BBB) to see if the company is accredited.
Where can I find customer reviews and complaints about a mortgage company?
- Look for online reviews and feedback on platforms like BBB, Yelp!, Google, and Facebook.
How do I confirm the registration and licensing status of a mortgage company?
- Contact your state attorney general’s office or state’s bank regulator for this information.
What should I look for on a mortgage company’s website to assess its legitimacy?
- Verify the accuracy of the contact information and look for security indicators like a padlock icon and “https” in the URL.
Why should I be cautious of upfront payments requested by a mortgage company?
- Legitimate companies typically charge fees as part of the loan process, not before. Upfront payments may be a sign of a scam.
How can I research the history of a mortgage company?
- Conduct online research or consult relevant authorities to gather information about the company’s background, reputation, and any legal issues or scams associated with it.
What are some red flags to watch out for when dealing with a mortgage company?
- Be wary of companies that make unrealistic promises, pressure you into making quick decisions, or request sensitive information upfront.
What should I do if I suspect a mortgage company is illegitimate?
- Report your concerns to the appropriate authorities, such as your state attorney general’s office or the Consumer Financial Protection Bureau (CFPB).