CFPB- Consumer Financial Protection Bureau
Just last week a warning was sent out regarding misleading mortgage advertisements. You can read full release here.. What this is saying is they've found some recent advertisements are misleading to consumers and not disclosing all the information about true costs and terms of the loan agreements.
I actually think this is a good thing. All the ads out there that show 1% interest rate or super low fees or whatever the case may be is very misleading and I can't tell you how many times customers tell me about these deals and I let them know that those are just bait and switch ads but you won't find out until deep into the process or it's too late and by that time you're pissed off.
Sometimes it works and sometimes it doesn't and they have to go and find out for themselves the truth. The problem is...now they don't trust anyone and that makes it hard to do business in the future...
...and we wonder why consumer confidence is low with lenders and loan officers in general.
Now all companies don't do this type of activity but you do see some "creative" advertising to get people to pick up the phone and call.
I take a different approach because what I have found is people just want you to be real with them.
They will do business with and buy from people they like and trust and if I can develop a relationship with them; they will not only do business with me but will send referrals.
Most companies are just in it for the quick buck and that should not be the approach.
You'll make money and get some business in the short run, but this isn't how champions and professionals do business and it surely will kill you in the long run.
Anyway...that's my two cents on it.
I aim to build value and confidence so that customer has a great experience. And truthfully, if you just explain things to people in plain English; all the terms, go over the benefits of how the loan will solve their problems and have a solution based presentation, people will come chasing you to do business with you.
I don't really have to prospect anymore I just get referrals from clients, agents, and other sources because they know I'm for real; I don't sugar coat, I know what I'm doing, and I give realistic expectations.
It's not rocket science here folks...
Just a little warning...for those of you who buy leads from these crap companies, I would stop because they have ads on the web for all kinds of ridiculous things that are misleading to get people to click and give up their information.
So as the CFPB comes cracking down if you're buying from them ---guild by association.
Plus their sold to multiple people and companies. The best way is to build your business organic which takes time.
Check out the release above on the CFPB site and look out for more announcements like this as the CFPB gets up and running on all cylinders inspecting the practices of the all the lenders and brokers out there.
Get ready we're headed for more changes in the future.
Who will win in this environment? The Champions will... all the weanies will be pushed out and quite frankly...can't wait to see ya go...
No comments:
Post a Comment