REFINANCE OPPORTUNITIES STILL EXIST

Record-low mortgage rates have led to a refinancing boom unlike any other in American history, but according to a Bankrate survey, more than a quarter of current mortgage holders (27 percent) don’t even know their current rate to determine if refinance opportunities exist.

With rates still low and volume decreasing slightly, now is the perfect time to reach out to members who do not have a mortgage
with your Credit Union. It may be as simple as calling to find out if they know their current mortgage rate and offering a comparison. Or perhaps this is the right time for a simple postcard campaign.

For members who already have a mortgage with your Credit Union, ensure they don’t take their mortgage elsewhere by proactively
offering them your best rate. A personal call from a loan officer may be just what your member needs to pull the trigger and refinance with you. Be prepared to tackle obstacles such as: “it wouldn’t save me enough money”; “closing costs and fees are too high”; and “there is too much paperwork and hassle.” Using the Consumer Loan Consultant tool in the LOS will help you craft quick, concise answers.

Currently about 15% of the MMS portfolio consists of high-quality refinance candidates. These are members with owner occupied
mortgages on homes valued above $100,000 who are paying above 4% on their current mortgage. The Solicitation Report on the
Affiliates website shows which members are a fit for refinancing and gives you valuable contact data in an easy to run report.