Quicken Loans: C2 loan officers express “extreme frustration” over impending departure
The decision of C2 Financial To separate with Quicken Loans is of course a complicated matter. And, it’s the one that points to a bigger problem facing the mortgage industry.
For now, the origins are compressed, despite expectations, strong economic figures. Although strange (economy on the rise, but loan on decline?), It will not always be so. Lenders are now lining up clients for upcoming refis in the next couple of years or so. However, the way they treat customers today is the point of contention today.
Since the Monday morning cup of coffee was posted, C2 Financial Managing Director Brian Kent has confirmed authorship of the memo stating that their relationship with Quicken Loans will end this week.
C2 spokesperson Ron Temko sent the following to the newly formed business group, the Association of Independent Mortgage Experts, on personal experience testing how Quicken treats homeowners – The same homeowners who initially took out mortgages at C2, but then had Quicken take over the mortgage management rights.
“Before sending the [aforementioned] memo I called Quicken to refinance a C2 loan. During my conversation, they had three “open” opportunities to return the loan to C2. (ie “Should I go back to the broker who gave me the loan, or should I deal directly with you?”) Each time the answer was “No, we will handle the loan” , according to an email allegedly sent by Temko to AIME.
“There was no system in place nor any effort to do it. Quicken’s goal was to get the loan for themselves in this conversation. I think if we had 100 of our loan officers doing a Similar call to Quicken for one of their loans, all 100 calls would equal the same result, “he said. This experience codified the decision to part with Quicken.
In several subsequent communications with HousingWire, Quicken said they are working to ensure that refis are offered to the original LOs of the loan first, and anticipate a rollout soon.
Quicken Loans CEO Jay Farner told me he’s already seen the fallout from the crippling C2 decision.
“Although we have not yet had a chance to speak with management, C2 employees have been very loud. Over 25 C2 loan officers have personally contacted the QLMS management team to express their extreme frustration at this seemingly rash decision, ”he said. .
“As C2 loan officers understand, this decision hurts them and their clients the most. It deprives loan officers of the choice to put their clients in touch with the lender who offers the best service in the industry and extremely competitive rates. “