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Employees of mortgage companies handle a large sum of money and have access to private information like social security and bank account numbers. Laws exist that need employers to follow certain procedures when hiring Brisbane mortgage companies.
You can save your small business time and money by adopting hiring companies like BrokerCo Australia that practice fair play and aim to attract quality candidates.
Safe Act
In the past, laws in many states meant that you could hire anyone to work for your mortgage firm. This changed when the Federal government passed the Secure and Fair Enforcement for Mortgage Licensing Act.
According to this act, you can only originate loans if you are registered with the national mortgage licensing system or the state regulatory authority.
Prior to registration, the lenders must complete training classes and examinations that vary by state. Prospective employees expect employees to cover the cost of training and registration.
So you should only consider offering jobs to individuals who are ready and able to go through this process.
Read Also:
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- Should You Hire a Mortgage Advisor for Your Next Purchase?
- What Happens When You Inherit a House With a Mortgage?
- Why You Should Consider Hiring a Mortgage Broker
- Benefits of Having a Mortgage Lender by Your Side
Background Checks
In some States, a licensing process involves a criminal background check. Convicted people who have previously committed financial crimes are unable to obtain licenses. Or you may need to run a background check in Florida, for example, if you want to be a licensed real estate salesperson or broker.
The requirements for running a background check may vary from state to state, but they typically involve submitting fingerprints and paying a fee. In some cases, the results of the background check will be available within a few days.
However, if there are any Issues that need to be resolved, the process may take longer. If you have any questions about running a background check in your state, you should contact your local licensing authority.”
For your protection and the safety of the clients, you must consider ordering credit reports and criminal background checks on the employees even if you are not required to buy state laws.
In most instances, you must obtain individual authorization prior to obtaining the reports and some people may object. If your employees commit theft or fraud, you may find your firm being sued by the client. Do your homework to save your company from major problems down the line.
Knowledge
The mortgage process involves complicated calculations related to debt to income, loan to value, and various other financial ratios. It can take weeks or months to train employees to originate loans.
Your firm’s productivity drops when you assign people to mentor or coach new employees and inexperienced lenders work more slowly than seasoned professionals. Save your money in terms of training costs by hiring experienced lenders rather than new people.
If the wage demands of the lenders exceed your budget, then hire college graduates who studied finance and other topics because they have at least a broad knowledge of the nature of the work.
Considerations
Many institutions in your local area have mortgage products with costs as low as yours. You require strong people if you want to fend off the competition and get new clients.
You need to ensure that you don’t focus totally on sales at the expense of discipline. Salespeople who make mistakes like misquoting rates and submitting incomplete applications may prove problematic just as people who lack revenue targets.
Check references and conduct interviews to find people who have the right qualities to make sales in an efficient and ethical manner.
Conclusion
Mortgage Companies use recruiting Agencies, post to job boards, and Referrals. However, these methods are incomplete and inconsistent. Job boards only reach about 20% of the available candidates in the market, and mortgage staffing agencies can be expensive.
Now you have learned how to ensure that you can hire the best people when you need them in time and every time.
