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Wouldn’t you do your taxes with a CPA if it was the same price as Turbo Tax?

Is YOUR loan originator licensed?  Find out here:
NMLS License LookupI am sure you have heard about this by now, but if you have not let me share again.

Effective July 1, 2010 all Mortgage Bankers and Mortgage Brokers in the State of Arizona were required to have their loan originators licensed.

Now based on an exemption in the laws the big Interstate Chartered Banks do not require their loan originator working for a big bank such as Chase, Wells Fargo and Bank of America to be licensed.

This is because, compared to the mortgage brokers, the chartered banks have lots more money to spend on lobbyists that get Congress to write laws in their favor.  This has happened for decades.  Banks do not like mortgage brokers because mortgage brokers give consumers more choices and creates more competition.  Which we all know is much, much better for the consumer.

Now I am not trying to make this into a David versus Goliath story, but I am trying to emphasize the huge differences and implications this change will have on the consumer.

Here is a chart to show the differences:

SAFE ACT AZ LO’s Chartered Bank LO’s Licensed Yes No FBI Background Yes No Fingerprinted Yes No Assurity Bonded Yes No 20 hours upfront education Yes No 8 hours continuing education Yes No Credit checked Yes No Fed and state testing Yes No Complaint mechanism w/ DFI Yes No Licensing  fees and renewals Yes No

So I think the choice is clear.  The funny part is the cost for the service based on rates and fees are about the same.  The best analogy I can use is having a choice of working with a CPA vs. Turbo Tax but paying the same price.

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