How to get the best rates on loans and mortgages

September 2, 1999

Co-founder and President of E-Loan company, Janina Pawlowski, chats about how to get the best rates on loans and mortgages.

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WingspanBank: WingspanBank.com is proud to introduce Janina Pawlowski, Co-Founder and President of E-Loan company, the leading on-line mortgage origination company. An on-line mortgage industry pioneer, Janina has helped revolutionize the loan process by eliminating inefficiencies in the antiquated mortgage transaction process and replacing salespeople with customer service representatives. Borrowers can use E-Loan to find competitively-priced loans from among hundreds of products that match their criteria. E-Loan lenders can offer origination cost savings of over 50% compared to obtaining a mortgage through traditional mortgage brokers or single source lenders. In 1998 and the first quarter of 1999, E-Loan was the leader in the on-line mortgage market with approximately $1 billion and $490 million in closed loans originated, respectively. Today, Janina will answer your questions about anything related to home financing, paying particular attention to the ease and cost-savings available by shopping for a mortgage on-line. Please check their site at www.wingspanbank.com, under the plan tab, for a schedule of upcoming chats on a range of topics to help you achieve your goal of financial freedom.

Janina Pawlowski: I would like to invite people to start asking any questions that they'd like answered. (smile)

Barney: What advantages are there for getting a mortgage loan on-line versus other traditional outlets?

Janina Pawlowski: I think there are really three major advantages. One is selection. You can search multiple lenders very, very quickly. The second is service. You are working with an uncommissioned customer service person, versus a commissioned phone agent. You are getting unbiased service, which means that you get the loan that is best for you versus the loan that pays the highest commission to your agent. Finally, price. By removing the loan agent from the process, we are able to pass on the savings to the consumer.

Loanerguy: How is E-Loan different/better from other on-line lenders?

Janina Pawlowski: First of all, we have the largest selection of lenders in one location. We also handle the transaction from beginning to end. Some websites will refer you directly to a lender versus closing the loan for you, and there is no advantage to the consumer when that happens. And most importantly, because we have taken the loan agent out of the process, we are bringing you closer to the source of capital, and therefore saving you substantial money during the loan process.

Sfcarl: What kinds of loans can I obtain through on-line mortgage brokers?

Janina Pawlowski: At this time, you can obtain first mortgages, home equity lines of credit or second mortgages, and products are available for all credit types. And because the internet gives you an anonymous interface, it's a more comfortable transaction for people who may have a problem with their credit. Also, I would like to add that by applying on-line through, for example, Wingspan's marketplace, you are immediately assigned to one customer service person who will help you throughout the entire transaction. So although we've taken the loan agent out of the process, we haven't eliminated -- if anything we've enhanced -- our customer service.

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