What does a Mortgage Counselor do?

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  • Written By: B. Miller
  • Edited By: Andrew Jones
  • Last Modified Date: 21 November 2019
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A mortgage counselor is one who works with customers at a bank to take them through the process of applying for, and taking on a new mortgage. A mortgage counselor is a type of loan officer, and will be responsible for a number of different aspects of the loan throughout the application process. Generally, this is not an entry-level position, but is a position that is given to someone with experience in loans and in working with bank customers.

Depending on the size of the bank, the individual duties of a mortgage counselor may vary. Initially, the mortgage counselor may be responsible for answering phones and responding to customers' questions regarding mortgage interest rates, the application process, or any other questions relevant to being approved for a mortgage. When a customer decides to look for a home, he or she will likely come in to meet with a counselor to fill out a brief application and get pre-approved. The pre-approval process allows the customer to then make an offer on a house based on the interest rate and amount of the loan for which they have been approved.


The next step is then to fill out the complete mortgage application and all other paperwork. The mortgage counselor will assist the customers in this step, making sure that all financial documents are in order. Once these papers are filled out, the counselor might do credit checks, or that job may fall to a loan clerk. Generally, it is the job of a mortgage counselor or loan officer to decide whether the loan can be given. The decision is based on information such as a credit score, as well as the information contained on a credit report, as well as the amount of the down payment and the customer's employment status.

The counselor will then meet with the customer again to go over information such as mortgage payments, the payment schedule, interest, and other issues surrounding the mortgage, as well as to answer questions. Keep in mind that he or she may have a number of loans in process at any given moment, and it is important to be organized and professional at all times. If a customer wants to refinance a loan at any point, he or she may come back to the mortgage counselor again, but generally the counselor's work is done once the loan has been approved, and the house is purchased.



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