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Thursday, May 8, 2008

Daily Observations - Scams?

It seems as though all the mortgage brokers that rode the wave of the 2000's are now leaving or have left the industry. They are now experts in Reverse Mortgages, Credit Repair, Debt consolidation or professing a new alternative to bank financing.

Let me start off and say that not all of the brokers who are professing their expertise are experts in their new chosen profession. However, I do know many a broker who has left the industry and has been extremely trained for their new calling and this blog is not about them, its about the inscrutable personage we keep running into.

Everyone now has a new alternative to bank financing whether its through the use of bonds, standby Letters of Credit, Leveraging of stock portfolios, trade programs, or even network marketing of loan proceeds. They all sound like they are the answer to every one's wish for credit in the commercial markets. Oh I forgot offshore accounts as well and 100% equity partnerships.

I'm here to tell you don't lose sight of commonsense, if the deal seems too good to be true it is most likely not real. And the sad thing is that many brokers, honest brokers are being wooed to turn over their book of clients to these "Deal Makers". So before you leap into anything that seems way to good, do your due diligence, Protect your clients at all costs.

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1 comment:

Jack said...

Harlan,
I appreciate your observation, particularly about Reverse Mortgages. Prior to last year, I had done Reverse Mortgages exclusively since 1998. I think that qualifies me as something of an Expert.
It is absolutely correct as you stated, "not everyone professing their expertise are experts."
I was doing Reverse Mortgages years before most of these _brand_new "Experts", people and/or companies, had even heard about them. Not to mention misleading information on the Web.
Everyone wants to jump on the latest ship and they think this is it.
Consequently, the field has become much more competitive than it used to be.
My philosophy has always been this:
I know I won't do business with everyone I talk to. But I feel if I accurately educate as many people as I can, I will do business with enough of them that I can make a living,
You can reach me with any questions at 888 322 9661.
Sincerely,
Jack