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All About Being A Mortgage Loan Processor

Category ยท How-To

Published on March 6, 2020

If you have ever bought a home and taken a mortgage, then you must have dealt with a mortgage loan processor. However, have you ever wondered what does this job entail or even how you can become a loan processor? In this article, we discuss in detail the role of a mortgage loan processor- the education and training required, the responsibilities and what a typical day on the job looks like.

Read on to learn more.

What is a Mortgage Loan Processor?

A mortgage loan processor has the important task of preparing the borrower's application for the mortgage and other essential paperwork and then deliver the same to the appropriate underwriter.

Thus, this job requires interaction with the loan officer on one hand and the mortgage underwriter on the other. A loan processor has to ensure that all the primary documentation for the mortgage is in place and double-check everything before proceeding any further.

Education/Training Requirements

The basic qualifications required for becoming a mortgage loan processor are as follows-

  • While the minimum requirement is a high school diploma, a bachelor's or an associate degree is usually preferred for this role.
  • Successful completion of the National Mortgage Licensing Program (NMLS) is also required by certain employers. Upon completion of this program, the person becomes certified and licensed.
  • On the job training is also a big plus point in this field and most mortgage loan processors work closely with experienced professionals at the start of their career to gain the necessary experience.

Other skills like excellent communication abilities, mathematics skills and being organized in daily work are important factors that help in this job.

Responsibilities

The usual and essential responsibilities of a mortgage loan processor on any given day at their job are as below-

  • Verification of all the documents in the borrower's file and ensuring that all the figures check out and the papers are properly ordered.
  • Work closely with the loan officer, the underwriter, and the closer to get the mortgage approved.
  • Order the home appraisal and the title insurances for the borrower.
  • Carry out fact verification like checking out the borrower's employment details, Social Security numbers and tax transcripts from the IRS.
  • Mortgage loan processors also check the insurance policy of the homeowner and ensure that enough coverage is available and the relevant lender information is shared with the insurance company.
  • They also verify whether the borrower has enough cash available to finance the loan or not.

A Typical Day

As a mortgage loan processor, you will find that each workday is quite different from the previous one. There is usually a lot of paperwork handling involved especially on days when you will need to carry out the verifications. Interactions with other people is also a common aspect of this job. On a typical day, you might find yourself having conversations with the loan officer, the underwriter and the borrowers. Hence, if you are someone with an outgoing personality, then you will fit well in this role.

Another crucial part of your day at this job would be the ability to multitask and be flexible in the process. As a mortgage loan processor, you will sometimes need to rearrange your schedule and prioritize things on the go so that you can present accurate information to your underwriter.

To Sum Up

The job of a mortgage loan processor is an important one and it requires the incumbent to have certain skills and traits. It is a both challenging and highly rewarding role to fulfill and many people in the loan industry find the job of a loan processor to be their best stint overall.

If all of the above sounds exciting to you and if you think you are cut-out for this job, then we are here for you!

First Savings Mortgage has over $48 billion in closed loans and offers loan financing across Washington DC, Maryland, Virginia, Delaware, Florida, North Carolina, and South Carolina. We are always on the lookout for the best and brightest in the industry to work with us. So, if the role of the mortgage loan processor interests you, then contact us today to learn more about exciting opportunities in the field.

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