subject: The Things That Set Mortgage Brokers Apart From Agents [print this page] Mortgage brokers have been known to help prospective homebuyers find the right mortgage package for their home purchase. Mortgage brokers can even help those with a bad credit rating secure a mortgage loan with an interest rate that is readily acceptable to the client. However, some easily confuse a mortgage broker with a mortgage agent. Sometimes, this causes some degree of misunderstanding on the part of the client, which is why it is important to differentiate one from the other.
The main distinction between a mortgage broker and an agent is the working experience. In order to be a full-blown mortgage broker, one has to have at least two years of working experience. Prior to this, however, they must first enroll and pass in an official mortgage agent education, after which, they have to secure a mortgage agent license. Then, they have to again enroll and pass a mortgage broker education and once it is finished, only then would they be allowed to apply for a mortgage license. They would have to pass a test in order for them to be issued a license.
On the other hand, a mortgage agent is one who is supervised by licensed mortgage brokers. They carry out the different mortgage activities of a mortgage brokerage firm. Since they are considered to be already undergoing the required twenty-four months working experience, which every full-blown mortgage broker must go through, they are not allowed to work for other firms, during this time, aside from the one they are already working with.
So if you are a client who wishes to secure the services of a good Edmonton mortgage broker, try to check first if he already has a mortgage broker license. Bear in mind that a mortgage agent has limited capabilities and functions. There have been some frustrations on this aspect because there are clients who sometimes think that they are already dealing with a licensed mortgage broker, when in fact they have been talking to a mortgage agent all along.
While this does not mean that a mortgage agent is not authorized to talk to you, it must be noted that his function is limited to a certain degree, perhaps, doing basic jobs for the mortgage broker while trying to learn the ins and outs of the trade. There are many agents being supervised by Edmonton mortgage brokers. Some of them went on to become excellent full-blown brokers themselves.
However, if you are really in need of an experienced Edmonton mortgage broker, you can try to see if he already has his mortgage broker license. This way, any future misunderstandings could be avoided.
by: Abbie Smith
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