Insurance, Financial Planning, Taxation or Legal
Professionals increase their income
through lender relationships, & how many of these
professionals are losing money and clients by not having these
relationships in place.
a result of our Preferred Partners and Clients for Life Program,
we currently have over $186,000,000 in Mortgages Under Management.
Those partners have given us their trust by referring us their
clients and they continue to benefit from exposure in our Clients
for Life Program. With the cost of new client acquisition
calculated at approximately 3 - 5 times the cost of keeping a
current client relationship, it's clear that maintaining your
hard-earned client base is a matter of economic survival. Our
Clients for Life Program accomplishes this through the following
1. We can help
your clients restructure debt, through "equity
repositioning", that provides cash flow for the purchase of
your products and services.
I have a associate who is a
successful insurance sales person. He shared with me that
the higher commission dollars are in selling “whole life” vs.
He also sells the
insurance, not as insurance, but as a retirement planning tool.
He has sent to us referrals, from those that needed to restructure
their debt, for an "equity repositioning"
refinance to free up monthly cash flow to allow investment
into an insurance product that requires a monthly contribution.
In return, we now ask our
clients at closing if they have adequate protection in the event
of an unforeseen disaster, thereby returning the referral
(Click here to see the special form we created for this
purpose; it accompanies each and every loan application we send
out or take in person; requires Adobe Reader).
For more information
specific to Insurance Professionals, Click
The same principle applies.
“I can’t afford it” is no longer an acceptable excuse.
For more information
specific to Financial Planning Professionals, Click
Wills and Trusts:
Without a will or a trust,
when the client passes, their property may end up in PROBATE. What
an ugly word. With every loan application a mortgage
professional should ask the client if they have this in place.
If not, (80% of them don’t) refer them to an attorney that can
do this for them.
In conversations I have had
with family planning attorneys, many of them recommend to their
client, “If you are thinking of refinancing, do it now instead
of waiting on this process (establishing a new trust). It
could cost you more in the future to accurately reflect the
David Ward a well-respected
marketing consultant for the legal profession recently received
numerous emails with a common theme. What many attorneys
wanted to know was “tips on how to accelerate payment for
services rendered, politely, while retaining the client and in the
process not turning into a bill collector or pushing the client
His recommendation was to
introduce a mortgage professional to the client for a debt
restructuring refinance and in the process of the closing having
the attorneys bill PAID IN FULL!
Top professionals use mortgage
lenders as a tool for their practice. Check out point number 4
below! Having this type of relationship is not an option, it's
a matter of economic survival!
For more information specific
to Legal Professionals, Click Here.
2. Add Real, Non-Self Serving value while
leveraging your referral potential.
What good is a database if
it’s not being marketed and communicated to?
By networking with another
professional and introducing the new professional's products,
services or solutions to the client base, the referring
professional has created another excuse to market and “stay in
the mind of” the client. Our
Preferred Partners find this helps maintains their hard earned
client relationships. Additionally, for those clients
referred to us from our Preferred Partners, we help strengthen the
Partner-Client relationship through our Client
Retention Contact Program, which
helps our Partners increase their monthly business &
income. To see how our Client Retention Contact Program
helps our Preferred Partners grow their businesses, Click
An example: A mortgage
professional was introduced to a client from an Estate Planning
Professional and the professional recommends that the client
refinance and in the process have the loan documents accurately
reflect “the new living trust” during the creation of the
This could save the client
time and money from needing to do this once the trust is created.
A financial planner may want to semi-annually send out a joint
marketing piece promoting a “debt evaluation check up.”
During a refinance market this is critical. Please read item number
4 farther down this page.
3. Maximize the Profit potential per client.
Most financial planning
professionals that sell mutual funds set up IRA’s or other
retirement vehicles to get paid a commission for services rendered
and continue to get paid as those accounts accumulate wealth.
This does vary from
professional to professional. One financial planner I work
with shared with me that he is compensated 1 to 3% of the total
monthly deposits his customers make into their retirement mutual
fund account. “Replace credit interest debt by refinancing
and rolling credit debt into your mortgage (now a possible
interest deduction) and deposit those monies into your retirement
professionals need to maximize their client’s retirement
4. Protect your relationships.
Recently a firm tele-marketed
over 100,000 Legal, Financial, Taxation and Financial Planning
firms across the country and one question they asked was; “in
conversation with your clients does the topic of mortgage lending
or refinancing ever come up” or “can refinancing be used as a
tool for any of your clients needs?” Two out of three
They would then follow up with
a second question: “Do you have a strong referral relationship
with an existing lender or do you let the client select his or her
own professional?” NINE out of TEN respond; “I pretty
much let the customer select their own lender.”
Hopefully, one can understand
that by not introducing the client to an associate for their other
professional needs, the client has the opportunity to develop a
relationship with a non-competing professional that may have a
strong referral relationship with your competitor. The
professional that does not provide the referral solution for their
client could be left behind or their services challenged by a
competitor. Having a trusted mortgage professional to refer
your clients to, and to guard your relationship with them is not
an option, it's a matter of economic survival!
Small Community Banks
Why are small community banks
anxious to establish relationships with local mortgage brokers?
If the community bank cannot
provide a financial solution for their customer due to a limited
supply of mortgage lending products, then that customer has to go
to a competitor (another bank) for their solution. If the customer goes to a Bank
of America or Washington Mutual, those companies will solicit all
of their checking and savings accounts to be moved.
A local mortgage broker is a
safe solution because they do not provide checking and savings
account services. From the smaller banks point of view,
establishing this referral relationship is not an option, it’s a
matter of survival and protecting their existing relationships
I have heard stories of
Financial Planners referring their customer to the large
nationwide lenders with a presence in their markets. Do
these planners realize what a business risk this is? Don’t they know that
Washington Mutual, Bank of America, Citibank and the other major
financial institutions have divisions that provide the same
financial services the referring professional provides?
If you are a non-lending
professional reading this outline hopefully you can see the value
in creating this type of referral environment and developing a
strong professional relationship with a mortgage professional.
How Do You Select the
A common question is “how
does one select the right lender?”
To find the answer we
should look to the industry that works with lenders the most, as
they would have the most experience with a lending professional.
That would be a TOP Producing Realtor. I didn’t say
“any” Realtor, I said a TOP Producer. How do these top
producing Realtors select a lender?
First of all, top producing
Realtors do not switch lenders very often. Why?
Because good lenders are hard to find.
When we think of a lender,
most consumers automatically think of “lowest rate.” The
lowest rate for a lender can probably be found on the Internet.
Just like the lowest rate for a stock trade or direct mutual fund
investing can be found on the Internet. Just like the lowest
insurance premium can be found on the Internet. Just like
the family planning “do-it-yourself” solutions can be found on
the Internet. Eliminating the middleman
always seems to be the least expensive route, but, be careful what
you wish for, don’t eliminate yourself in the process.
The best loan for a client,
believe it or not, many times is not the lowest rate available.
It’s always about matching the proper loan with the client’s
life style or finding a loan that can accomplish a more important
goal like retirement planning investment, adequately providing
insurance protection for ones family, refinancing to make the IRS
go away, providing conclusion to a drawn out nasty divorce,
avoiding bankruptcy, etc. A successful mortgage professional
doesn’t provide loans, they provide integrated financial
The most important elements in
selecting a lender are:
* First, can they do
what they say? Most don’t.
* Second, are they
competent and professional? Most aren’t.
* Third, is the lender
you are working with out to earn a quick buck or are they in the
relationship for the long haul?
* Fourth, the referred
professional is an extension of the referring sources of
business...will they live up to the referral?
And last, from the referring
professional’s point of view, will the referred lender have a
referral mindset as well as protect the referring professionals
interests in the relationship?
As hard as it is to find a
good lender, the task of finding a good legal, insurance, taxation
or financial professional is equally as tough. Just because
a person passes the state bar exam, insurance exam or receives
professional licensing doesn’t mean they are good.
We only team up with proven professionals with the
highest ethical standards who have demonstrated a desire to work in their
clients best interest. If you feel you meet these standards, feel free to
contact us to arrange for an interview. Click
Here for phone & e-mail information, or...
Directly to Become a Preferred Partner!