Just wanted to add my two cents to this post since it seemed relevant. I ended up closing with Bankers Healthcare Group (BHG) for my property loan. Here are my thoughts listed below.
Terms:
$100,000 Net Loan Proceeds
$1370 Monthly Payment
144 Month Term
10.49% Fixed Interest Rate
$2,995 Documentation Fee
$2,400 Reimbursable Servicing Fee
$8,000 Optional Limited Personal Guaranty
0 Month Lockout (No Pre-Payment Penalty)
$113,395 Total Financed Amount
I worked with them on the interest (got them down from 13.49 to 10.49. Also got them to take the lockout from 48 months down to 0 months. The limited personal guarantee (basically is insurance that you pay if you die before the loan is paid out). You can get around paying this if you put them as a payout on your life insurance policy. However, I only have a 10-year term life policy and the loan is for 144 months which means they won't do that. Could have reduced the amount of time to lower than what was left on my term life.
Pros:
- The loan got funded
- No credit check
- No credit score hit for a new loan
Cons:
- Impossible to do anything online
- Online calculator does not really reflect anything accurately from them
- There is absolutely no online portal (NOTHING). For 2022 it's strange you can't even check a balance online
- The simplest tasks require a phone call, then emails over several working business days then more phone call*
- New amortization schedule? Call and they send an email.
*An example. I wanted to change the account from which the money is drawn. Thought it would be simple to call them up and have the account changed. Instead it's not done over the phone, they send you a form via email. Took 2 business days. The form required a voided check which for a savings account I don't have a check...plus it's 2022, every major banking institution just used Routing and Account numbers. Called BHG, informed me I needed a form from my bank with My name, Account, and Routing number. Got the form from my bank. Sent it over, can't have a beneficiary on the savings account for them. Called my bank and moved the beneficiary off. Got new form from bank. Sent it to BHG. No update if the form was accepted. This is just to change accounts to pay them.
Overall:
You'll usually get funded, but with somewhat / to horrible terms depending on your negotiation skills and credit score / W2s. Just feels clunky to use them (blasting out lots of mailers, everything done over the phone, email, and is SLOW TO DO). I refi'd with SoFi and the loan application took 15 minutes. I was approved in a day. The forms were signed in two. I was funding at the end of day 2, AND I have web and mobile apps to monitor the balance. Sure it's a ding on my credit, but my motto is if you have the ability to use your credit do so, don't put it on a shelf. #tencents
