Consumer Direct mortgage review
Favorable online reviews are plentiful, but your loan options are limited.
Consumer Direct is an online lender with a great customer service reputation. But the mortgage products on offer are pretty limited, and you have to speak with a loan officer to find out what fees the lender charges.
|Loan products offered||Conventional, Jumbo, FHA, VA, Refinance|
|Minimum credit score||Conventional: 620|
|Minimum down payment (Conventional)||5%|
|State availability||Not available in: MD|
Our take on ConsumerDirect Mortgage
Unless you’re looking for a specialty mortgage of some sort, you should feel confident putting ConsumerDirect Mortgage among your top lenders to choose from. Its online rate quote gives you a breakdown of the estimated costs and fees for different loans, and customers have largely had a positive experience working with them.
ConsumerDirect Mortgage is a highly rated online mortgage lender recognized for its responsiveness and superior customer service, but its application process is lacking compared to other online-only mortgage lenders. Despite touting its “renovated lending experience” that provides a “simplified loan process,” in reality, you can only get so far online.
If you want to apply, you have to submit an online request to get prequalified. From there, ConsumerDirect Mortgage will contact you with information and next steps. Other online mortgage lenders allow you to complete the entire application process online and on your own time.
Aside from this minor inconvenience, ConsumerDirect Mortgage charges a flat $675 origination fee for most of its mortgages. We see a lot of origination fees in the $1,200–$1,300 range, so we appreciate the move to keep more money in homebuyers’ pockets.
Consumer Direct requirements
The requirements vary for each mortgage ConsumerDirect Mortgage offers, and it doesn’t offer loans in the state of Maryland.
|Conventional home loan|
|VA loan||To access the $0 down payment perk:|
During your Consumer Direct home loan application, you’ll be expected to provide your:
- Full name and personal contact information.
- Social Security number.
- Pay stubs from the past 30 days.
- W2s and 1099s from the past two years.
- Personal tax returns from the past two years.
- Profit and loss statements, if self-employed.
- List of your assets — including savings, real estate, car titles, retirement accounts and other investment records.
Costs and fees
Like many mortgage providers, ConsumerDirect Mortgage doesn’t provide its fees smack dab in the middle of its homepage, so you have to do a little digging. If you use the lender’s online custom rate quote, you can get an estimate of the lender fees or lender credits associated with different loans.
ConsumerDirect Mortgage typically charges a $675 origination fee for its conventional and FHA mortgages. From what we found, VA loans are an exception and aren’t subject to the $675 origination fee.
To see a breakdown of what different loans will cost, enter your information into the lender’s quote generator, choose Get Rates, then hit Get Estimate on any of the quoted rates. This will show you a breakdown of the estimated lender fees or credits and estimated third-party charges. These include:
- Origination fees, if any.
- Loan discount points fee.
- Appraisal fees.
- Credit report fee.
- Flood certification fee.
- Tax service fee.
- VA funding fee, if applicable.
- Title fees.
- Taxes and other government fees.
But remember these are estimates. Your actual rate, payment and costs will likely vary depending on your financial situation and credit history.
How to apply for a mortgage with Consumer Direct
Use the following steps to start the application process.
- Go to Consumer Direct’s website and select Quick Apply.
- Choose whether you want to purchase or refinance a house.
- Enter the location of the property you’re interested in and provide your estimated credit score. Select Continue.
- Step through the questions about the property and your status, selecting Continue when required.
- Enter your personal information, including your full name, email address and phone number. Choose Submit.
You’ll receive a phone call from a Consumer Direct loan officer within one business day to discuss your loan options.
What types of mortgages can I get through Consumer Direct?
Other mortgage products offered by Consumer Direct
Consumer Direct offers two mortgage refinancing options:
- Rate and term refinancing: Use your home’s equity to change your interest rates or your loan’s term.
- Cash-out refinancing: keep your home’s equity as cash to use how you want.
How Consumer Direct’s mortgage products compare to other lenders
This lender offers a pretty typical list of mortgage products with no specialty options or discount programs. Instead, the bank relies on its user-friendliness and high-level customer service to bring in borrowers.
In addition, ConsumerDirect Mortgage’s $675 origination fee for most of its loan types is about half of what many other lenders charge.
Compare mortgage lenders and brokersCompare these lenders and lender marketplaces by the type of home loan you're searching for, state availability and minimum credit score (for a conventional loan). Select See rates to provide the company with basic property and financial details for personalized rates.
Consumer Direct reviews and complaints
ConsumerDirect Mortgage is an accredited business with the Better Business Bureau (BBB), and as of July 2021, it has an A+ rating for addressing all eight BBB customer complaints over the last three years. BBB customers have also left 98 reviews, rating the lender 4.72 out of 5 stars.
Most reviews praise ConsumerDirect Mortgage’s ease of process and great customer service. Complaints center around communication issues and closing delays.
Pros and cons of Consumer Direct
- 60-day rate lock. Increase the time your rate is locked in with ConsumerDirect Mortgage from 30 to 60 days.
- Custom rate quotes. Fill out the prequalification form on its website to get a quote based on the loan you’re interested in and the property’s list price.
- Strong online reputation. Consumer Direct’s 5-star reviews far outweigh its customer complaints, which is uncommon for a mortgage provider.
- Limited loan programs. Consumer Direct’s loan suite lacks USDA loans and HELOCs, as well as any specialty loans.
- Not available in Maryland. If you live in the Old Line State, you’ll need to find another lender.
- Inefficient application process. Though ConsumerDirect Mortgage is an online lender, you can’t receive a prequalification letter without first speaking to a loan officer. Other online lenders allow you to complete everything online on your time.
What is Consumer Direct?
ConsumerDirect Mortgage is a division of FirstBank, a Tennessee-based bank with more than 1,400 employees across its 75 branch locations. ConsumerDirect Mortgage lacks the branch structure of its parent company and instead offers lending services primarily through its website, facilitated by a team of loan specialists.
ConsumerDirect Mortgage is also a participant in the Costco Mortgage Services program, which allows you to compare rates and get quotes from up to four lenders.