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||5%|
|State availability||Not available in: MD|
Consumer Direct requirements
The requirements vary for each mortgage Consumer Direct offers, and it doesn’t offer loans in the state of Maryland.
To qualify for a conventional home loan, you need a minimum credit score of 620 and a down payment of 5%. For FHA loans, a minimum credit score of 600 is required along with a minimum down payment of 3.5%.
To access the $0 down payment perk of a VA loan, you need to be an eligible service member or veteran with a minimum credit score of 600.
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, Consumer Direct doesn’t offer information about its fees online.
Typically, lenders charge loan origination fees that range between 2% and 5% of the total loan cost. During the pre-closing and closing process, you could encounter any of the following fees.
- Home inspection
- Document preparation
- Credit report
- Title charges
- State taxes
- Private mortgage insurance
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.
Compare mortgage lenders and brokersCompare top brands by home loan type, state availability and credit score. Select See rates to provide the lender with basic property and financial details for personalized rates.
Consumer Direct reviews and complaints
Consumer Direct is an accredited business with the Better Business Bureau (BBB) and, as of March 2021, has an A+ rating for addressing all 11 BBB customer complaints over the last three years. BBB customers have also left 122 reviews, rating the lender 4.73 out of 5 stars.
Most reviews praise Consumer Direct’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. You can increase the time your rate is locked in with Consumer Direct 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.
- Lack of transparency. Consumer Direct’s website doesn’t mention any fees, so you’ll need to speak with a representative for more information.
What is Consumer Direct?
Consumer Direct is a division of FirstBank, a Tennessee-based bank with more than 1,400 employees across its 75 branch locations. Consumer Direct lacks the branch structure of its parent company and instead offers lending services primarily through its website, facilitated by a team of loan specialists.
Consumer Direct is also a participant in the Costco Mortgage Services program, which allows you to compare rates and get quotes from up to four lenders.
Shannon Terrell is a senior writer for Finder who has written over 400 personal finance guides. With a focus on investments and personal finance, she breaks down jargon-laden topics to help others make informed financial decisions. She studied communications and English literature at the University of Toronto.
Consumer Direct offers loan applications and customized rate quotes right on its website and has a stellar reputation for customer service. But even though it’s an online-only lender, you’ll need to speak to a representative to finish your application and learn more about potential fees.
And if you seek a specialty mortgage, such as a construction or professional loan, you’ll need to shop around for another lender.