Roundpoint Mortgage Review

Successful home ownership requires effective mortgage loan servicing. A mortgage servicing company collects payments from homeowners and then passes them on to insurers, tax authorities and investors.

A servicing company protects the mortgaged properties through properly maintained insurance coverage. So what happens if the homeowner does not make payments on time or has fallen behind? The servicer helps the homeowner to get back on track. However, in some instances is not possible usually because of financial constraints.

Servicing companies should make life easier for homeowners. What happens if your mortgage servicing company is a pain? Such is the case for Roundpoint Mortgage Servicing Company. You may have heard about it in the news or read about it online. It has had a fair amount of complaints filed against it. What are some of the problems?

Roundpoint Mortgage Servicing Company Review: Is It Any Good? 

Roundpoint Mortgage is a fully-integrated, non-bank mortgage servicing and lending company. Its headquarters is in Charlotte, North Carolina. Although it has several customers, Its customer experience and service rank low according to customer reviews.

The following scenarios are based on customer experience.

Customer A

One customer had no problem in the initial step of the process. The issues started after he had signed up with Roundpoint. Getting a transfer notice is one of the initial steps when using a mortgage service, which gets sent out within 24 hours after the transfer is complete. However, this customer had to wait over two weeks before getting the notice and the statement. You need to receive a billing statement before settling payments. However, Roundpoint's representative had advised the customer to pay his bill, which the customer declined.

The customer also had issues setting up his online account because Roundpoint’s website was not SSL-certified. His anti-virus software blocked it. Roundpoint contacted the customer a day after he had received the statement following up on his payment, which he had already settled through his bank’s payment facility. At this point, the customer started questioning its ability to service his mortgage loan.

Customer B

Another customer was deeply disappointed with how difficult it was to speak with a person from the company. Although it has contactable phone numbers, it has no option to speak with a customer representative. The monthly statement of this customer is incorrect, and she cannot get ahold of a representative to correct the issue. Although emailing could be another option to raise her concern, no live-person support makes it difficult to resolve an issue.

Customer C

After this customer made his first payment, Roundpoint drafted an autopayment the second time from his bank. He contacted customer support to ask why Roundpoint had to set up a second autopayment if he had already made a payment. Roundpoint said it would investigate the issue but never called him back.

Customer D

Roundpoint advised this customer that mortgage payments are reported to the three main credit bureaus. There had been no reports for almost a year. 

Roundpoint Mortgage Servicing Review

Roundpoint Mortgage Servicing Company started in Charlotte, North Carolina, in 2007. The company markets itself as a big, non-bank, fully integrated mortgage servicing that collects mortgage payments from homeowners, among other services.

A multifaceted approach helps homeowners in every step of the mortgage servicing journey. It claims that it helps build lasting, collaborative relationships while providing excellent service for business partners and investors. Its dedicated servicing team states that it provides customer-focused, timely solutions, exceeding customer expectations. 

Roundpoint purchases mortgage servicing rights from sellers of Freddie Mac and Fannie Mae loans through the RPX platform. The platform offers sub-servicing services to meet individual needs.

New Customers

Knowing Roundpoint's loan transfer process is essential to understanding how the company works. Here is the process customers experience.

Transfer Steps

1. You should receive a goodbye letter from your previous servicer. The letter informs you of the transfer. The format and content depend on your past servicer, so check for more details. You should also receive a welcome letter from Roundpoint during this timeframe. The same letter also explains the next steps of the process. It typically happens within 15 days before the transfer date.
2. On the transfer date, the onboarding process formally begins.
3. You may receive a phone call from Roundpoint, depending on the circumstances of your loan. The company typically uses this opportunity to introduce itself and answer your outstanding questions.
4. Look out for an email and welcome letter providing your new account details. You should also receive your first billing statement around this time.

To make the transfer as smooth as it can get, Roundpoint recommends completing the following action items:

• Sign up on Servicing Digital, its online platform
• Enroll in its paperless statement facility
• Enroll in its automatic payment facility to avoid late or missed payments

Payment Arrangements

Most customers have their monthly mortgage payments auto-deducted from their banks. You will also receive a draft of your scheduled payments starting from the day of the first transfer. 

Payments from your previous servicer will automatically get forwarded to Roundpoint within 60 days of the transfer date. Roundpoint is asking for additional 7 to 10 working days to account for receipt and mailing. Check with your financial institution about payments for no payment posting during this timeframe.

The following are the available payment options:

• Online
• Automated phone system
• Mail
• Moneygram
• Live in-call
• Online bill payments

Online Servicing System

The online servicing system provides access to your loan details at your fingertips. Managing your account online saves you a ton of time.

Roundpoint calls its online account management tool Servicing Digital. It is a self-service platform providing customers with common account inquiries online without interacting with a customer service representative.

You also have access to your mortgage information and documentation, so you can quickly access it anytime, anywhere. Get loan data, make payments and download mortgage information, all within a few button clicks. Signing up for an online account is easy as well.

Pros

• Smooth signup process
• No fees in loan transfer
• No transfer of personal banking information from previous servicers 

Cons

• Unresponsive customer service center
• No live-person option when contacting support
• Servicing Digital does not seem like a secure platform
• Inaccuracy in processing and turnaround time

Roundpoint Mortgage Lawsuit

Roundpoint's involvement in numerous lawsuits has sparked concerns among existing and potential clients. Recent news states Roundpoint has agreed to settle $975,000 to resolve several allegations in Massachusetts. Wilson v. Roundpoint and Shawcroft v. Roundpoint are two lawsuits worth mentioning. There is also the class action settlement where Roundpoint had to pay $1.6 million to resolve unlawful telephone mortgage payment fees.

Info About Roundpoint Mortgage Servicing

Here is a summary of pertinent facts about Roundpoint.

• The headquarters is in Charlotte, North Carolina.
• It is a mortgage servicing company.
• Its online platform, Servicing Digital, provides vital information on your mortgage loan.
• Paperless billing statements are convenient and fast.
• You can enroll for automatic payments.
• It uses these payment options — online, automated phone system, online bill payment, live in-call, Moneygram and mail.
• Your previous servicer will forward payments to Roundpoint within 60 days.
• There are no fees for transferring your loan.
• Despite everything it has on its website, several clients have had issues with them.
• It's reported that it does not send payment reports to any of the credit bureaus. 

Best Mortgage Companies

Mortgage companies tend to specialize. For example, some may specialize in assisting companies near bankruptcy. While most of these companies require your tax return to verify your earnings, some do not need it. Some companies worth mentioning are CrossCountry and New American Funding. Other companies only require bank statements. 

The following are the mortgage company recommendations.

Rocket Mortgage

Starting this list with the most recommended company — Rocket Mortgage. It offers an easy, quick online application process. Over 60% of U.S. applicants can get instant income and employment verification, resulting in a speedy loan processing time.

Rocket Mortgage is the top lender in the United States, particularly in mortgage loads. However, you need a minimum credit score of 620 to be eligible. The company requires a 3.5% minimum downpayment.

Pros

• Top lender in the country
• Online application process

Cons

• High minimum credit score
• Limited home equity loan options

New American Funding

New American Funding mortgages include proprietary, government-backed, and conventional. Its several loan options make it worth the check. The provider also offers to tap and refinance for home equity. However, its loan products are unavailable in Hawaii and New York.

New American Funding is recommended for self-employed borrowers because it allows you to submit bank statements as proof of income. Qualifying using W-2s, tax returns, and pay stubs is more troubling.

The minimum recommendation for a credit score is 640, and the downpayment is 20%. 

Pros

• Daily mortgage rates on website
• Accurate and informative mortgage calculator 
• Excellent customer service
• Several loan options

Cons

• High minimum credit score
• Unavailable in Hawaii and New York

CrossCountry Mortgage

All types of homebuyers have a strong chance of approval when they use CrossCountry Mortgage. It offers no employment, no income and no minimum debt-to-income (DTI) requirements. CrossCountry also offers traditional loan terms and flexible mortgages for up to 40-year terms.

Self-employed individuals have a higher approval rate because they do not need to submit their tax returns. However, the requirement is at least one year of self-employment income history and a 580 minimum credit score. You can provide information on your assets to increase your chances of approval. 

Pros

• No minimum DTI
• Low minimum credit score 
• Several long-term loan programs
• Works with home buyer assistance programs

Cons

• Online approval is unavailable

Angel Oak Home Loans

Angel Oak Home Loans lets you use a bank statement to apply for a mortgage loan. The provider also takes ITIN, asset qualification and a lot more. It operates in 45 U.S. states. 

Pros

• Townhome, condo and single-family loans 
• Cash-out options
• Bank statement-only loans possible
• Loan amounts to $3.5 million

Cons

• Loans with bank statement as supporting document unavailable for all buyer types 

North American Savings Bank

North American Savings Bank requires 12 consecutive months of bank statements to apply for a mortgage loan, provided you have been in business for several years. You can get loans ranging between $200,000 to $1 million with a 10% downpayment. 

Pros

• Available loans to $1 million
• Competitive interest rates and fees 
• Self-employed individuals 

Cons

• High downpayment 

Flagstar Bank

Flagstar Bank offers online services for rural locations. Although the bank has several products, its application process takes significantly longer than the competition. 

Its mortgage products include:

• Conventional fixed or adjustable mortgage
• Community lending options
• Professional loans
• FHA loans
• Specialty loans
• Jumbo loans
• Construction or renovation loans

Pros

• Several loan options
• Branches in rural locations
• Comprehensive and informative website 

Cons

• Long and tedious application process

eMortgage

eMortgage offers refinancing and purchase options with an easy and fast application process. Its mortgage rates are flexible, depending on your credit score, budget and income. Visit the official website to get a headstart on the application process. 

Pros

• Non-QM, jumbo loans
• Flexible interest rates

Cons

• Requirements are different for each loan

M&T Bank

M&T focuses on first-time buyers on the East Coast, specifically people living in Florida, West Virginia, Washington D.C., Maryland, New Jersey, New York and Pennsylvania. A dedicated loan officer will assist you, ensuring everything goes smoothly.

M&T Bank offers several products, including:

• USDA loan
• VA loan
• FHA loan
• Conventional home loan
• Government-backed loan
• Construction/renovation loan
• Refinancing

Pros

• In-person customer service
• Dedicated loan officer 

Cons

• Branches located only in Mid-Atlantic states and Florida
• Not a fully online mortgage application process 

Veterans First

Are you wondering what mortgage loan works best for your needs? Log on to its website and answer a few questions to get recommendations from Veterans First. 

Some information it needs from you are:

• Your basic information
• Are you refinancing or purchasing a new property?
• Are you retired, a reservist, or on active duty?

Veterans First allows you to refinance or update your interest rate, depending on your preference. 

Pros

• New purchases and refinancing 
• Easy signup process

Cons

• Members or former members of the Armed Forces only

Factors to Consider When Choosing a Mortgage Company

There are plenty of things worth considering when choosing a mortgage company, but these are the top five factors.

Interest Rates

A mortgage company decides its interest rates. Apply for pre-approval across different lenders to get a view of interest rates. Pre-approval requires you to submit home purchase details and financial information. You should receive a loan estimate, which includes a breakdown of costs and fees. 

Fees

Fees directly impact your closing costs. Each lender has different fees, including application, origination and processing costs. Check for these charges when getting your loan estimate. 

Loan Products

Loan programs across providers have different minimum down payments and qualifying requirements. Give yourself enough time to research the mortgage program that works well with your credit profile and budget. 

Reputation and Service

The lender's service and reputation matter because it will be servicing your loan. The best way to check it is through online ratings and reviews, as well as friends or colleagues who have first-hand experience. It should give you a rough idea of how the lender will fit your needs. 

Process and Presence

Review its processes. How does its pre-approval work? Can you check the information on your loan online? How long is the processing time? Make sure to read and understand the documentation. 

Why Can You Trust Benzinga?

Benzinga was launched in 2009 as a financial news website. It officially started operations in 2010 and reached 1 million site visitors two years later in 2012. Benzinga provides personal finance, investing and trading guides. It provides recommendations for companies in the financial and insurance industry, such as mortgage lenders for self-employed.

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