How Does It Work?

How Does the Bank’s Mortgage Warehouse Line of Credit Work?

1. On the day before you wish to fund your loan(s), you send an email list of basic loan information to the bank. This list should arrive at the mortgage warehouse line of credit funding department by 4:00 PM.
2. The next day, you submit a funding package to the bank.
3. The package is reviewed by the mortgage warehouse line of credit department for compliance. A staff of professionals that recognize the value and importance of quick turnaround carry out this review process. Usually, initial package review is completed within 24 hours from the date of receipt.
4. The proceeds of the loan advance are sent via wire directly to the approved settlement agent (typically a title company) with specific funding instructions.
5. You post-close the mortgage and prepare the credit package for delivery to the investor.
6. The mortgage warehouse line of credit division completes the endorsement on the note, and ships the note and the bank bailee letter to the investor.
7. Funds will be wired to us from the investor.
8. The investor sends the purchase advice confirming the specific borrower that is paying off.
9. The mortgage warehouse line of credit department calculates the payoff from the date of closing to date of the receipt of the wire. The bank then credits your loan for the payoff amount at the negotiated rate.
10. Your credit facility has now been reimbursed for the original advance to fund the loan, and the funds are now available to you for the next transaction(s).