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A "correspondent lender" is a special type of mortgage lender that originates and funds loans in its own name. Correspondent lenders have their own mortgage underwriting staff and fund the loans with their own money. (This is in contrast to a mortgage broker, which doesn’t do any underwriting,
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What Is a Correspondent Lender? – Mortgage Professor – September 4, 2006, Revised June 29, 2009 "Please explain the difference between a mortgage lender, mortgage broker, and correspondent lender.".
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Direct Versus Correspondent Lender And Pros And Cons Explained – Correspondent Lenders are lenders who has a correspondent relationship with several direct lenders and act as an arm of the direct lenders; differences of direct versus correspondent lender is that the direct lender will service the loan once the correspondent lender sells the loan to the direct lender once it funds the loans
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