GFE -closing costs question

Not sure what it all means......

There is a broker fee $450
Processing fee $200
Underwriting fee $495 and
Application fee $395

Of course I have no idea what these charges are but was wondering if these charges are also charged when using a bank or if these are all really just another name for "brokers fee" Is everyone charged these fees?

TIA

Re: GFE -closing costs question

I would ask your attorney, I had my attorney review all the fees on my GFE and he said that they were all standard fees. I paid fees for everything you listed but I used a broker. And my attorney was my MIL boss so he would let me know if they were bogus fees.

Re: GFE -closing costs question

I paid for all those fees but the broker fee - I used a bank.

Re: GFE -closing costs question

Posted by betty

Not sure what it all means......

There is a broker fee $450
Processing fee $200
Underwriting fee $495 and
Application fee $395

Of course I have no idea what these charges are but was wondering if these charges are also charged when using a bank or if these are all really just another name for "brokers fee" Is everyone charged these fees?

TIA

Re: GFE -closing costs question

Very helpful.....thank you all

Re: GFE -closing costs question

Wow thats a lot of fees. We went with a bank and didnt have application or broker fee . When you go with a broker... its just adding another person to pay!!!

If your credit is good.... GO with a bank! Costs a lot less

Message edited 1/17/2007 6:41:37 PM.

Re: GFE -closing costs question

i had all of those fees from my broker except the application fee. I think he waived that.

Re: GFE -closing costs question

Posted by SweetTooth

Posted by betty

Not sure what it all means......

There is a broker fee $450
Processing fee $200
Underwriting fee $495 and
Application fee $395

Of course I have no idea what these charges are but was wondering if these charges are also charged when using a bank or if these are all really just another name for "brokers fee" Is everyone charged these fees?

TIA

Those are all standard charges.
The broker fee is for your broker - how he makes the money. I am sure a bank has some sort of fee as well.

The processing fee - BS that all the banks charge to put through your application.

Underwriting fee - the charge to have the underwriter look at your application.

Application fee - the fee the bank charges you to apply for the loan..

Basically they will charge you for every little thing.
Definitely have your attorney look over the GFE though to make sure everything is accurate. He/She should be able to tell you how on target it is or if the bank left anything out.

Re: GFE -closing costs question

Re: GFE -closing costs question

Posted by MikesWife

Posted by SweetTooth

Posted by betty

Not sure what it all means......

There is a broker fee $450
Processing fee $200
Underwriting fee $495 and
Application fee $395

Of course I have no idea what these charges are but was wondering if these charges are also charged when using a bank or if these are all really just another name for "brokers fee" Is everyone charged these fees?

TIA

Those are all standard charges.
The broker fee is for your broker - how he makes the money. I am sure a bank has some sort of fee as well.

The processing fee - BS that all the banks charge to put through your application.

Underwriting fee - the charge to have the underwriter look at your application.

Application fee - the fee the bank charges you to apply for the loan..

Basically they will charge you for every little thing.
Definitely have your attorney look over the GFE though to make sure everything is accurate. He/She should be able to tell you how on target it is or if the bank left anything out.

As a commercial processor I can tell you that the processing fee does indeed serve a purpose. When the file comes in we audit it, enter into the systems and prep the entire thing for underwriting - include performing all searches necessary, we also coordinate the closings with the attorney's. It in fact pays our salary - so I personally don't think it is a BS charge. But that is JMO.

Re: GFE -closing costs question

Re: GFE -closing costs question

Posted by SweetTooth

Posted by MikesWife

Posted by SweetTooth

Posted by betty

Not sure what it all means......

There is a broker fee $450
Processing fee $200
Underwriting fee $495 and
Application fee $395

Of course I have no idea what these charges are but was wondering if these charges are also charged when using a bank or if these are all really just another name for "brokers fee" Is everyone charged these fees?

TIA

Those are all standard charges.
The broker fee is for your broker - how he makes the money. I am sure a bank has some sort of fee as well.

The processing fee - BS that all the banks charge to put through your application.

Underwriting fee - the charge to have the underwriter look at your application.

Application fee - the fee the bank charges you to apply for the loan..

Basically they will charge you for every little thing.
Definitely have your attorney look over the GFE though to make sure everything is accurate. He/She should be able to tell you how on target it is or if the bank left anything out.

As a commercial processor I can tell you that the processing fee does indeed serve a purpose. When the file comes in we audit it, enter into the systems and prep the entire thing for underwriting - include performing all searches necessary, we also coordinate the closings with the attorney's. It in fact pays our salary - so I personally don't think it is a BS charge. But that is JMO.

I am sure the fee does go towards something - I wasn't trying to insult anyone, it just is frustrating to have to pay fee on top of fee on top of fee