AimLoan, an online direct lending mortgage company, is currently offering some pretty noteworthy APRs on their fixed and adjustable rate mortgages. And because their APR’s are so noteworthy when weighed against the current national average(s) we figured we dig a little further into AimLoan’s company and their mortgage products.
AimLoan was founded in 1998 and was one of the front-runners of online direct lending companies. Because they’ve been in the game so long, they claim their technology and knowledge of the online landscape enables them to regularly offer lower overall APR’s then their competitors.
Their system, as well as all online direct lenders’ systems, eliminates the mortgage broker and highly commissioned loan officer – which are the highest costing components of the mortgage process. They then claim to pass along these savings back to the consumer in the form of lower mortgage rates.
Mortgage Rates offered through AimLoan:
(Rates accurate as of 9/2010. Visit aimloan.com for updated rates and information or our mortgage center for updated APR’s from both direct lenders and banks in your city.)
- 30 year fixed rate mortgage going for 4.299% APR with 0 points.
- 30 year fixed rate JUMBO mortgage going for 4.421% APR with 0 points.
- 15 year fixed rate mortgage going for 3.711% APR with 0 points.
- 5/1 ARM (adjustable rate mortgage) going for 3.089% APR with 0 points.
Who can obtain a home loan or mortgage through AimLoan?
Their system is designed to deliver the very best rates and fees available to qualified borrowers. Their loans are underwritten by an automated underwriting system and, in most cases, FICO scores below 620 will not be approved by their system.
What is the minimum down payment required on a purchase mortgage?
They offer loan programs with as little as 5% down (3% if purchasing a Fannie Mae foreclosure through our HomePath program). However, significant savings may be achieved with a down payment of 10% or 20% so they encourage you to run multiple loan scenarios to see if you can afford a greater down payment. On condos, the best rates are obtained with a 25% down payment.
What is the maximum debt-to-income ratio allowed?
On conforming and super conforming loans, there is no maximum debt-to-income ratio requirement. These loans are underwritten by an automated underwriting system that takes many factors into consideration, including your credit score and loan-to-value ratio. With good compensating factors, loans with debt-to-income ratios as high as 70% have been approved.
On jumbo loans, the maximum debt to income ratio is 38% to 50% depending on the loan program.
AimLoan Reviews and Complaints:
There is definitely no shortage of reviews (supposedly) written by AimLoan customers on the internet. You can read some here and here. As a quick word of caution though, we always recommend taking “consumer reviews” with a grain of salt as they are written anonymously (ie – there is no way of guaranteeing the reviewer is who they say they are). Due to this, its been more than speculated that a number of the positive reviews can come from employees, while a number of negative reviews can come from just one terribly disgruntled customer under different aliases. So even though a good chunk of reviews are likely honest reviews, many may also be submitted with alterier motives.
That being said, we like to get the BBB (Better Business Bureau) rating to see the number of ‘real’ registered complaints with an institution. And as for AimLoan, their BBB rating sits at a “C”.
AimLoan has a total of 69 registered complaints with the BBB. Of those 69, 62 had to deal with problems with the product or service, 14 had to do with misleading advertising or sales and just 3 had to do with billing and/or collections. All 69 complaints have been closed and labeled as “resolved.”
If you have experience in banking with AimLoan, please share you experience by leaving a comment.