Tele-Marketers.. good or bad idea?

[David Polaniuk]

My argument is that I would rather allocate my time to closing deals, rather than calling out to generate business. Personally, cold-calling would be the low point of my day. Why not have someone else do the dirty work? It is all a matter of preference I suppose.

[zsouth]

Starting your own TM room is a great idea. It will lower your cost per lead and you have control over the quality of the leads, instead of counting on a lead company. The most important things to remember is how you will dial the potential borrowers (auto-dialer, predictive dialer, manually dialing). Purchasing a dialer can get expensive, it is usually best to start off manually dialing. The other thing is where you purchase your calling lists from. If you get the free listings from Title companies you will not get good results, everyone has access to this info and someone probably beat you to the punch. It is best to do your research when purchasing a list. Most lists are anywhere from .04-.25 cents a name, depending on the quality. Make sure the list has been prescrubbed against the DNC list.

The problem some brokers run into when starting their own TM room is that they cant find a good list company so they purchase cheap internet leads to call. In essence they are doubling their expense to generate their leads. You can have just as much success by purchasing a credit bureau list and cold calling.

Hope this helps.

Zach

[abed_converimax]

Telemarketers are often pushy on the phones. They'll do whatever it takes to put the call through-

" It's just a free quote sir, you don't have to refi now, just hold on the line and I'll transfer you to a loan officer who will simply quote you on some of the better rates that are out there "

" Don't worry mamn, my loan officer on the other line can get you a 4.2% rate, fixed for 30 years "

Often telemarketers are paid based on commision which explains this pushy mentality.

My company, Converimax Inc, pays our employees based on how many of the Live Transfers result in funded loans for the loan officer. This pushes them to transfer homeowners who are actually eligible, who have immediate intentions to refi, rather than pushing them to toss through any homeowner who will wait on the line.

We have a 2nd filtration process whereby after the telemarketer asses the homeowners interest, the call comes into our in-house quality assurance department where loan officer assistance transfer the call.

Live Transfers can be useful, but be careful- look into the people who are actually transfer the calls- how they're paid, what scripts they read to homeowners, etc. This is what truly determines the call quality.

Regards,

Adam Bednarczyk

[zsouth]

Thats true Adam, but those usually generate low quality leads. Our company does not do that since we are selling a quality product. We focus on monthly savings, not lower rates. Our telemarketers, and I suggest other brokers with their own rooms do this as well, have certain qualifications before a prospect is considered a lead.

-6.3% fixed or higher unless the borrower wants cash out or debt to consolidate
-Must not be upside down on their mortgage
-Minimum loan amount of $80,000

These qualifications insure that there is at least something you can do for the borrower. If there is room for improvement and the borrower wants to refinance then that is a quality telemarketed lead.

My point - not all telemarketed leads are bad, most are good, as long as you get them from the right company.

Zach

[abed_converimax]

Id say 90% of Live Transfer companies produce crap.

zsouth I think that criteria is a given amoung LT companies now? I'm not sure of any LT company that doesn't have similar criteria.

Sometimes a homeowner meets the pre-determined filter requirements, but isn't ready to refi. immediately. When this is a case, most of the time the telemarketer will push the sale through, regardless of his/her intension.

The way LT companies motivate their telemarketers is usually on a 'per connect' basis which explains this pushy mentality.

I believe the filter criteria is a given. The variable factor involved is the agents who do the transfers-their knowledge and experience in the mortgage industry and how their incentive structure is built.

[florida man]

hi gang

i have developed a scheme to fund loans at about $200 per lead funded. Or less.

This entails :

no telemarketing
no direct mailing.
no stuffin envelops or post cards
everything done for me.
no 'trigger lists'
no suckin up to realtors or other underhanded lead feeds.
no rigging up ultar high maintinence websites to keep up rating postion.
No co brokering.
No paying a broker shop any of my commission (i feed apex 600 per loan -300 for seconds and keep the rest)

sound too good to be true? well, it aint.

So what is it?

first off, most loan officers underestimate how many homeowners live in there backyard. They INSIST on trying to scoop loans from the other coast or in all 50 states. Most folks will blow your competition off just based on the fact you are local-even if your rates are slightly higher. Concentrate your marketing in your zip code and surrounding zip codes, and you will win almost every time.

most loan officers cant be bothered to get into a suit and tie, and go MEET their borrowers. Why? they INSIST on trying to scoop remote business. Some dont feel they do good in person either. Meeting your borrowers in person will hold them if (and quite often) the loan scenerio changes.

These 2 things alone save all kinds of aggravation and lost income. Do local, meet your clients, and over 90% will fund.

As for advertising costs? I will save that tid bit for myself for now.......

[investaid_corp]

It's a great idea. You control your own destiny when you can create the leads yourself. Better than buying garbage internet leads.

[investaid_corp]

I think you have a good idea.