Today, communication on social media is quite common. People are constantly texting, tweeting and posting information, both personal and professional. No different with many mortgage lenders and so too their loan originators. It’s how we communicate, especially with the Millennial generation.
Not just Millennials are paying attention to what gets posted on social media when it comes to mortgage lending. Regulators, including the CFPB, are sitting up and taking notice as well. They see this as fertile ground for unfair and deceptive advertising. Just ask some lenders who have been hit with fines (Target).
It is important to carefully check the content when posting anything on social media which may be considered as advertising. The rules for advertising on social media for the products you offer, under what terms and conditions, the rates and fees are the same as they are for print, radio and/or TV ads. They must present a clear picture of the product and our service being offered, and at what price when, the rate is mentioned. No LO posts, with some crazy picture, saying; “Hey call me for the best deal in town”.
Do you closely monitor what is posted by your loan originators? You should. Here is where you may get into trouble. Any information on the products and services he or she is offering to the public via social media must follow the same rules as any other company advertising.
Be careful of comments, or banners offering the “Best Rates” or special programs, as well as, where such offers are made. These may be considered to be discriminatory if not offered to all potential applicants in all areas. The way things are going, you may also need to post ads in various languages or offer an interpreter for non-English speaking or understanding consumers. That’s a conversation for another day.
Suffice it to say that social media offers lenders a whole new game for communicating with potential customers. Just be sure you know and play by the rules.