Costco now offering mortgage loans

https://www.costcofinance.com/

For your information only

The wholesale membership club competitor has entered the full-service mortgage loan business, and it’s already issued more than 10,000 loans, according to a CNN Money report. The loans include traditional mortgages, refinancing and loans for veterans.

Costco has teamed up with First Choice Bank to give members access to lenders with competitive loan terms through an online portal.

Members plug in their mortgage request information and the site provides a list of possible lenders. The member then decides which lender to pursue, instead of lender after lender contacting the Costco member. The lender doesn’t get the member’s identity until after it is chosen.

Costco also eventually plans to offer health and auto insurance, and student loans, the report says. The warehouse retailer already offers recreational vehicle and boat loans.

Costco has been offering health insurance in a few states for a while now. Nothing new. Same for auto insurance through Ameriprise. When was this article written? You're not talking about this article, are you? http://money.cnn.com//2012/04/26/real_estate/costco-mortgages/in...
Mortgages are just one of several financial products available to Costco's members. The warehouse club also offers health and auto insurance, as well as stock brokerage services, said Kutschka.

Up next: Auto loans and student loans.

Also, if you read the article carefully, it mentions that Costco has had a mortgage program for about 2 years now. This is only the revamped program.

Costco used to partner with lendingtree when they were a mortgage marketplace

Now they are just doing the lendingtree aggregation model. Nothing really new

But with a membership you can buy Costco gas and caskets.

qcumber98 said:   But with a membership you can buy Costco gas and caskets.

Check the sign near the gas pumps. Local laws may prohibit restricting sales to members only; i.e. no membership card needed for gas purchase. American Express card may be necessary for the purchase.

Can I return it if I'm not satisfied with my purchase?

I can see Kirkland loans on the horizon.

So Costco isnt really providing any of these services - they're just endorsing third-party providers and selling those third-parties access to the Costco membership.

secstate said:   I used this service last year to refinance my mortgage, it seemed more of a mortgage marketplace then. You'd enter your details and you'd get instant quotes back and if you were interested in one or more you could select them and then that company would contact you. First Choice Bank was one of the options I got though I ended up going with Weststar Mortgage and they were great. Rates were very competitive with what I could find elsewhere. If they have just limited to First Choice Bank now that is probably a bit of a step backward because I liked having several choices.

I also went with the Costco Weststar Route. Costco just in theory gets you a fixed fee mortgage. Still good to shop around, but Weststar had the best deal.

I bought my house from Costco. I want to see how my friends react.

I just closed on a TH using Costco. It was pretty easy I put in my info and it gave me 5 banks to choose from and showed me their current rate and fees, I ended up going with Wyndham Capital Mortgage. Their rates were the lowest. I did run into 1 snafu though, the Costco website said the Appraisal was $350, but they charged me $395, Wyndham said it was a mistake on Costco's website, but after a few emails to Costco, Wyndham credited me back the $45. The whole process was pretty painless, got pre-approved same day, though its a pain to get a mortgage these days, the amount of documents you need to provide is insane. Anyways ended up getting a 30 year fixed at 3.875.

One thing to note is some of these banks won't stop bugging you, for like 3 weeks after deciding on a bank I kept getting emails from "Bank of Internet" even though I told them I choose a different lender.

Howie411, in order to get that rate did you have to put 20% down? Thanks.

Costco isn't the originator of the loan. THey link you to partners. But to answer your question, I would imagine any of their partners would be able to. I filled out the form and ended up choosing Wyndham Capital to see what they can do. They've already said I can see what the HARP program can do to lower my interest rate.

buzolich said:   Curious if the Costco program can handle underwater refinance program like HARP 2.0

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