We've turned dreams into realities
Every year, Franklin First Financial helps thousands of families with less-than-perfect credit make their dreams come true. Specializing in non-conforming loans, has built its core business by helping to people whose borrowing needs are generally not met by traditional financial institutions. We understand the importance of providing you with the options that can enable you to achieve a better quality lifestyle.

Whether you want to:
Pay off mortgages with high interest rates
Finance home improvements or repairs
Debt consolidate
Meet emergency expenses
Pay for a wedding, vacation, or special purchase
Contact Us!!!

Introduction
Non-Conforming loans are available to borrowers with "A" through "D" credit with Full, Limited or Stated Income for owner or non-owner occupied properties. These innovative programs allow for both fixed-and adjustable rate programs for 1st mortgages and fixed-rate programs for 2nd mortgages.

Q: My mortgage payment are too high, how can I reduce them?
A: You may have taken out a fixed-rate mortgage at a time when interest rates were higher than they are now. Or, you may have an adjustable rate mortgage that has been trending upward. In either case, you may do well to consider refinancing your loan at Franklin First. In a refinancing, the money from the second loan is used to retire (pay off) the first mortgage completely, leaving you with the same size loan but at a lower interest rate. At the same time that you refinance, you might be able to cash out some of your home equity.

Obviously, a lower interest rate will result in a lower monthly payment for the same size loan. But a refinancing entails closing costs. We will disclose some of these costs to you before the actual closing; the rest, you can determine on your own. It's important to know that the total of your closing costs could offset the savings from your lower monthly payments for many months a year or more.

Interest rates tend to move in cycles, and the very best time to refinance is when rates are at the bottom of a cycle. But bear in mind that the movement of interest rates is impossible for anyone to predict.

Q: Can Franklin First help me improve my house?
A: You can use a home-equity loan by Franklin First to finance improvements to your home. In this way, you can actually increase the value, and thus the equity, in your home. Remember that the best outcome of a home-equity home improvement loan is that you boost the fair market value of your residence. In this way, you actually add to your equity at the same time you are borrowing against it. Not all expenditures on your home will have this result. While extra rooms will almost always add value to your home, many interior changes or luxury additions will not. Keep in mind that increasing personal comfort is not necessarily the same thing as making true improvements.

Q: How can I get money for an emergency?
A: In an emergency, a home-equity loan through Franklin First can be a blessing. It's comforting to know that the financial power of your home can tide you through an illness, loss, or other emergency. Just remember that if you can't repay what you've borrowed, you could find yourself in another emergency. In particular, be aware that the emergency itself (for example, a hospitalization) can impact your income by taking time away from work. Don't hesitate to borrow in an emergency just be sure you can manage the payments.

Q: I'd like to pay for a wedding, vacation, or special purchase, can you help?
A: Unlike our homes, most of the things we buy are likely to go down in value over time. This is even true of big-ticket assets, such as cars, boats, etc. Because of their tax advantages and generally favorable interest rates, home-equity loans can be the smartest way to finance these and other special purchases and occasions that you would have had to finance through less attractive methods.

Q: My credit cards and other debts are eating up my income, how can I get out from under?
A: The money you borrow through Franklin First Financial through a home-equity loan (a loan taken out against the value of the portion of your home you've already paid for) can be used to pay off credit card balances and other debts. Debt consolidation has several advantages:
You can improve your cash flow by lowering the amount you pay out in debt service each month and even save or invest money previously paid out in loan interest.
You can repair your credit rating, over time, by making your overall monthly payments more manageable.

You can present a more favorable overall image to other lenders by demonstrating a stronger financial profile.

If a home-equity loan is used to pay off other debts (or even your first mortgage), it can save you a certain amount of money each month. This positive effect can dramatically offset your net cost of the loan. However, as with any powerful tool, there are some serious considerations. The whole plan will backfire if you continue to run up balances on charge accounts, etc. You could end up with even more total debt. If you take a home-equity loan for debt consolidation, you will need discipline to execute the debt-reduction plan.

The principal balance (the amount borrowed) on a home-equity loan may be significantly lower than the principal balance on your mortgage. However, the interest rate will probably be higher. You should know exactly what your payment will be and how it will impact your finances.
Also, with all home-equity loans you are borrowing against your home, thus against the roof over your head. Failure to repay the loan could result in the loss of your residence. Speak to your financial advisor before you take a home-equity loan. Are you putting the loan proceeds (the money you borrow) to wise use? Bear in mind that a home-equity loan temporarily reduces the equity in your home, which is a key financial asset.

Q: I'm interested in debt consolidation. Can Franklin First Financial help me?
A:Yes, Franklin First financial can offer you a loan which eliminates high credit card interest and lowers your overall interest rate while bringing any past-due balances current and even increasing your mortgage interest tax-deduction.

Q: If I choose to do a debt consolidation, how do my bills get paid by the loan?
A: We will pay these items in escrow using your most recent charge statements.

Q: Do you have to pay all my bills off?
A: We will put your loan program together by paying off only those bills you wish, as long as what you specify is within our program guidelines.

Q: Do I have to pay off property taxes, IRS liens, judgments, collections, or child support to get my loan?
A: We will pay these amounts only when it is determined to be necessary by our program guidelines. As a direct lender, you'll find our program guidelines more flexible than others.

Q: What type of programs do you offer for self-employed people?
A: We have two excellent programs for the self-employed. We offer both stated and simple income loan programs. The stated program requires no income documentation, while the simple loan program uses six months of the most recent bank statements. Unlike other lenders, we don't require two full years of self-employment to approve your loan.

Q: Do you work with people who have credit difficulties such as late payments, collections, judgments, bankruptcies or even foreclosures?
A: We have recently originated many loans for people who are in difficult financial situations. As a Banker, Franklin First Financial has more flexibility in putting loans together, and we always look for ways to make the loan rather than turn it down.

Q: How long does it take for negative credit to drop off?
A: Most credit information remains on a credit report from seven to ten years unless you take steps to have them removed. We have many great loan programs that let you start rebuilding your credit today.

Q: I notice that after I make my monthly payment, my credit card balances hardly change. Why is that?
A: Depending on your interest rate and how your minimum monthly payment is calculated, the minimum payment could be just about interest only. If this is so, and all you pay is the minimum each month, it will take up to 33 years to pay off the balance. A better option could be to consolidate your debt by refinancing and make one payment each month with a lower interest rate and the added benefit of an increased home mortgage tax-deduction. Ask your tax advisor for details on your status.

Q: Whom do I call for service?
A: On your monthly statement there will be contact numbers for customer service. They can be reached via a toll-free phone number.

Q: Do you do loans for manufactured homes, condominiums, 2 to 4 units, non-owner, leased land, or rural properties?
A: Yes, we do all types of loans for all types of properties.

Q: I am planning to move in a few years. Do you have loans that would work for me?
A: Yes, based on when you are planning to move, our two- or three-year fixed-rate program or our six-month adjustable rate mortgage might be a good choice for you.

Q: How long will it be before I can close my loan and receive my money?
A: Franklin First Financial generally closes loans 15 to 20 working days after we receive all your paperwork.

Q: I have heard about paying loans off faster. Do your loans allow this?
A: Yes, with no pre-payment penalty (if you have so chosen), you can easily pay off your loan faster and save yourself thousands of dollars in interest. Ask your Franklin First Financial loan advisor for details on your status.

Q: Will there be a balloon payment?
A: No. All of our loans are fully amortized, which means you pay principle and interest every month. There is no extra balance due at the end and the term loan is completely paid-off at the end of your loan.

Q: Can I get impounds on my new loan?
A: Yes, the choice is yours. We would be happy to do this so that you would know that your taxes and insurance will always be paid on time. These would be included in your monthly payment and you would not have to save up for these items during the year.

Q: Do you have a coupon book or a monthly statement?
A: You will receive a detailed monthly statement showing your monthly payment, outstanding loan balance, amounts applied to principle and interest, and any impound information.

Q: When will my payments be due?
A: Either on the 1st or the 15th of the month, whichever you prefer.

Q: Can I send in additional money each month?
A: Yes, the additional money will be applied to principle and your outstanding balance. This is a great way to save and pay off your loan early. Ask your Franklin First Financial loan advisor for details on your status.

Q: How much do I need for the down payment to buy a home?
A: Down payments can be as low as 10% of your home's purchase price. Our guidelines even allow for a down payment as little as half of that amount to be your own money with the balance coming from a family member as a gift. Secondary financing from the seller or another lender is also allowable.

Q: Why do I need an appraisal?
A: All new home loans need current information regarding the homeowner and their property. The new appraisal will ensure that we are basing our loan on the correct value of your property and providing you with the best program and pricing.

Q: How do I pay for an appraisal?
A: You can use a credit card or personal check. Most people prefer to use a credit card. In fact, what we can do is increase the payoff on one of your cards by the amount of the appraisal fee, and that way there will be, in effect, no out of pocket expense to you, at the time your loan is funded.

Q: What are closing costs?
A: A number of parties are involved in the process of providing mortgage for your home. They include the lender and/or mortgage Banker, appraiser, insurance company, your local government, inspectors, and a Notary.

Each of these parties charge fees for their service in processing and funding your loan. The lender's/Banker's responsibility is to explain to you what the services and costs are, and to give you an estimate of the total costs when you apply for a loan. This estimate comes in the form of a document titled Good faith Estimate of Closing Costs.

Q: Will my estimated closing costs differ from the actual costs?
A: Yes, and this is a common source of confusion and frustration from borrowers. The main reasons for the difference between the estimated and actual costs are as follows:
Different investors charge different fees for processing your loan application. Therefore, your choice of a loan product will determine the actual investor's origination cost, administrative fees, etc. Since you normally receive the Good Faith Estimate before you lock in a loan, our fees can only be an estimates. Your prepayment amount may vary. On a purchase, you might have to prepay certain expenses. To protect the collateral on their loan against your house, some investors requires you to prepay a year's worth of insurance. as well as proper taxes. These amounts will depend on the appraised value of your home as well as the type of insurance you choose. Until the appraisal is complete and you have selected and insurance provider, these costs are only estimated. Other fees may vary depending on which investor provides services for your application. For example, different notaries and escrow companies have slightly different fee schedules.

In standard transactions, the difference between estimated and actual closing cost can vary. Any variance should not normally be a cause for concern. If you have questions about specific costs, call your loan officer.