Frequently Asked Questions (FAQ)

Who is ENG Lending and what do they do?

ENG Lending is part of the Bank of England, which is located in England, AR. The Bank of England is a locally owned community bank that has been in operation since 1898. The mortgage department headquarters is located in Little Rock, AR.

Our primary business is the origination and sale of residential mortgages – mortgage banking. We, and our full time employees, are exempted from state licensing to originate mortgages in 48 states. Our management staff has significant experience in the mortgage banking industry. That is our strength and our focus.

ENG Lending is focused on managed and cautious growth - with strong emphasis on excellent relationships with and support for our business units and branches. Our focus is on excellence and not size.

What products and pricing do you offer to your branches and business units?

We offer a variety of conforming conventional, and government loan products (FHA, VA & Rural Development) – all available for closing in our name. The loan programs are priced to encourage closing of loans in our name. We offer premium pricing to our branches, and the premiums paid do not have to be disclosed on the GFE or HUD-1.

We utilize the NYLX pricing/product search engine, which provides our affiliates with accurate updated pricing throughout the business day, without having to search through a mountain of investor rate sheets.

We also allow our branches and business units to broker out loans. ENG Lending is approved with Several wholesale lenders. Additional wholesale lenders can be added to our approved list, provided they offer a unique product or pricing scenario not already offered by ENG.

Do you offer access to Automated Underwriting Systems (AUS) ?

Yes. For loans closed in house, we offer access to DU, LP, and investor proprietary AUS systems.

How are our loans underwritten, and what is the turnaround time?

We have staff underwriters, in Little Rock, that are authorized and delegated to underwrite for all of our "in house" loan programs. They offer quick turn around on our loan programs – after receipt of a complete and properly processed loan file. Loan files are scanned and emailed – avoiding costly courier fees.

Brokered out loans are underwritten by the wholesaler.

How are our loans closed?

Our Little Rock operations center is staffed with experienced closers. For loans closed in house, those closers are ready to prepare your documents, email them to the closing agent and coordinate prompt funding of the loans.

Am I allowed to market loans in other states?

Yes. However, we are very concerned that branches not compete with each other. Inter-branch competition could create confusion for the borrowers and frustrations for the originating branches. Therefore, we require that your primary marketing emphasis be in your immediate, regional market. That market is defined as part of your initial branch application approval process. We understand and expect that your regional market may span several states, and that you may also receive limited referrals outside your region. Because we are exempt from licensing in 48 states, you may process and close those loan applications – with no messy co-brokering or sharing arrangements.

Can I market on the Internet?

Yes, subject to approval of this, and any branch marketing, by our compliance department.

Each branch is allowed to have a website on the Internet. That site can advertise information about your branch and your products, but cannot contain pricing information. The site must be hosted by a vendor approved by the Bank. Site content must be approved by ENG. Online applications are governed by federal regulation. The branch may not use other online application sites or tools without prior approval of the bank and its compliance officer.

Can I send out direct marketing material?

Yes. The content of all advertising material must be prior approved by ENG and its compliance officer.

Can I buy leads?

Yes. ENG must approve the lead vendor and they must agree to abide by reasonable rules and requirements of the bank.

Do you support email?

At our expense, each employee is given an email account in this format – firstinitial.lastname@englending.com. We will also support other email domain names as long as the MX record is pointed to our server.

Which Loan Origination System does ENG use?

We use Calyx Point, Point Data Server.

When does my branch get credited for loan income?

For loans closed in house, your branch is credited for all loan fees collected, and premium pricing from the lock in, at the time the loan is funded through the closing agent.

For brokered out loans, your branch is credited upon our receipt of the fee check from the wholesale lender and a copy of the HUD -1 from the closing.

How do branch bills get paid?

ENG will pay or reimburse business expenses related to direct operation of the branch and/or origination of loans. Invoices or expense reports may be submitted to our accounting department and will be paid within 10 working days of receipt – usually within 5. Due to IRS regulations, expenses for entertainment, car leases and capital expenditures (furniture, computers, etc.) will not be reimbursed.

Are 1099 Employees allowed?

In order to enjoy licensing exemption, all employees involved in the origination of loans must be full time, W2 employees of the bank. Part-time employees will be considered on a case to case basis. However, we do not allow employees who are employed by another lender, mortgage company or financial institution.

How is payroll handled?

Pay checks are distributed, or direct deposited, on the 15th and last day of each month. At least five business days prior to each payroll date, the branch manager must submit a payroll request for each branch employee.

The payroll request is reviewed and, if approved, payment is authorized. Payroll will not be paid to branch employees if the accumulated profit of the branch is insufficient to cover the payroll amount.

Do you provide benefits?

We are required by law to pay for FICA, FUTA, Medicare, state unemployment and workmen’s compensation expense. Those expenses are charged to the branch expense account.

We provide access to medical and dental coverage. The medical, dental, vision, prescription drug and life insurance benefits are similar to those offered by large financial institutions. A portion of the cost of that coverage, currently $90.00 per employee, is paid by the company and charged to the branch as an expense, unless the employee waives insurance.

How do I get paid for the branch profits?

A profit and loss statement is prepared for each branch and distributed near the beginning of each month – reflecting activity for the previous month. The profit is available for distribution, through payroll, to the branch manager.

How does ENG charge my branch for the services they provide?

The per loan fees are spelled out in the management agreement. These include a $300.00 administration fee and a $200.00 underwriting fee, as well as a monthly accounting fee of $250.00.