Bank Branch Management: Mortgage and Auto Loans

Overview/Description
Mortgages and auto loans make up the majority of the loans at retail banks. Mortgage loan components include the principal, interest rate, mortgage term, amortization period, and repayment schedule. Individuals applying for mortgage applications are considered for credibility, down payment, and income or expense ratios. With an approved mortgage comes responsibilities for both the borrower or mortgagor, and the lender or mortgagee. Auto loans are similar to mortgages. Assets and liabilities, securities attached to the loan, credibility, the debt-to-income ratio, and the repayment arrangements are key in the loan consideration. These are the two most common loans, and arguably the most valuable to a bank. This course examines the basic mortgage loan components, the mortgage application criteria, and borrower and lender responsibilities. The course also discusses auto loan components and the loan approval criteria.

Target Audience
Financial services professionals, consultants, and sales professionals interested in providing or selling products and services to retail banks, and everyone interested in understanding the operations at a bank branch

Prerequisites
None

Expected Duration (hours)
1.0

Lesson Objectives

Bank Branch Management: Mortgage and Auto Loans

• describe the key components of mortgage loans
• differentiate between types of mortgages
• identify the approval criteria that are considered in mortgage applications
• categorize borrower and lender responsibilities for mortgage loans
• recognize basic principles of mortgage loans
• identify the basic characteristics of auto loans
• recognize auto loan approval criteria
• recognize basic principles of auto loans