When it comes to interest rates, the noise can be deafening. What is the current inflation rate? How will the Federal Reserve respond? What do forecasts indicate? Will there be a rate cut in April? In May? In June? And how might this year’s presidential election impact it all? For someone trying to buy a home on a quiet street in Central Illinois, these questions can all seem like distant chatter.
Meanwhile, Rachel Patrick can cut through that noise with a simple question: What mortgage payment can you afford?
"It's about the relationship—what are your needs right now?" asks Patrick, mortgage loan officer at Prospect Bank, a mainstay in the region since 1873. "Let me know why you want to buy a new home, why right now is your time, and what you're looking at. And as we walk through that, we get to, 'What do you want your payment to be? What can you afford right now?'"
That personal touch makes the difference at Prospect Bank, which has 10 locations throughout Central Illinois and Indiana. Purchasing a home can be an anxious experience, given there are so many steps to the mortgage process and so much information that needs to be provided. And that's all exacerbated when the transaction is handled exclusively over the phone or by email, with a financial institution that knows the lender only as a number in a file.
'It's all about that relationship'
That's where a local institution like Prospect Bank comes in. Mortgage applicants aren't just numbers in a file—in many cases, they're neighbors or people you recognize from high school basketball games on Friday nights. Local banks offer nearby brick-and-mortar buildings where applicants can sit across from a real person who sees their financial picture in its full context and can offer lending solutions most appropriate for their current situation.
"The relationship is key in everything—I'm going to work with you, you're going to share your good and bad, and we're going to get down to how I can best help you," Patrick says. "And you'll never have to call a 1-800 number. I'll always be here to help you. So, when we find that house for you and make that dream come true, I'll be here for you should you have any questions. You can walk in the door, you can call me on the phone, but you're never going to have to call this unknown company or this unknown person you've never dealt with."
Patrick knows firsthand the frustration of having a mortgage sold multiple times, ending up with a company you've never heard of, and having no sure way of getting questions answered. It happened to her when she was living in another state: " I got a letter from this company telling me I had to pay them. I was confused—like, what am I supposed to do?" she recalled.
"Customers want to know that you will be there to service their loans, not a company they’ve never heard of," Patrick says. "I think that's the key for local banks—it's all about that relationship and that reassurance that we'll be here. We're stable. We were here when we made the loan, and we're going to continue to be here to help you in the future and answer those questions."
'What do you need in a mortgage?'
Forming long-lasting customer relationships also helps local financial institutions like Prospect Bank craft lending solutions specific to a client's needs. "We customize," Patrick says. Prospect Bank clients will find standard fixed 15-, 20-, and 30-year mortgages, but also other products like a 3-and-1 adjustable-rate mortgage (ARM) for those who may not qualify for fixed rate financing.
"Again, it's that relationship that helps us find out what's best for you," Patrick adds. "What are your goals? What do you need in a mortgage, and how can we help you find that?"
It makes a difference, Patrick adds, when you know the mortgage applicant as a person and not just a number. Maybe they've gone through a divorce or some other extenuating circumstance that's adversely affected their credit score. Maybe a customer's ARM is entering the adjustable-rate period, and it's time to discuss refinancing options. And sometimes, a client just needs a local banker's reassurance—to help them tune out all the noise.
"With a mortgage, you have to bring a lot of information to the table. So, it's extensive, and you build that trust with them," Patrick says. "Whenever the economy changes or things happen in the world, people wonder, 'What about my house?' Or 'Money is tight right now; what should I do?' And so that relationship comes into play again because they've worked with me in the past. They ask, 'Rachel, should I hold on or refinance?' Or 'I'm getting older and have a three-story house; should I downsize?' It comes down to their needs and goals, and forming that relationship is key."
Interested in learning more about Prospect Bank and how it can help you with your home-buying needs? Contact Prospect Bank by phone at (877) 465-4154, visit its website at BankProspect.com, or stop by any of their 10 Central Illinois and Indiana locations, including the headquarters at 177 West Wood St. in Paris.
