BNC National Bank Mortgage Review 2020
Editor’s note: Parts of this article were reviewed by a lender to ensure accuracy prior to publication. The overall conclusions, recommendations and opinions are the author’s alone. The information in this article is accurate as of the date of publishing.
BNC National Bank is a registered bank holding company headquartered in Bismarck, N.D. The company was founded in 1990 and operates community banking, mortgage banking and wealth management businesses from several locations in Arizona, Minnesota and North Dakota.
Working with BNC National Bank Mortgage
BNC National Bank Mortgage lends in all 50 states. However, physical branches are only located in the following states:
- North Dakota
As of July 2020, BNC National Bank Mortgage had originated $1.5 billion in mortgage loans, according to email responses sent to LendingTree.
BNC National Bank Mortgage borrowing requirements
Borrowers must have a minimum credit score of 640 to obtain a mortgage at BNC National Bank Mortgage. Manual underwriting is offered for borrowers who don’t meet automated underwriting requirements on government-backed mortgages.
BNC National Bank issues mortgage loans for:
- Single-family homes
- Multifamily homes
- Manufactured homes
BNC National Bank Mortgage products
- Fixed-rate mortgages. Borrowers can choose the security of a stable monthly payment with fixed-rate terms ranging from 10 to 30 years.
- Adjustable-rate mortgages (ARMs). BNC offers 3/1, 5/1, 7/1 and 10/1 hybrid ARMs for borrowers seeking the short-term savings of a temporarily low interest rate. The first figure represents how long the initial fixed-rate period lasts; all of the options adjust annually after the teaser rate expires.
- Conventional loans. Homebuyers with low to moderate incomes may qualify for a Fannie Mae HomeReady® and Freddie Mac Home Possible® loan with a 3% down payment.
- FHA loans. Borrowers unable to meet stringent conventional loan requirements may qualify for a loan insured by the Federal Housing Administration (FHA) with as little as a 3.5% down payment.
- VA loans. Military borrowers may buy a home with no down payment if they are eligible for a loan backed by the U.S. Department of Veterans Affairs (VA).
- USDA loans. The U.S. Department of Agriculture (USDA) guarantees loans in designated rural areas for eligible borrowers, in some cases with no down payment requirement. Income limits apply.
- Jumbo loans. Buyers have access to loan amounts above the conforming loan limit of $510,400 in most parts of the country to purchase a more expensive home.
- FHA streamline loans. Homeowners with a current FHA loan can save money by refinancing without the hassle of an appraisal or income verification.
- VA interest rate reduction refinance loans (IRRRLs). Current VA borrowers may refinance an existing VA loan without income or appraisal requirements.
- USDA streamlined assist loans. No income documents or appraisal expenses are applicable for USDA borrowers who want to improve the terms of their current USDA loan.
- Home equity loans and home equity lines of credit (HELOCs)*. Mortgage customers can borrow up to $100,000 with a home equity loan or HELOC at select branches.
- Reverse mortgages*. Borrowers at least 62 years of age may be able to take out a mortgage with no monthly payment or turn their home equity into income.
*Reverse mortgage and home equity products are available only within the lender’s banking footprint, according to responses emailed to LendingTree.
The mortgage application process
- How to apply. BNC offers a digital loan application platform called “Blend” to speed up and simplify the mortgage process.
- Disclosure process. The online systems allow for electronic disclosures and uploads of financial documents. The website features an application checklist with commonly requested paperwork.
- Submitting loan for approval. A loan officer and processor team up to help with the process from application to closing.
- Final approval. A loan team double-checks everything for accuracy to finalize your loan approval.
- Closing. Your loan officer will help schedule your signing appointment and let you know how much money you’ll need at closing.
- Servicing. BNC typically sells its loan servicing; you’ll likely make payments to a new company soon after closing.
Communication during the process
Borrowers can reach a BNC National Bank representative at (800) 262-2265, Monday through Friday from 8 a.m. to 5 p.m. CST, or by logging into their online banking account and using the message center.
Pros and cons of a BNC National Bank mortgage
- Offers a wide variety of purchase and refinance loans
- Offers reverse mortgage and home equity loans
- Website doesn’t provide detailed information about all loan product offerings
- Limited branch offices in a handful of states