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July 5, 2017

GSE Reform: Don’t Forget the Federal Home Loan Bank System

By Paul Muolo

In a normal [commercial] bank acquisition, senior managers usually get a big payday, said former FHLBank Chicago President Alex Pollock. But in this case, if you merge [with another FHLB] you could lose your job.

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On average, how much of a commission does your shop pay loan officers per loan they originate ?

25 to 50 basis points.
51 to 100 basis points.
101 to 150 basis points.
North of 151 basis points. (We expect a lot.)
We pay salary, not commission.

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