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Originally Published: Dec 02, 2019
Originally Published: Dec 02, 2019 Last Updated: May 13, 2024 7 min read

Buying and refinancing a home is a major decision, and you want to take out a mortgage with a bank that you can trust. Based in Hodgenville, Kentucky, Magnolia Bank is one of the top 20 bank originators in the U.S., making it one of the best mortgage lenders currently available. Founded in 1919, the bank provides loan services in all 50 states.

Table of Contents:

  • About Magnolia Bank
  • Mortgage options
  • Qualifications
  • Getting started
  • Is a Magnolia Bank mortgage best for you?
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About Magnolia Bank

Magnolia Bank has Federal Deposit Insurance Corporation (FDIC) insurance, an A+ rating with the Better Business Bureau (BBB) and no record of complaints with the Consumer Financial Protection Bureau (CFPB).

It's no surprise that Magnolia Bank generates over $2 billion per year in home loans. They offer a variety of loan options, so customers can choose the financing option that works best for them. This flexibility ties in well with their motto: "Experience the Magnolia Way."

According to their website, “Magnolia Bank is committed to an excellent customer experience through our personal way, nurturing our employees’ personal and professional growth, enhancing shareholder values, and encouraging community involvement through our time and resources.”

Mortgage options

Magnolia Bank offers the following mortgage options for customers to choose from depending on their specific needs and financial situation.

Fixed-rate mortgage

A fixed-rate mortgage is perfect if you want a consistent monthly payment. With a fixed-rate mortgage, the interest rate and monthly payment stay the same throughout the term of the loan. The biggest advantage is that the loan holder doesn’t have to worry about the interest rate going up at any point during the loan term.

Department of Veterans Affairs (VA) home loan

VA loans provide unique benefits for those who currently serve in the military, former military service members and spouses of deceased veterans. The VA loan terms are much more flexible than your average fixed-rate mortgage or adjustable-rate mortgage (ARM). After confirming your eligibility with the U.S. Department of Veterans Affairs, you can start the process of taking out this specific type of loan.

Federal Housing Administration (FHA) home loan

If you fear that your credit score isn’t high enough to qualify for a home loan, then this option may suit you. Eligibility requirements for mortgages that the FHA insures are markedly less strict than many other loan types. This loan type is one of the easiest to get, and it gives individuals with unfavorable financial histories a chance to buy a home or refinance for the first time.

Jumbo home loan

If you plan to purchase a high-value property, a jumbo loan is the perfect financing option. To qualify for a jumbo loan, the price of the property you purchase must meet the current conforming loan limit, which is $647,200 in most parts of the U.S. You'll also need to have a strong financial background (i.e., high credit score and low debt-to-income ratio). You need to make a down payment of 20% when taking out a jumbo loan, but it’s still one of the best loan options for luxury homebuyers.

Mortgage refinance

Refinancing is a common way to lower your monthly mortgage payment. This option can lead to significant savings, so you should consider it if you want to pay your loan back on more favorable terms. Refinancing is the process of replacing your current mortgage with a new one so that you can enjoy benefits such as lower interest rates or lower monthly payments.

Cash-out refinance loan

One of the most challenging parts of paying back a home loan is trying to do so with high-interest rates. However, a cash-out refinance loan may afford you the possibility of lowering your monthly payments even if you don't have a stellar credit score.

The main difference between cash-out refinancing and basic refinancing is that a cash-out refinance allows you to borrow more money than you need to pay back your mortgage. You can use the extra money for home improvements, college fees or any other financial need.

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When applying for a mortgage at Magnolia Bank, there are a few qualifications that you'll need to meet. First, you need a minimum credit score of 620 (580 for FHA loans). Their mortgage application also requests standard personal information, such as your address, birth date and income.

You can apply for a loan from Magnolia Bank online or via the phone. They consider every loan individually, so it's best to contact Magnolia Bank directly to determine the exact qualification requirements for your desired loan type.

Getting started

With Magnolia Bank, getting started is simple. Just visit the Magnolia Bank website and get a free, no-obligation loan analysis and rate quote using their easy-to-use online form.

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Is a Magnolia Bank mortgage best for you?

Magnolia Bank has an excellent reputation as a mortgage lender. It holds an A+ rating from the BBB and FDIC insurance. Additionally, the CFPB doesn’t have any current complaints against it.

Regarding customer satisfaction, different rating forums show many posts from loan holders with positive reviews, and you don’t have to provide highly detailed information to get their mortgage rates when you apply.

Overall, Magnolia Bank provides a streamlined, simple and convenient loan application process. The one notable downside with their loan application process is that some customers may not feel comfortable using an online platform for financial matters such as this. However, you can rest assured that Magnolia Bank is safe, reliable and well-regarded when it comes to offering competitive mortgage rates.

Update: This article has been updated to reflect current information regarding Magnolia Bank.

Disclaimer: This story was originally published on December 2, 2019, on BetterCreditBlog.org. To find the most relevant information concerning Magnolia Bank mortgages, please visit their website: https://www.magnoliabankmortgage.com/

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