BNC National Bank Reviews

BNC National Bank doesn’t publish its starting rates online, but according to Home Mortgage Disclosure Act data, the company has had a lower average rate for home purchase loans than the national average in recent years. In 2021, its average rate was 0.25% lower than the national average.

BNC National Bank offers both fixed-rate and adjustable-rate mortgages (ARMs). Fixed-rate mortgages are popular when rates are low; when rates climb, many borrowers choose ARMs for the short-term savings they offer. ARMs have relatively low introductory rates for one to five years, after which the rate resets and adjusts according to market conditions. Before you get an ARM, keep in mind there’s no guarantee rates will come down over time.

BNC National Bank average home purchase rate vs. national average

You start the preapproval process by applying through the company’s website. Once you create an account, the application asks questions about the type of home you’re looking to purchase, your assets (like bank account balances) and your demographics. You may also need to upload financial documents, like bank statements and pay stubs, before you can submit the finalized application.

A loan officer is available to assist you with your application or answer any questions you may have about the process. After completing the application, you could receive a preapproval decision within a few minutes.

Matthew, a ConsumerAffairs reviewer from Matthews, North Carolina, had this to say about BNC National Bank:  “The rep worked with me and gave me the lowest available rate. I got a conventional loan and everything rolled fast. It was a good process. He told me what I needed, and I got those things. The portal was easy to upload information. It was a good experience and I would use BNC again. I recommended them to a friend and he used them as well.”

BNC National Bank application features

BNC National Bank offers a variety of mortgage loan options to suit borrowers’ needs. The company offers conventional loans (with fixed or adjustable rates), jumbo loans, FHA loans, USDA loans and VA loans. Conventional loans generally come with 15-year, 20-year or 30-year terms. The company also offers 203(k) loans, which are mortgage loans insured by the FHA for purchasing and remodeling a home.

BNC National Bank states that it specializes in VA loans and mortgages for first-time homebuyers. The company originated over $1.2 billion in VA loans alone in 2021.

That same year, BNC National Bank received 3,157 home purchase applications. Of those applications, about 64% (2,023) turned into closed home purchase loans, and about 8% (253) were denied.

Loan applications for home purchases only by year

Refinancing

BNC National Bank offers refinancing for jumbo, FHA, USDA and VA loans. You can refinance to lock in a lower interest rate, shorten your loan term or get cash.

In 2020 and 2021, many borrowers refinanced their mortgages to secure lower rates. The majority of loans BNC closed in 2021 were for refinancing (66% for refinances and cash-out refinances combined). Less than one-third (31%) were for home purchase loans.

Rates have since risen, and fewer borrowers are expected to refinance in 2022. For reference, the average 30-year fixed-rate loan rate was under 3% in August 2020; it was 5.13% in mid-August 2022, according to the Federal Reserve Bank of St. Louis.

Home purchase vs. refinance loans by year

BNC National Bank lists many of its borrower requirements on its website. Most seem to adhere to the industry norms, though it does require a credit score of 620 for a VA loan (some lenders may allow 580). BNC National Bank also allows a 3% down payment for first-time homebuyers on conventional loans; some lenders require more.

The company doesn’t disclose its minimum credit score requirement for FHA loans, but it does state that this type of loan allows for lower credit scores. This could be an ideal choice for first-time homebuyers with lower credit scores.

National mortgage requirements by type

BNC National Bank doesn’t list its lender fees for new mortgage loans online. Closing costs usually include a credit report fee, title search fees, homeowners insurance premiums, property taxes and other fees.

If you’re concerned about paying these costs, you can ask BNC if it offers any closing cost assistance programs.

Once you’re preapproved, BNC National Bank should give you a Loan Estimate, which details all the estimated closing costs. You’ll receive Closing Disclosures at least three business days before your closing, which will show the finalized loan costs and fees.