Hibernia Corporation

Hibernia Corporation is the holding company for Louisiana's largest financial institution, Hibernia National Bank. Hibernia National Bank was founded in 1870 and is headquartered in New Orleans, Louisiana.  It is the largest and oldest bank headquartered in the state, and it also has locations in Arkansas, Mississippi and Texas.  Hibernia Bank operates nearly 210 offices in Louisiana, and about 110 in Texas. Hibernia's non-bank subsidiaries include Hibernia Insurance, Hibernia Investments, which also oversees the company's mutual fund family, Hibernia Funds and investment bank Hibernia Southcoast Capital.  In March 2005, it was announced that Capital One would be acquiring Hibernia National Bank for $5.3 billion. The acquisition was set to close in September; however, just a few days before deal was to be completed, Hurricane Katrina hit New Orleans (Hibernia's headquarters and biggest market). Capital One later agreed to acquire to Hibernia at a lower price (approximately $5.0 billion). Hibernia National Bank became a wholly owned subsidiary of Capital One Financial Corporation in November 2005.  Capital One plans to replace the Hibernia name and brand with its own name in mid-2006.  Hibernia Corporation holds $22308 million in assets and posted a pretax earning of $450 million for 2005.

Hibernia Mortgage Loans

Despite the devastation of Hurricane Katrina, Hibernia Bank is still funding mortgages.  The bank offers various funding packages.  Fixed rate mortgages (in which the interest stays the same for the life of the loan) are available for loan amounts up to $322,700 with up to a 95% loan to value (appraisal minus mortgage).  Adjustable rate mortgages are also offered.  In this type of loan, the interest rate stays fixed for a certain term and then returns to the market rate. Programs are available for conforming and jumbo loan amounts up to $650,000.  The advantage of an adjustable rate loan is a lower initial interest rate than fixed rate loans.  There is an option to convert most adjustable loans to a fixed rate.

Hibernia Construction

For the builder, Hibernia offers a construction loan or a lot loan.  Hibernia's All-In-One Home Loan combines the construction and permanent loan into one easy, low cost alternative. That means one application, one closing, and one set of closing costs. Almost all of their conventional mortgage loans can be combined with a construction loan to create a customized loan package.  Alternatively, the builder can finance a lot with Hibernia and use the same mortgage for his interim construction and permanent financing loans. This saves time and money.  Hibernia’s loan consultants will customize a loan package to fit the needs of the customer.

If there will be a long closing but the borrower wishes to lock in an interest rate, Hibernia’s Marquee extended rate lock mortgage is for them.  A 90, 180, and 270-day Extended Lock period is available for the interest rate plus 0.125%, 0.500%, or 0.750% (depending on lock period).  The up-front lock-in fee of 0.50% is 100% refundable at time of closing and there is a free one time float-down option on rate (if rates drop, the borrower may lower the rate once, free).

Hibernia Keep It Simple Mortgage

Those who have trouble documenting their income may benefit from Hibernia’s Keep It Simple mortgage.  This is a low documentation mortgage.  The borrower must state his income and assets on his mortgage application, have a verifiable employment history of at least two years, and have a good-to-moderate credit history.  With this program, the borrower may get up to 95% loan-to-value financing for salaried or self-employed borrowers, financing for purchases and refinances, and conforming fixed rates or adjustable rate mortgage rates.  This program is also available on the All-In-One Construction/Permanent loan program.   Financing may be used for 1-unit, single family residences, including second homes, investment properties, townhouses, and condos.   Affordable housing loans for low to moderate income families are also funded by Hibernia.  The income must be consistent for two years and not more than 100% of the median income for the area.  The borrower must have good credit and take a homeowner education course.  The borrower will then get a 30 year fixed rate loan with a down payment of $1500 or 3%, whichever is greater, on a purchase price of $75,000 or less for a single family or double home.

Hibernia offer other funding options, as well.  An equity credit line is one of them.  This is for the home owner who wants the security of having some extra cash available, whether for immediate use or to save for a rainy day.  The line may be used and repaid and used again for the term of the line.  Alternatively, the borrower may choose a home equity loan, which is a lump sum payout with a fixed rate loan.  The reverse mortgage is also available.  A reverse mortgage is a loan borrowed against the equity value of your home. Unlike a standard home-equity loan, you do not have to pay it back for as long as you live in your home. The money plus interest is paid back when you die (or when the last surviving borrower dies), when you sell your home, or when you permanently move out of your home.   The borrower must be 62 years of age or more, the home must be paid for or have very little existing mortgage and it must be the borrower’s primary residence to qualify for this type of loan.    

Hibernia charges a $49.00 non-refundable fee for mortgage pre-approval.  You may apply online or in one of Hibernia’s offices.

This site is not a broker and does not collect or solicit mortgage applications. Content is for informational or comparison purposes only. Services are not available in New York. Products and services may not be available in all other states. Mortgage Info makes no representation, express or implied, that you will receive a quote from any companies profiled on this site.