loan broker

A loan broker, also called a mortgage broker, is an intermediary between a borrower and a lender. While a borrower may obtain a loan directly from a lender, a broker assists in identifying lenders that best meet the borrower’s financial needs or goals. Brokers may provide access to a wider network of lenders and help negotiate terms, like interest rates. The broker is typically compensated by a fee paid either by the borrower or the lender.

[Last reviewed in September of 2025 by the Wex Definitions Team] 

Wex

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