A Loan Audit could be your last line of defense against a foreclosure.
Almost 90% of the mortgage loans funded between 2002 and 2006 have lender violations, some serious enough to have the mortgage rescinded.
While most loans do not contain blatant predatory lending violations, there are several common infractions that lenders have made on mortgage loans that could be used as leverage during a loan modification negotiation.
Here are a few things our team of experts can uncover in a Loan Audit:
1. Excessive lending fees that have been hidden or not properly explained on a final settlement statement.
2. Discrepancies between the original Good Faith Estimate (GFE), Truth In Lending Act (TILA) disclosure, APR, final HUD, and lender compensation.
3. Date and signatures not matching with final signed loan documents.
4. Misrepresentation of the original terms as explained and documented by the originating loan officer and the final signed application.
5. Real Estate Settlement and Procedures Act (RESPA) violations where affiliated business relationships were not disclosed or ignored.
6. Inflated appraisals and collusion.
7. Loan servicing violations where the lender did not notify the borrower of the amount of loans sold and retained.
8. Compliance and Quality Control practices of the lender.
9. Accurate (APR) calculations of Adjustable Rate Mortgages, Negatively Amortized Loans, Interest Only loans, and teaser rate programs.
10. Breach of Contract where the broker does not abide by the terms of the mortgage note.
11. Failure to notify borrower of default status according to state foreclosure laws.
12. Fee splitting and improper placement of third party charges on the final settlement statement.
13. Regulation Z Home Ownership and Equity Protection Act (HOEPA) disclosures not delivered to the borrower in the required time frame.
14. Equal Credit Opportunity Act (ECOA) violations of discrimination.
15. Broker / Co-broker relationships between lenders, developers, and real estate companies.
Related Articles
- What Is A Loan Modification?
- Do I Qualify For The Obama Making Home Affordable Modification?
- How Much Will My Payment Decrease With A Loan Modification?
- Will A Loan Modification Affect My Credit?
- Getting Approved For A Loan Modification – It’s All In The Packaging
- Required Documents For A Loan Modification
- Writing A Loan Modification Hardship Letter
With No Up-Front Fees, our clients only pay for Results.
Call us today if you have questions about packaging and
submitting a Loan Modification request.
877-496-5393
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