Exercise your rights with a Forensic Loan Audit and tell your lender “I am not Leaving”
Avoiding Forclosure is best accomplished by exposing Predatory Lending, TILA and RESPA Violations and Lender Fraud to get a legal standing for fighting back.
A professionally done Forensic Analysis will point out all Truth in Lending Act Violations, RESPA Violations, HOEPA Section 32 Violations and Lender Fraud Violations which can be used to renegotiate your mortgage terms with your lender.
When people look for a mortgage, they rely on professional advice and the aid of a mortgage broker or lender. The loan process is complicated and most everyone places their trust in the professional that is guiding them through the process. Unfortunately, many of these professionals placed thousands and thousands of borrowers in loans that they could not afford or in just down right exotic mortgages, that now have become extinct.
Predatory lending is a buzz word that is floating around a lot right now and for good reason. There are thousands and quite possibly maybe a million plus people that have mortgages where the Truth in Lending Act was violated, thus falling under the predatory lending statue. Many can stop foreclosure if they only knew what to look for and how to defend themselves.
A Loan Document Audit is a very specialized service which is imperative in identifying if a borrower is a victim of predatory lending. A review of all loan documents is performed to thoroughly investigate for miscalculations and to determine if the loan terms are accurate, truthful, and met the requirements of the applicable federal statutes. The #1 goal is to determine whether there were violations of federal law. If these violations are found, then the borrower may be eligible for complete relief of the predatory loan. This is know as a loan rescission. Meaning the lender takes back the “predatory loan” and awards or credits back to the borrower all interest made on payments thus far, loan origination fees, all applicable lenders fees, penalties and attorney’s fees.
Relief can also come by means of a Loan Modification or a new affordable loan. This allows the borrower to get a new loan with a smaller principle, meaning that the mortgage can be affordable and non-predatory.
To properly conduct a FORENSIC LOAN DOCUMENT AUDIT the client and all applicable parties are interviewed and then a complete loan document and disclosure review is conducted by an experienced underwriting, fraud and compliance mortgage professional who will reverse engineer your loan terms and Annual Percentage Rate (APR) for possible Truth in Lending Act (TILA) violations and to check if all the Real Estate Settlement & Procedures Act (RESPA) laws were complied with.
A LOAN AUDIT REPORT should include:
Any and all applicable federal law violations.
The real terms of your loan.
Outline of hidden fees and/or commission earned by your broker or lender.
A complete assessment so you can pursue possible legal claims against your broker and/or lender.
A results report of all factual findings of the forensic audit listing all violations and findings of:
¤ CONSTRUCTIVE FRAUD
Material facts include the terms of the loan, whether there is a prepayment penalty, or any other information which a reasonable borrower would want to know before accepting the loan. Did the broker or loan officer or anyone working for the broker or loan officer fail to disclose any material facts to the borrower?
¤ FRAUD AND NEGLIGENT MISREPRESENTATION
Were any representations, statements, or comments, written or oral made by the loan officer, broker, notary or anyone else which contradicted the terms of the documents?
¤ NEGLIGENT MISREPRESENTATION
When a mortgage professional makes errors which a reasonably diligent mortgage professional would not have made, he or she may have made a negligent misrepresentation.
¤ BREACH OF CONTRACT
The note and its attachments are a contract. The broker must follow all the terms of the contract such as the way the interest is calculated, and the penalties it assesses. Were there any terms in the contract which the lender failed to follow?
Article written by: Manny Lindo of Highland Financial Protection Group, LLP