How to Do Your Loan Modification Review for Violations?

How to Do Your Mortgage Documents Review?
For Loan Violations?

Fore best evaluation of your claim on any of the predatory lending violations, it is necessary to do a loan audit. A loan audit is a good thing: but by who? Too many claims an expertise in this field of art. It is a bit mathematics, and a bit law. But definitely not a forensic science which they label. Are they gradute of some forensic science laboratory? Forensic my foot! Too many of them are fraudster and former loan officers, blackjack dealers etc., who spread this mess in the first place. Some of them should have been behind bars. Check their resume, they are loan officers, valet parking lot attendants, and managers of loan companies, who were actually wolves, and now working in sheep’s clothing. No disrespect meant to these respectable professions but that experience is not material here.

Fortunately, we do not vouch for any speciality in this game, unlike lots of others despite having a strong background in loans, mortgages, real estate and other allied fields. Most of them have actually no expertise in it. Truthfully, even if they find anything, any sort of violations of any of the predatory lendign laws, what exactly they can do? They are not licensed to litigate or practice law. They still have to find an attorney willing and knowledgeable in this filed which again is very complex, to litigate and eventually win. Your loan audit, or so called forensic auditor cannot do that. He would charge a hefty sum of $900 or more and give you a computerized printout which may be more than half wrong, and half just assumptions which can be wrong or not.

In order to properly evaluate a claim for mortgage litigation, it will become necessary to do audit you closing documents for violations of state and federal lending laws. We can audit your loan documents well before suit is file to give us the best chance at settlement prior to going to court. We can ask your lender to simply change the terms of your loans based on these violations, and they would listen because it is backed up with the forece of an attorney. When attorney talks, everyone listen–because they mean business, and of course litigations which is very expensive for all the parties. Many lenders will agree to make changes to your loan.

What documents do you need?

In most cases you can get all of the information you need from the following five or six loan documents:

Truth in Lending Disclosure Statement

–(3-Day) Notice of Right to Cancel
–HUD-1 (or HUD-1A) Settlement Statement
–Mortgage and Note (with any riders or attachments)
–Uniform Residential Loan Application
–HOEPA (or “Section 32″) Notice (if lender treated loan as a HOEPA loan)

What we look for?

Violations of the following federal and state laws may entitle the borrower to a reduction in the amount they owe on a refinance or home equity loan.
–Truth in Lending Act (TILA):
–Does the TILA Disclosure Statement clearly and conspicuously display each of the following?
–Annual Percentage Rate (APR)
–Finance Charge
–Amount Financed
–Total of Payments
–Payment Schedule
–APR
–Total of Payments
–Are the disclosures accurate given an independent analysis of the charges?
–Amount Financed (i.e., do we think the lender left out something)
–Did the borrower receive a proper (3-Day)Notice of Right to Cancel?
–Does this loan qualify for Home Ownership and Equity Protection Act protection?
–Real Estate Settlement Procedures Act (RESPA):
–Yield-spread premium (YSP) paid to broker (listed on HUD-1)
–Separate broker fee listed
Is three times the YSP enough to offset the amount the borrower was in default when sued?
–Equal Credit Opportunity Act (ECOA):
–Loan application sets forth requested terms (interest rate, loan amount, fixed-rate)
–No written counter-offer (within 30 days) to terms requested
–Loan includes terms worse than those requested in loan application