Because of the economic environment today, a beneficial Loan Modification is something that homeowners should seek and request from the lender which may require some leverage. Many loan documents may contain a variety of violations like Truth in Lending Act Violations, RESPA Violations, Fraud and Misrepresentation.
This service is very specialized and vital in identifying predatory lending. We review all loan documents and perform a thorough examination for miscalculations so the mediator can determine if the loan terms are accurate, truthful, and meet the requirements of the applicable federal statutes.
In some cases, if the homeowner is simply overcharged by only $35.00 or if the annual percentage rate (APR) is only 0.125% higher than what was originally disclosed; there may be a violation of the Truth in Lending Act. This now gives the mediator leverage when negotiating with the lender and more than enough incentive for the lender to grant a beneficial loan modification.
Obtaining a Forensic Loan Document Audit is essential to every Loan Modification, Short Sale, and Deed in Lieu proposal as the findings of an audit may notably improve an opportunity for a resolution.We provide a completed detailed audit for the following as all mortgages must comply with fair lending laws. Any error or omission on the part of a lender or their agents constitutes a violation. Our loan document audit verifies compliance with the following:
TILA
Finance Charge Amount · Annual Percentage Rate · Payment Schedule · Amount Financed
Total Payments · Amortization Schedule |
HOEPA/High Cost
Section 32 · State · County · City |
Fannie Mae Points & Fees Test
Calculate allowable Fannie Mae points and fees thresholds |
State Consumer Credit
Usury Rate Ceilings Percentage Caps · Prohibited Fees · Fee Percentage or Dollar Amount Limits
Prepayment Penalty Prohibitions and Limitations · Late Fee Dollar Amount Limits · Length of Late Fee Grace Periods · Interest Accrual Start Dates · Negative Amortization Prohibitions
Balloon Payment Prohibitions or Term Limitations · Payment and Term Limitations |
TILA-Right of Recession
Document Sign Date · Last Disclosure Date · Right of Recession Expiration Date |
Lender & Broker Licensing
Monitor licenses are active and in good standing at all times.loan |
Licensing Search
Broker and lender are licensed in a particular jurisdiction · Licenses are active and in good standing · Licenses authorize the brokering and making of the particular loan |
HUD-HOEPA
Compares the loan data to the calculated high cost thresholds |
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