How to find MORTGAGE and LOAN Fraud

Please retweet this blogpost if you find it helpful in learning about government mortgage homeownership and bank loan modifications

Do you wonder if you have loan fraud?

Get out those closing documents!

1) Loan Rescission Notice - Many loans in 2006 did not receive copies of this important notice. If there is more than one person on the loan, each party is to have received a copy.

2) TILA law violations - TILA is the Truth In Lending Act check the link for laws and compare to your documents. You may want to pay for a forensic audit. If you need an audit email me alrady40@yahoo.com and I can refer you to reliable auditor. Did you know that if your loan closed less than 3 years ago you can rescind your loan fairly easily?????? A sister law to this is FDCA, Fair Debt Collections Act.

3) Amounts owing are in error or do not add up. A difference of just 65 bucks makes a HUGE difference and is a red flag to challenge the loan.

4) HOEPA I just recently learned about is that loans under 150,000 or interest rates of 8% or more, or points and fees in excess of $583 are red flags. This can be in violation of HOEPA,Home Ownership and Equity Protection Act. Many self employed people were given higher interest rates. We had a high rate but it did not qualify. FTC-HELP (1-877-382-4357); TTY: 1-866-653-4261.

DO You Need Help Reading Your Documents?

If you want a forensic audit you can have one done free through NACA.com. I have not used them and cannot vouch for how well they perform. I do have a forensic auditor I recommend to those that email me. The cost is reasonable and probably less than you pay for one months mortgage.

Finding fraud can help to fight foreclosure, save your home and give you the ammunition to modify that loan to benefit you and not the bank.

COMMENTS/Questions

Updates on foreclosures and eviction process

Please retweet this blogpost if you find it helpful in learning about government mortgage homeownership and bank loan modifications

Update May 15, 2010 - As time draws near to make sure that we are NOT evicted, legal considerings accelerate. Everyday we learn more. Facing this on more than one property is intimidating but not impossible. With the bank essentially killing our sale at full price we have grounds to have foreclosure totally suspended. Learning how debt collectors ignore TILA laws, lie and intimidate renters is a whole new universe for trusting souls.

Meanwhile we continue packing and sorting just in case we are forced out of the home. We are fortunate we have two or three alternatives, many have NO alternatives and end up living out of their cars or dividing the family among extended relatives and friends until they locate to better situation. Some live in garages or camp out in parks.

Friends, one year ago, I had no idea, banks sell the loan to themselves - often without proper notification). In Arizona this is not a JUDICIAL procedure it is done by trustee sale. This alleged sale, which I personally think of as a sign over, often results in a summons to eviction trial (forcible detainer) with a 3 day notice to appear. After that there is 5 days until trial or until writ to the sheriff is written, depending on how you plead. Certainly if I had known the future, I would have simply sold the house when it had equity and would never have listened to the bank reps telling me that to lower payments I had to go late by a few months.

If you are a renter or owner facing possible eviction, foreclosure (or are in foreclosure currently) learn the laws... go to your state laws and learn what is legal and what is not.

If you are concerned about fraud then check out this article.

3 things to do when talking to Mortgage Holder or BANK

1) DO NOT go delinquent in order to try for modification. Get a forensic audit and negotiate with the bank BEFORE going late. THIS IS IMPORTANT the bank will tell you that you cannot modify because you are not deliquent. Once deliquent they will start modification process. PAY THE FULL amount paid previously, even if offered lower payments. Just trust me on that one.

2) Do not believe them when they say they will call back or fax you. Call them weekly.

3) Start a file with all details of conversations and all contact numbers. Keep computer copy and paper copy

The thing is home modification offers are temporary and take time. The temporary trial modification lasts six months. You should not hire a modification company, spending thousands as there are many scams out there. Instead try to find good advice, perhaps consulting with a couple of different attournies. Bankruptcy if you are too far down the road in payments can be useful solution that a SKILLED lawyer can help negotiate saving your home for you.

Check out websites about home mortgage fraud and the laws of TILA and RESPA.