Can Loan Modification Stop Foreclosure?

Yes! The audit can be used to prevent ALL collection activities, including foreclosure.

Should I often be late on installment payments? Not!

So how is an audit different from a loan modification?

A loan modification is when you ask the lender to change all the terms of your mortgage so that your monthly payments are affordable. For example, they can lower your rate to 3%, lower your payments and perhaps the entire balance on your mortgage.

An audit doesn’t get new loan provisions, but it will help make them much better to modify. As soon as you qualify for a loan modification, a loan audit can also become a negotiating tool to help you get the lowest possible fee and payment.

Why should someone do an audit to lower their pay?

Audits can be used to allow for reduced monthly payments primarily because it empowers the owner. The lender will now be much more content to make a deal with them on better terms now that they have filed these types of violations. Many times an audit can force negotiations to modify the conditions of the loan, if not, the lending company runs the risk of being sued.

Should this affect my credit?

Depending on your situation, it may help your credit because the lender must stop reporting to the credit bureaus as soon as they become aware of your misdeeds.

Suppose I am in foreclosure and want to sell my house?

A successful audit can buy you the time you’ll need to stay in your home for a longer period of time to find a potential buyer or negotiate the terms of your home loan modification.

Can the audit help if I have a purchase date?

Yes. On the other hand, you may need an automatic stay filed if it is less than thirty days from the date.

Can this mortgage audit help me if my property has been sold?

Yes, as long as you reside in a state that allows a redemption period, you can still challenge your lender and prevent any transaction from completing!

NOTE: You can also use the results of a forensic loan audit to sue the loan company for damages and remove any type of negative report from your credit report regardless of your state’s laws. In some cases, your home may be awarded “free and clean.”

Below are the most frequent types of violations that loan officers and lenders are typically found guilty of every day.

CONSTRUCTIVE FRAUD

Material facts related to the loan, including the terms of the loan. Prepayment penalty or any information a borrower needs to know before the loan is accepted. Was this information not properly disclosed to the borrower? Were they mentioned at all?

FRAUD AND NEGLIGENT MISREPRESENTATION

Basically these are written or oral statements, comments and representations by the broker, loan officer, notary that in any way contradicted the particular provisions of the loan records.

NEGLIGENT MISREPRESENTATION

If a broker/loan officer who handled the loan makes mistakes that resulted in a misrepresentation, this may be considered a negligent misrepresentation.

BREACH OF CONTRACT

Any terms in the contract with the note that the lender breached?

Learn how a Forensic Loan Audit can help you?

The #1 goal of the forensic mortgage audit is to see if there have been violations of federal law. If these violations are discovered, then the borrower may be eligible for full predatory loan relief or a highly favorable loan adjustment. Complete relief from a predatory mortgage is known as loan termination. Meaning that the lender repossesses the “predatory loan” and awards or credits the borrower all interest made on payments thus far, loan origination fees, all applicable lender fees, penalties, and attorneys’ fees.

The Forensic Audit of Loan Documents is an important element of a homeowner’s loan modification application. The audit reveals TILA (Truth in Lending Act), RESPA (Real Estate Settlement Procedures Act), Predatory Lending, and Real Estate/Mortgage Fraud violations. In some cases, if the owner is simply overcharged by $35.00 for the final HUD-1, or perhaps the APR is only .125% more than previously reported; there may be a violation of the Truth in Lending Act. This results in leverage when negotiating with the lender and more than enough bonus to the lenders to allow for a very advantageous loan modification.

That loan modification is very specific and imperative in determining if the borrower is a victim of predatory lending. Our team of specifically trained experts will review all loan documents and perform a thorough investigation for miscalculations as well as to determine if the loan terms are appropriate, truthful, and meet the specifications of applicable federal laws.