Forensic Loan Audits

The #1 goal of the mortgage audit is to determine whether there were violations of federal law, finding these violations will empower Americas Loss Mitigation Solutions Corp with Leverage in requesting a loan modification on your behalf.

The Forensic Loan Doc Audit is a significant part of a loan modification request submitted on behalf of a homeowner. 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 homeowner is simply overcharged by only $35.00 on the final HUD-1, or if the annual percentage rate(APR) is only .125% higher than what was originally disclosed; there may be a violation of the Truth in Lending Act. This creates leverage when negotiating with the lender and more than enough incentive for the lenders to grant a beneficial loan modification.

This service is a very specialized and imperative in identifying if a borrower is a victim of predatory lending. Our team of specially trained experts review all loan documents and perform a thorough investigation for miscalculations and to determine if the loan terms are accurate, truthful, and met the requirements of the applicable federal statutes.

If these violations are found, then the borrower may be eligible for complete relief of the predatory loan or a very favorable loan modification. Complete relief of the predatory mortgage is called 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.

However, in most cases the borrower may be ineligible to rescind their loan because they are just too far underwater to obtain a mortgage and their credit rating may have been adversely affected by the loan that has cause them pain and suffering.

The most common option is just to mediate the loan with your lender and fight for an affordable loan modification based on the legal violations on the loan. Everyone wins here. The homeowner has their loan fixed and sometimes may have their principle balance may be reduced also. The lender does not lose their shirt because they have mediated the matter without employing their full legal staff on the file and wasting operating expenses. What do we do on a forensic loan document review for attorneys or borrowers?

• We review your loan documents (the papers you signed when you applied for the loan and the papers you signed when you closed the loan).

 

• We investigate whether the information and calculations provided in those documents was accurate, truthful, and met the requirements of the applicable federal and state statutes.

 

• We look to what the lender, broker, and agent told you about the loan. We focus on whether the loan you were told you were getting was actually the loan you received.

As experienced mortgage auditors we can uncover Fraud, Miscalculations, and Violations etc. quickly. Other violations are harder to find and require in depth examination of the loan documents. After determining if your loan documents indicate whether there is a case worth pursuing we can inform you what course of action to take.

FORENSIC LOAN DOCUMENT AUDIT

- Some of the Things We Review and Document:
• The Loan Application
• The Loan Terms
• Fraud and Violations in your Good Faith Estimate and Settlement Statement
•Complete client interview and all applicable parties
•Complete loan document and disclosure audit by our underwriting and fraud and compliance mortgage professionals
•Truth in Lending Act (TILA) and Real Estate Settlement & Procedures Act (RESPA)
•Reverse engineering of your loan terms and Annual Percentage Rate (APR) for possible TILA violations
•Complete report with all violations and findings

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 who 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?

WHAT IS THE COST OF A FORENSIC LOAN?

The total cost is a onetime fee of $695.00. for the 1st mortgage. This is a savings of as much as $3,000.00 over our competitors. Note this fee is Just for the Forensic Audit. All consultations are FREE.

*Disclaimer: Americas Loss Mitigation Solutions Corp is not a law firm and its representatives are not attorneys. Legal information is not the same as legal advice.