LOANTECH'S LIST OF THE 20 RED FLAGS OF MORTGAGE OVERCHARGES
1. The lender has paid penalties to federal or state regulators for overcharging borrowers.
2. The original lender has been dissolved or acquired by another lender.
3. The loan was originated in the years leading up to the “financial crisis” or shortly thereafter (2006 to 2009).
4. The rate for your adjustable rate loan has increased even though interest rates in general are declining.
5. The mortgage or loan agreement is written in a very complicated or ambiguous manner.
6. There are handwritten changes or irregularities in the loan agreement.
7. Your loan was sold or transferred to another lender or servicer.
8. The mortgage note includes a rider or addendum.
9. The interest rate is determined by complicated calculations.
10. The lender’s monthly statements and payment histories are difficult to understand, complicated or confusing.
11. The lender cannot explain how the loan balance or fees were calculated.
12. The lender did not provide all the required disclosures at settlement.
13. After a loan modification, the payments and loan balance seem higher than expected.
14. Mortgage payments have been made for many years and the loan balance or loan payoff is higher than expected.
15. Additional payments to principal have been made and the loan balance is higher than expected.
16. After late or missed payments, lender fees were assessed, and the loan balance is higher than expected.
17. The escrow payment has increased even though property taxes or hazard insurance premiums have not increased.
18. There is an excess of funds or a shortage of funds in the escrow account.
19. Late or non-payment of property taxes and/or hazard insurance.
20. During a bankruptcy or default period, unexplained additional lender fees are assessed.
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