Homeowners who are facing Foreclosure St. Paul MN possess a few options that may allow them to avoid it. Their first option to consider is a loan modification. This option could eliminate the possibility of foreclosure altogether; however, it requires an attorney to begin the process. Browse website for more information.
Modification of your Mortgage
Attorneys which are familiar with potential predatory loan practices can protect homeowners by reviewing their mortgage documentation. These practices are revealed by an in-depth inspection of the loan terms. Under the Fair Housing Act, it is unlawful to provide a mortgage loan to a consumer who is unable to afford it based on their income-to-debt ratio. It is necessary for a lender to evaluate this ratio to establish affordability.
At any time that the lender omits this step, it is possible that they are purposely setting up the consumer for failure. It is the key element of predatory lending to ensure that enough existing loopholes within the contract which will lead to default. This allows the lender to keep all proceeds generated by the original debtor and maximize their profits through the second sale of the property.
If they do not receive the full balance of the mortgage, they can take legal action against the consumer. This is a trap in which consumers have fallen within the last decade that led to the need of further legislation to protect them from these unethical lenders. However, attorneys which practice within this field can take action to demand a modification of the loan to remedy these practices. With a loan modification, the attorney stops Foreclosure St. Paul MN.
Modification could lower the payments to make them more affordable. It could secure a better interest rate based on the consumer’s credit rating. An attorney can establish whether lower interest rates were available at the time that the loan was issued. Predatory lenders often lie to the consumer about these rates to maximize their profits and are not concerned with the best interests of the borrower. If you suspect that you are the victim of predatory lending contact the Lamey Law Firm St. Paul MN for further assistance.
