| Predatory mortgage lending describes any lending | | | | Truth-in-Lending statements, Good Faith Estimates, or |
| practice that takes advantage of the homeowner. | | | | HUD Settlement Statements as required by law.o Ask |
| These practices can cause you to overpay for | | | | you to refinance the mortgage at regular intervals as a |
| finance charges or even result in losing your home. | | | | condition of loan approval.o Tries to get you to borrow |
| Here are tips to help you avoid predatory mortgage | | | | more than the amount needed to refinance or |
| lenders. | | | | purchase your home.o Fails to disclose all closing costs |
| Predatory mortgage lenders use loopholes in the law | | | | or requires a balloon payment as part of the contract. |
| to profit by taking advantage. If your mortgage lender | | | | Unethical mortgage brokers require payment for finding |
| or broker exhibits any of the following behaviors you | | | | the mortgage or referring business as a condition of |
| should seek your mortgage elsewhere. | | | | working with you; while this is not illegal you should not |
| Avoid Mortgage Lenders and Brokers That:o Ask you | | | | do business with individuals engaging in this practice. |
| to falsify information on your application.o Ask you to | | | | You can learn more about avoiding predatory |
| leave documents unsigned or ask for your signature | | | | mortgage lenders and common mortgage mistakes by |
| on incomplete or blank documents.o Fail to provide | | | | registering for a free mortgage guidebook. |