How to Spot Predatory Mortgage Lenders

We like to believe that most people are good-hearted and ethical when conducting business, but there are still unethical business practices that exist who don’t have your best interests in mind. In 2007 we went through a financial crisis caused by the greed in the mortgage industry from bankers, mortgage brokers, and others who were responsible for the mortgage backed securities that led to the system almost collapsing.

Hopefully, you never experience dealing with someone who is taking advantage of you but here is an article today full of tips to prepare you for just in case.

Below is a list of ways to spot and avoid predatory mortgage lenders who may be trying to take advantage of you. They often prey on people who are inexperienced and don’t know an honest lender from a predator.

If you come across a predatory mortgage lender, please report them to the Federal Trade Commission and/or the state attorney general. You can help put them out of business and save others from being misled into a bad mortgage loan that could hurt their financial future.

It’s important to talk to several lenders to gain experience and get a feel for the lending process. Ask different lenders about the offers being proposed by another lender if you are unsure whether or not you are being ripped off and taken advantage of.

If you’re working with a real estate agent, you can ask them questions as they likely have experience dealing with mortgage lenders and will be able to recommend ethical mortgage brokers and lenders they’ve had clients do business with in the past. Thanks for reading!

Contact Kevin Foy, RE/MAX Oak Crest Realty in Elkhart

kevin foy real estate agent elkhart

Kevin is a real estate broker-associate with RE/MAX Oak Crest Realty in Elkhart, Indiana and has served real estate clients for over 35+ years in Northern Indiana and Southern Michigan.

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