Milwaukee, WI Predatory Lending Attorneys
Fighting Against Predatory Lending on Home Loans in Wisconsin
Federal laws such as the Truth in Lending Act (TILA) and the Real Estate Settlement Procedures Act (RESPA) have been in place for years to regulate the mortgage lenders and protect consumers. TILA and RESPA both require lenders to disclose important information including finance charges and written information about adjustable rate loans when you are considering and getting to close on a loan.
In addition, RESPA requires the lender or servicer on a loan to maintain proper procedures to maintain escrow accounts they require an escrow for Real Estate taxes or hazard insurance at any time during the life of the loan. The Servicer must also provide written answers if the homeowner has concerns with how their payments are being applied or other servicing issues. The borrower has the right to send the servicer of the loan a Qualified Written Request under RESPA rules and the servicer must provide a written response to any questions or concerns within twenty days.
In the aftermath of the massive bank failures and the government bailout for major banks in the United States, Congress passed the Frank Dodd Act and created the Consumer Financial Protection Bureau (CFPB). The CFPB is now in the process of creating additional regulations for High Cost Loans and other protection protective rules for borrowers.
If your lender has misrepresented or changed loan terms, charged you inappropriate fees, or used questionable tactics in your effort to secure a home loan, you may need legal representation. The experienced Milwaukee, WI predatory lending lawyers at the Law Offices of Rollie R. Hanson, S.C. understand the issues that can come up in the purchase of a home and how critical it can be to have a legal counsel review your loan documents.
We have defended many clients against predatory home lending practices for more than 25 years, especially in the last 10 years. We keep abreast of new developments in the law to adequately protect our clients’ rights. We serve clients from our West Allis office, throughout the communities in and around Milwaukee, Ozaukee, and Waukesha Counties.
Wisconsin Predatory Lending Practices
Predatory lending practices advantages the lender and disadvantages the borrower in a home loan. The practices that lenders employ to tie borrowers into higher rates and impede progress in paying off the loan are often disguised in lengthy documents and nebulous clauses. Unscrupulous lenders often take advantage of a borrower’s lack of knowledge about loans, financial terms, and their borrower’s rights. Predatory lending practices may involve such tactics as:
- Inordinately high interest rates;
- Hidden, high, and unusual fees;
- Confusing and deceptive terms and language in contracts;
- Unfair or unclear loan conditions and penalties;
- Unusual terms for balloon payments;
- Improper or mandatory arbitration clauses;
- Quick refinancing of loans with increased costs; and
- Targeted and different sales and marketing tactics in poor, senior, female, or ethnic groups.
Buyers have to be leery of lenders who make promises of easy applications, take liens against your home equity for debt consolidation, attempt to get quick signatures or documents without giving sufficient time to read the documents, or approve loans without appropriate documentation. When there is a glimpse of a red flag, buyers should beware. Legal advice and counsel should be a prerequisite to important home equity or other real estate loans.
Consumer Law Attorneys Protecting Your RIghts
When your rights as a consumer are violated, when you have been subjected to questionable and predatory lending practices as you seek a home loan or refinance, you can fight back. Further, you still have rights even after you have entered into the loan if it has predatory or unconscionable aspects. Our Milwaukee, WI predatory lending lawyers value your right to fair treatment by mortgage lenders and landlords in Wisconsin. If you feel your rights as a consumer have been violated, call the team that makes your case a priority.
When you call us at (414) 321-9733, you will get an attorney who will help you understand any questionable practices that have been used against you. Clients throughout southeast Wisconsin have come to rely on our firm for aggressive, compassionate, and affordable representation in a wide range of practice areas, including consumer law and bankruptcy, matters of estate planning and elder law, wills and trusts, and illegal collection practices. Let us help you fight the predatory real estate industry to ensure your fair treatment.