Avoiding Mortgage Scams
When you need to borrow money, there are a few reputable avenues to consider. You can talk with family or friends, or use the services of a bank. In an emergency, a lending company can be a valuable resource. There are some companies that will charge a very high interest rate and stick you with hidden fees though; it is important not to sign up for these kinds of loan programs. Alternative lending is when an individual would not receive from a standard lending source such as a bank. These types of loans are used by those who need money for expenses that wouldn’t be eligible for most standard loans, such as bills to pay for medical treatment.
Fraud in its simplest form is deliberate misrepresentation and deception: One party deceives another by misrepresenting information, facts, and figures. So, mortgage fraud is not just predatory lending practices that target certain borrowers. It also includes individuals who purposefully lie about their income on an application for a loan or those who offer false information about the property being purchased.