2. The Fair Housing Act requires lenders to display what in all branch offices? 3. Which is LEAST LIKLEY to be an indicator of predatory lending?

Save this PDF as:
 WORD  PNG  TXT  JPG

Size: px
Start display at page:

Download "2. The Fair Housing Act requires lenders to display what in all branch offices? 3. Which is LEAST LIKLEY to be an indicator of predatory lending?"

Transcription

1 Course: Lesson: National Mortgage Loan Originator Review Crammer (ml) Ethics 1. At closing, buyer Steve sees that the lender changed the terms of the loan that they had agreed to, but he felt he had no choice but to go ahead with the loan or lose the chance to buy the house. This could be an example of A. affinity marketing. B. loan flipping. C. negative amortization. D. predatory lending. 2. The Fair Housing Act requires lenders to display what in all branch offices? A. a business brochure B. the Equal Housing Lender Poster C. a list of rights under the Fair Housing Act D. a summary of the Fair Housing Act 3. Which is LEAST LIKLEY to be an indicator of predatory lending? A. charging excessive prepayment penalties B. falsifying loan documents C. increasing interest charges on late loan payments D. requiring mortgage insurance 4. Which is an example of steering? A. Agent Tom tells homeowners that their property values will drop when a Puerto Rican family moves in. B. Mortgage banker Brad refuses to make loans for a particular inner city neighborhood. C. Property manager Amy suggests Jake would be happier in a more diverse building. D. Seller Oscar tells his listing agent to find only Caucasian buyer prospects. 5. The Privacy Rule requires that financial institutions provide the consumer with a Consumer Privacy Policy disclosure

2 A. annually as long as the relationship continues. B. at closing only. C. each time the policy is revised. Course: Lesson: D. each time the servicing is transferred. National Mortgage Loan Originator Review Crammer (ml) Ethics 6. A consumer calls to ask about a loan product. How does TILA require you to quote an interest rate to him? A. the annual percentage rate only B. the APR as well as the interest rate C. the interest rate only D. TILA does not address the quoting of interest rates. 7. Mortgage broker Dave knew that his customer worked at a factory that was two weeks away from closing, but in his eagerness to close the deal, he decided to ignore that fact. This might be considered an example of A. actual fraud. B. constructive fraud. C. good business. D. negligent misrepresentation. 8. What word best describes a group of participants working together to commit single acts of mortgage fraud? A. collusion B. discernment C. omission D. representation 9. In a fraud for property scheme, it is likely that A. the borrower doesn t intend to repay the loan. B. the borrower seeks ownership.

3 C. a group of individuals is colluding to gain from the scheme. D. illegal property flipping occurs. 10. Mortgage broker Dave works with his appraiser friend to get an inflated value on a house. He then recruits his cousin Bob, who has great credit, to apply for a mortgage on the property, even though Bob is moving to Belize and has no intention of paying off the loan. In this case, Bob could be considered a buyer. A. colluded B. forged C. mock Course: Lesson: D. straw National Mortgage Loan Originator Review Crammer (ml) Ethics 11. Loan officer Sarah knows that the customer sitting across from her will not qualify for a loan, so she tells him to not waste his time applying. Sarah has violated what law? A. CRA B. ECOA C. HMDA D. TILA 12. Which type of loan was most likely to be part of a mortgage fraud scheme? A. adjustable rate mortgage B. budget mortgage C. FHA loan D. no-doc 13. What type of scam entails homeowners who are encouraged to refinance their property over and over until little or no equity remains? A. extreme lending B. loan flipping C. property skimming D. reverse equity

4 14. What is NOT protected by the Fair Housing Act? A. disability B. familial status C. national origin D. receipt of income from a public source 15. When an appraiser gives a loan officer what s needed on the appraisal report, the consumer usually ends up A. borrowing too much on the property. B. not being able to sell the property. C. paying more discount points at closing. D. refinancing the property. Course: National Mortgage Loan Originator Review Crammer (ml) Lesson: Ethics

5 You have not successfully completed the exam Score Required: 75 Exam Score: 27 Attempt: 36 of Unlimited X 1. At closing, buyer Steve sees that the lender changed the terms of the loan that they had agreed to, but he felt he had no choice but to go ahead with the loan or lose the chance to buy the house. This could be an example of A. affinity marketing. D. predatory lending. This could be an example of predatory lending. [R433] X 2. The Fair Housing Act requires lenders to display what in all branch offices? A. a business brochure B. the Equal Housing Lender Poster The Equal Housing Opportunity Act requires only the displaying of the Equal Housing Lender Poster, which indicates to the public that the lender is governed by the Fair Housing Act. There is no requirement that the advertising for that lender be displayed in the branch office. [R460] X 3. Which is LEAST LIKLEY to be an indicator of predatory lending? X 4. Which is an example of steering? A. charging excessive prepayment penalties D. requiring mortgage insurance Requiring mortgage insurance does not indicate predatory lending. [R488] A. Agent Tom tells homeowners that their property values will drop when a Puerto Rican family moves in. C. Property manager Amy suggests Jake would be happier in a more diverse building. Steering relates to buyers or renters and is defined as channeling prospective buyers or renters to or away from specific neighborhoods. [R486] 5. The Privacy Rule requires that financial institutions provide the consumer with a Consumer Privacy Policy disclosure A. annually as long as the relationship continues. A. annually as long as the relationship continues. According to the Gramm-Leach-Bliley Act, this disclosure is required to be provided annually as long as the relationship continues. [R466]

6 X 6. A consumer calls to ask about a loan product. How does TILA require you to quote an interest rate to him? A. the annual percentage rate only B. the APR as well as the interest rate TILA law requires that the APR be quoted along with the interest rate. [R427] 7. Mortgage broker Dave knew that his customer worked at a factory that was two weeks away from closing, but in his eagerness to close the deal, he decided to ignore that fact. This might be considered an example of A. actual fraud. A. actual fraud. If Dave made the decision to ignore a critical fact, he could be accused of actual fraud. [R452] 8. What word best describes a group of participants working together to commit single acts of mortgage fraud? A. collusion A. collusion X 9. In a fraud for property scheme, it is likely that Collusion is when a group of participants for example, appraisers, title companies, real estate agents, mortgage brokers or lenders, or even lawyers all work together to commit single acts of fraud. [R481] A. the borrower doesn t intend to repay the loan. B. the borrower seeks ownership. In fraud for property, it is likely that the only perpetrator is the borrower who seeks housing and/or cash from the loan. In addition, this fraud involves a single loan in which the borrower intends to repay. [R444] X 10. Mortgage broker Dave works with his appraiser friend to get an inflated value on a house. He then recruits his cousin Bob, who has great credit, to apply for a mortgage on the property, even though Bob is moving to Belize and has no intention of paying off the loan. In this case, Bob could be considered a buyer. A. colluded D. straw Mortgage insiders commit mortgage fraud when they knowingly make loans to unqualified buyers, or straw buyers, who will never make a payment on the loan. [R453] X 11. Loan officer Sarah knows that the customer sitting across from her will not qualify for a loan, so she tells him to not waste his time applying. Sarah has violated what law?

7 A. CRA B. ECOA Under the Equal Credit Opportunity Act, no borrower may be discouraged from making a formal loan application. The borrower is entitled to the same process as one with high income and credit scores. [R449] X 12. Which type of loan was most likely to be part of a mortgage fraud scheme? A. adjustable rate mortgage D. no-doc A no-doc loan allowed the borrower to simply indicate their income, assets, and debt without documentation or verification. This practice led to many instances of mortgage fraud. [R499] X 13. What type of scam entails homeowners who are encouraged to refinance their property over and over until little or no equity remains? A. extreme lending B. loan flipping X 14. What is NOT protected by the Fair Housing Act? In a loan flipping scam a type of equity skimming homeowners are encouraged to keep refinancing their property. Each time they refinance, they are charged points and closing costs, along with other fees. And each time, the equity gets smaller. [R480] A. disability D. receipt of income from a public source Receipt of income from a public source is covered by ECOA, but is not mentioned in the Fair Housing Act. [R478] 15. When an appraiser gives a loan officer what s needed on the appraisal report, the consumer usually ends up A. borrowing too much on the property. A. borrowing too much on the property. The cooperation between the appraiser and the loan officer in giving what s needed on the appraisal report leads to the consumer borrowing too much, resulting in an upside-down loan. [R482] Back

Mortgage Lending P&P 100-Question Final Exam Answer Key

Mortgage Lending P&P 100-Question Final Exam Answer Key Mortgage Lending P&P 100-Question Final Exam Answer Key 1. C 2. B 3. A 4. B 5. A 6. C 7. C 8. C 9. D 10. C 11. D 12. B 13. D 14. A 15. D 16. D 17. B 18. D 19. A 20. C 21. D 22. D 23. B 24. D 25. A 26.

More information

Before you agree to buy a house, make sure

Before you agree to buy a house, make sure SPECIAL ALERT Office of the Attorney General, Consumer Protection Division Home Buyers: Beware of Flipping Scams Bought by "flipper" $24,000 February Before you agree to buy a house, make sure you re not

More information

Guide to Fair Mortgage Lending and Home Preservation

Guide to Fair Mortgage Lending and Home Preservation Guide to Fair Mortgage Lending and Home Preservation Fair Housing Legal Support Center & Clinic Guide to Fair Mortgage Lending and Home Preservation What does this guide cover? What is Fair Lending? What

More information

Loan Estimate. Loan Terms. Projected Payments. Costs at Closing. Save this Loan Estimate to compare with your Closing Disclosure.

Loan Estimate. Loan Terms. Projected Payments. Costs at Closing. Save this Loan Estimate to compare with your Closing Disclosure. Loan Estimate DATE ISSUED APPLICANTS PROPERTY SALE PRICE Loan Terms Save this Loan Estimate to compare with your Closing Disclosure. LOAN TERM 30 years PURPOSE Purchase PRODUCT 5 Year Interest Only, 5/3

More information

ElderCare FINANCIAL AWARENESS YOUR HOME AND ESTATE. ElderCare YOUR HOME AND ESTATE 1

ElderCare FINANCIAL AWARENESS YOUR HOME AND ESTATE. ElderCare YOUR HOME AND ESTATE 1 ElderCare FINANCIAL AWARENESS YOUR HOME AND ESTATE ElderCare YOUR HOME AND ESTATE 1 TABLE OF CONTENTS Introduction....Page 3 Your Home... Page 4 Foreclosure Rescue Scams Reverse Mortgages Predatory Mortgage

More information

NORTH AMERICAN TITLE COMPANY Like Clockwork. www.nat.com/cfpb

NORTH AMERICAN TITLE COMPANY Like Clockwork. www.nat.com/cfpb NORTH AMERICAN TITLE COMPANY Like Clockwork www.nat.com/cfpb UNDERSTANDING THE NEW LOAN ESTIMATE AND CLOSING DISCLOSURE FORMS American Title, we want to make sure all of our customers have the information

More information

Mortgage Lending Education

Mortgage Lending Education Mortgage Lending Education Over the last several years, the mortgage industry has been besieged with new lending rules and requirements. With the dramatic upsurge in regulations, mitigating mortgage lending

More information

First Time Home Buyer Glossary

First Time Home Buyer Glossary First Time Home Buyer Glossary For first time home buyers, knowing and understanding the following terms are very important when purchasing your first home. By understanding these terms, you will make

More information

Real Estate Principles Chapter 12 Quiz

Real Estate Principles Chapter 12 Quiz Real Estate Principles Chapter 12 Quiz 1. A prudent lender who is deciding whether or not to make a real estate loan to a prospective borrower will ensure that: A. the market value of the property is greater

More information

Helping Elderly Homeowners Victimized by Predatory Mortgage Loans

Helping Elderly Homeowners Victimized by Predatory Mortgage Loans Helping Elderly Homeowners Victimized by Predatory Mortgage Loans Equity-rich, cash poor elderly homeowners are an attractive target for unscrupulous mortgage lenders. Many elderly homeowners are on fixed

More information

Don t Borrow Trouble! Mortgages, Home Equity Loans and Refinancing

Don t Borrow Trouble! Mortgages, Home Equity Loans and Refinancing Don t Borrow Trouble! Mortgages, Home Equity Loans and Refinancing Find more easy-to-read legal information at www.ptla.org Five Basic Tips Are you looking for a home equity loan? Or are you trying to

More information

Lesson 13: Applying for a Mortgage Loan

Lesson 13: Applying for a Mortgage Loan 1 Real Estate Principles of Georgia Lesson 13: Applying for a Mortgage Loan 2 Choosing a Lender Types of lenders Types of lenders include: savings and loans commercial banks savings banks credit unions

More information

CRMS Exam Study Guide

CRMS Exam Study Guide CRMS Exam Study Guide The following five sections of this study guide provide questions similar to the ones you will encounter in the CRMS exam. The number of questions appearing below is proportional

More information

Ch. 46 PROPER CONDUCT OF LENDING 10 46.1 CHAPTER 46. PROPER CONDUCT OF LENDING AND BROKERING IN THE MORTGAGE LOAN BUSINESS

Ch. 46 PROPER CONDUCT OF LENDING 10 46.1 CHAPTER 46. PROPER CONDUCT OF LENDING AND BROKERING IN THE MORTGAGE LOAN BUSINESS Ch. 46 PROPER CONDUCT OF LENDING 10 46.1 CHAPTER 46. PROPER CONDUCT OF LENDING AND BROKERING IN THE MORTGAGE LOAN BUSINESS Sec. 46.1. Definitions. 46.2. Proper conduct of lending and brokering in the mortgage

More information

Key Points: Conventional Loans:

Key Points: Conventional Loans: Key Points: Conventional Loans: Less regulation and more discretion than government loans. Can be cheaper than FHA and VA because FHA requires 2 mortgage insurances and VA requires VA funding fee. Sometimes

More information

Mortgage Fraud. Table of Contents. Home Equity Scams Choosing a Loan Home Equity Dos Home Equity Don ts

Mortgage Fraud. Table of Contents. Home Equity Scams Choosing a Loan Home Equity Dos Home Equity Don ts Mortgage Fraud Table of Contents Home Equity Scams Choosing a Loan Home Equity Dos Home Equity Don ts Reverse Mortgages Home Loan Law HOEPA Prevents For more information on Mortgage Fraud visit: You could

More information

CONSUMER. Helping Elderly Homeowners Victimized by Predatory Mortgage Loans

CONSUMER. Helping Elderly Homeowners Victimized by Predatory Mortgage Loans CONSUMER Information for Advocates Representing Older Adults National Consumer Law Center Helping Elderly Homeowners Victimized by Predatory Mortgage Loans Equity-rich, cash poor, elderly homeowners are

More information

Transaction Information. Michael Jones and Mary Stone 123 Anywhere Street. Anytown, ST 12345. Steve Cole and Amy Doe 321 Somewhere Drive

Transaction Information. Michael Jones and Mary Stone 123 Anywhere Street. Anytown, ST 12345. Steve Cole and Amy Doe 321 Somewhere Drive Closing Disclosure This form is a statement of final loan terms and closing costs. Compare this document with your Loan Estimate. Closing Information Date Issued 4//20 Closing Date 4//20 Disbursement Date

More information

Your rights as a borrower

Your rights as a borrower Your rights as a borrower A guide from the Better Business Bureau Protecting your home and the American dream What you need to know about predatory lending Commercials and door-to-door representatives

More information

MORTGAGE TERMS. Assignment of Mortgage A document used to transfer ownership of a mortgage from one party to another.

MORTGAGE TERMS. Assignment of Mortgage A document used to transfer ownership of a mortgage from one party to another. MORTGAGE TERMS Acceleration Clause This is a clause used in a mortgage that can be enforced to make the entire amount of the loan and any interest due immediately. This is usually stipulated if you default

More information

Financing Residential Real Estate

Financing Residential Real Estate Financing Residential Real Estate Chapter 1: Finance and Investment Borrowing Money to Buy a Home Investments and Returns Types of Investments Ownership Investments Debt Investments Securities Investment

More information

Settlement. Coming to Grips With. Coming to Grips With Settlement. What to Know Before Your Closing. The Event. What Is Closing?

Settlement. Coming to Grips With. Coming to Grips With Settlement. What to Know Before Your Closing. The Event. What Is Closing? Coming to Grips With Settlement Coming to Grips With Settlement What to Know Before Your Closing The closing, also known as the settlement, is the last step in getting your mortgage and actually becoming

More information

Lender Company Name 2.3 Street Address, City, State, ZIP 23.2.1 Save this Loan Estimate to compare with your Closing Disclosure. Loan Estimate 0.1 DATE ISSUED 1.1 APPLICANTS 2.1 123 Anywhere Street Anytown,

More information

NATIONAL INTERACTIVE STUDY GROUP UNIT 8 QUESTIONS

NATIONAL INTERACTIVE STUDY GROUP UNIT 8 QUESTIONS NATIONAL INTERACTIVE STUDY GROUP UNIT 8 QUESTIONS National Interactive Study Group 2 SESSION 8 JOHN MATHIS Notes for Tonight 1. To MUTE your phone line use *6 2. To UNMUTE your phone line use #6 3. Chat

More information

TILA RESPA Integrated Disclosure

TILA RESPA Integrated Disclosure FEBRUARY 7, 2014 TILA RESPA Integrated Disclosure H-25(E) Mortgage Loan Transaction Closing Disclosure Refinance Transaction Sample This is a sample of a completed Closing Disclosure for the refinance

More information

8 Hour SAFE Comprehensive Compliance in Action Continuing Education Course Syllabus

8 Hour SAFE Comprehensive Compliance in Action Continuing Education Course Syllabus Course Description and Purpose Course Provider 8 Hour SAFE Comprehensive Compliance in Action Continuing Education Course Syllabus This course satisfies the annual continuing education requirements for

More information

Important Information Regarding TILA-RESPA Integrated Disclosure (TRID) Rule

Important Information Regarding TILA-RESPA Integrated Disclosure (TRID) Rule Important Information Regarding TILA-RESPA Integrated Disclosure (TRID) Rule Notice to students: If your course contains information on the Truth in Lending Act (TILA) and the Real Estate Settlement Procedure

More information

1. Only 20 days to file answer or other responsive pleading to summons and complaint in foreclosure action.

1. Only 20 days to file answer or other responsive pleading to summons and complaint in foreclosure action. PREDATORY MORTGAGE LENDING FORECLOSURE DEFENSE Attorney Catherine M. Doyle Legal Aid Society of Milwaukee 521 N. 8 th Street Milwaukee, WI 53233 (414) 727-5331 cdoyle@lasmilwaukee.com I. MORTGAGE FORECLOSURE

More information

20 Hour Mortgage Loan Originator SAFE Comprehensive Course Number: 1013 Provider ID: 1400024

20 Hour Mortgage Loan Originator SAFE Comprehensive Course Number: 1013 Provider ID: 1400024 20 Hour Mortgage Loan Originator SAFE Comprehensive Course Number: 1013 Provider ID: 1400024 Day 1 Agenda (1.0 hour) Session 1 - Part I: (1.0 hour) Session 1 - Part II: (1.5 hours) Session 2: Mortgage

More information

Closing Disclosure. Loan Terms. Projected Payments. Costs at Closing

Closing Disclosure. Loan Terms. Projected Payments. Costs at Closing Closing Disclosure This form is a statement of final loan terms and closing costs. Compare this document with your Loan Estimate. Closing Information Date Issued Closing Date Disbursement Date Settlement

More information

BE YOUR OWN BEST ADVOCATE: MORTGAGE FRAUD PREVENTION

BE YOUR OWN BEST ADVOCATE: MORTGAGE FRAUD PREVENTION BE YOUR OWN BEST ADVOCATE: MORTGAGE FRAUD PREVENTION Mortgage fraud is a concern for consumers, financial institutions, and law enforcement. e personal and financial loss experienced by consumers who fall

More information

Mortgage Fraud Home Equity Scams Choosing a Loan

Mortgage Fraud Home Equity Scams Choosing a Loan Mortgage Fraud You could lose your home and your money if you borrow from unscrupulous lenders who offer you a high-cost loan based on the equity you have in your home. Certain lenders target homeowners

More information

Mortgage Loans. Understand the Terms of Your Loan before You Sign. Mortgage Loans. Standard Home Equity Loans or Second Mortgages

Mortgage Loans. Understand the Terms of Your Loan before You Sign. Mortgage Loans. Standard Home Equity Loans or Second Mortgages Mortgage Loans Understand the Terms of Your Loan before You Sign This brochure can help you determine what is best for your situation, become familiar with mortgage loan terms, and learn what is involved

More information

Mortgage Terms Glossary

Mortgage Terms Glossary Mortgage Terms Glossary Adjustable-Rate Mortgage (ARM) A mortgage where the interest rate is not fixed, but changes during the life of the loan in line with movements in an index rate. You may also see

More information

20-Hour Mortgage Loan Originator SAFE Comprehensive Course Mortgage Loan Originator Pre-Licensing / National Topics

20-Hour Mortgage Loan Originator SAFE Comprehensive Course Mortgage Loan Originator Pre-Licensing / National Topics 20-Hour Mortgage Loan Originator SAFE Comprehensive Course Mortgage Loan Originator Pre-Licensing / National Course Provider RDH Education Services 877-734-4347 info@rdheducation.com www.rdheducation.com

More information

CONSUMER. Steps That Advocates Can Take To Help Prevent Foreclosure

CONSUMER. Steps That Advocates Can Take To Help Prevent Foreclosure CONSUMER Information for Advocates Representing Older Adults National Consumer Law Center Steps That Advocates Can Take To Help Prevent Foreclosure How Foreclosures Work CONCERNS Foreclosure or the threat

More information

HOME BUYING101 TM %*'9 [[[ EPXEREJGY SVK i

HOME BUYING101 TM %*'9 [[[ EPXEREJGY SVK i HOME BUYING101 TM i This book is intended as a general guide to the topics discussed, and it does not deliver accounting, personal finance, or legal advice. It is not intended, and should not be used,

More information

Quilty & Associates. May 8, 2013

Quilty & Associates. May 8, 2013 Quilty & Associates May 8, 2013 Discussion Points Significance of HMDA On the Horizon Survival Tips Hot Spots Significance of HMDA HMDA Disclosure Requirements HMDA Poster must be displayed in the lobby

More information

What Is Predatory Lending?

What Is Predatory Lending? Predatory lending often starts with a phone call, mailing, e-mail, television commercial, or knock at your door. The home improvement scam is one of many tactics predatory lenders will use to convince

More information

HERE ARE FIVE THINGS YOU WILL NEED TO KNOW BEFORE THE NEW RULES TAKE EFFECT OCTOBER 3, 2015

HERE ARE FIVE THINGS YOU WILL NEED TO KNOW BEFORE THE NEW RULES TAKE EFFECT OCTOBER 3, 2015 5 THINGS TO KNOW BEFORE OCTOBER 3RD, 2015 As a result of the 20 financial meltdown, the Consumer Financial Protection Bureau (CFPB) has published a new set of game changing rules and forms that will impact

More information

Assumable mortgage: A mortgage that can be transferred from a seller to a buyer. The buyer then takes over payment of an existing loan.

Assumable mortgage: A mortgage that can be transferred from a seller to a buyer. The buyer then takes over payment of an existing loan. MORTGAGE GLOSSARY Adjustable Rate Mortgage (ARM): A mortgage loan with payments usually lower than a fixed rate initially, but is subject to changes in interest rates. There are a variety of ARMs that

More information

Mortgage Fraud: The Basics

Mortgage Fraud: The Basics Mortgage Fraud: The Basics In monitoring fraud activity across the United States, it has been no surprise to see so much attention to and interest in mortgage related frauds. Among the myriad of mortgage

More information

Tip Sheet. Keep in mind we are not a law firm and this is not legal advice. All advertising should be reviewed by an attorney prior to distribution.

Tip Sheet. Keep in mind we are not a law firm and this is not legal advice. All advertising should be reviewed by an attorney prior to distribution. Mortgage Acts and Practices Act (MAP) Advertising Rule (Regulation N) Tip Sheet Keep in mind we are not a law firm and this is not legal advice. All advertising should be reviewed by an attorney prior

More information

Submitted online at https://secure.commentworks.com/ftcmortgageactsandpractices. Re: Mortgage Acts and Practices Rulemaking, Rule No.

Submitted online at https://secure.commentworks.com/ftcmortgageactsandpractices. Re: Mortgage Acts and Practices Rulemaking, Rule No. July 30, 2009 Federal Trade Commission Office of the Secretary Room H-135 (Annex T) 600 Pennsylvania Avenue NW Washington, DC 20580 Submitted online at https://secure.commentworks.com/ftcmortgageactsandpractices

More information

Renewing and Renegotiating Your Mortgage

Renewing and Renegotiating Your Mortgage ABCs of Mortgages Series Renewing and Renegotiating Your Mortgage Smart mortgage decisions start here table of contents overview 1 the renewal process 2 renegotiating your mortgage agreement: breaking

More information

Home Loan Scams: Borrower Beware!

Home Loan Scams: Borrower Beware! Home Loan Scams: Borrower Beware! Home Loan Scams: Borrower Beware! 1. What are home loan scams? Home loan scams are unfair or misleading lending practices that can lead to you losing your home. Some lenders

More information

Home Equity Loans and Credit Lines HELOC

Home Equity Loans and Credit Lines HELOC Home Equity Loans and Credit Lines HELOC If you re thinking about making some home improvements or looking at ways to pay for your child s college education, you may be thinking about tapping into your

More information

Welcome. 1. Agenda. 2. Ground Rules. 3. Introductions. Your Own Home 2

Welcome. 1. Agenda. 2. Ground Rules. 3. Introductions. Your Own Home 2 Your Own Home Welcome 1. Agenda 2. Ground Rules 3. Introductions Your Own Home 2 Objectives If you are a pre-homebuyer: Explain the advantages and disadvantages of renting versus owning a home Identify

More information

Avoiding Bad Loans. Kentucky Department of Financial Institutions. Garry Wright. Consumer Protection Branch Manager

Avoiding Bad Loans. Kentucky Department of Financial Institutions. Garry Wright. Consumer Protection Branch Manager Avoiding Bad Loans Kentucky Department of Financial Institutions Garry Wright Consumer Protection Branch Manager Training Objectives Understanding Reverse Mortgages Avoiding predatory loans / products

More information

Assumable Mortgage: A loan that can be taken over, or assumed, by a buyer when the mobile home is sold.

Assumable Mortgage: A loan that can be taken over, or assumed, by a buyer when the mobile home is sold. Actual Rate: The Actual Rate is the annual interest rate you pay on your loan (sometimes referred to as the note rate ), and is the rate used to calculate your monthly payments. Adjustable Rate Mortgage:

More information

Break Out Session: Mortgage Loan Underwriting and Pricing

Break Out Session: Mortgage Loan Underwriting and Pricing Break Out Session: Mortgage Loan Underwriting and Pricing Agenda Ability to Repay (ATR)/Qualified Mortgages (QMs) Effective Date: Applications received on or after January 10, 2014 2013 Home Ownership

More information

HOME FINANCING GUIDE

HOME FINANCING GUIDE HOME FINANCING GUIDE SECTION 1: Mortgage Loans Available Fixed Rate Mortgages A fixed rate mortgage is a home loan with a rate that remains the same over the entire term of the loan, regardless of how

More information

Reverse Mortgage Is it right for you?

Reverse Mortgage Is it right for you? Reverse Mortgage Is it right for you? Reverse Mortgages are being hyped as a tremendous tool for retirement income. This type of mortgage uses part of the equity in a home as collateral. A Reverse Mortgage,

More information

Home Equity Conversion Mortgage (HECM) for Home Purchase

Home Equity Conversion Mortgage (HECM) for Home Purchase Home Equity Conversion Mortgage (HECM) for Home Purchase A Guide to HECM s Home Equity Conversion Mortgage (HECM) for Home Purchase A Home Equity Conversion Mortgage for Purchase can be life-changing for

More information

JANUARY 2014. Shopping for a mortgage? What you can expect under federal rules

JANUARY 2014. Shopping for a mortgage? What you can expect under federal rules JANUARY 2014 Shopping for a mortgage? What you can expect under federal rules You ll be offered a mortgage that s set up to be affordable. When you apply for a mortgage, you may struggle to understand

More information

Counseling Kit Overview

Counseling Kit Overview Counseling Kit Overview For More Information: Contact your Reverse Mortgage Advisor This Counseling Kit has been assembled to assist you in preparing for your required HUD counseling session. The Counseling

More information

ACFE Toronto Chapter 1

ACFE Toronto Chapter 1 ACFE Toronto Chapter 1 Mortgage Fraud William Vasiliou CFE ACFE Toronto Chapter 2 Equifax report February 2012 Uncovered $400 million in mortgage fraud in Canada a fraction of the cheating in the R/E market

More information

Frequently Asked Questions

Frequently Asked Questions Frequently Asked Questions 1. What is a reverse mortgage? 2. How does a reverse mortgage differ from a home equity loan? 3. What are the advantages of a reverse mortgage? 4. How much money can I get? 5.

More information

FINANCIAL PLANNING FOR A HOME OF YOUR OWN

FINANCIAL PLANNING FOR A HOME OF YOUR OWN FINANCIAL PLANNING FOR A HOME OF YOUR OWN Buying a Home Reaching a Dr eam Owning a home is a cherished part of the American dream. Buying that home also may be the largest financial investment you will

More information

TRID In the Weeds. Article by Alice Alvey January 2015

TRID In the Weeds. Article by Alice Alvey January 2015 TRID In the Weeds Article by Alice Alvey January 2015 TRID BY ALICE ALVEY Alice Alvey It s not easy to see into the weeds of this regulation by attending a few webinars. It takes hundreds of man-hours

More information

Financial Planning for a Home of Your Own

Financial Planning for a Home of Your Own Financial Planning for a Home of Your Own FAMILY PLANNING EDUCATION INVESTMENT RETIREMENT SAVING EQUITY FAMILY PLANNING EDUCATION INVESTMENT RETIREMENT SAVING EQUITY FAMILY PLANNING EDUCATION INVESTMENT

More information

Settlement Disclosure

Settlement Disclosure Settlement Disclosure This form is a statement of final loan terms and closing costs. Compare this document with your Loan Estimate. Settlement information Date 2/21/2012 Agent ABC Settlement File # 01234

More information

CFPB s RESPA TILA Integrated Disclosure. Finley P. Maxson NAR Senior Counsel fmaxson@realtors.org (312) 329-8381

CFPB s RESPA TILA Integrated Disclosure. Finley P. Maxson NAR Senior Counsel fmaxson@realtors.org (312) 329-8381 CFPB s RESPA TILA Integrated Disclosure Finley P. Maxson NAR Senior Counsel fmaxson@realtors.org (312) 329-8381 RESPA-TILA Integrated Disclosure A. Background I. Impetus for change a. Dodd-Frank directed

More information

Step-by-Step Home Mortgage Steps

Step-by-Step Home Mortgage Steps 1 Applicants with a good credit report will be in a stronger position to negotiate best rate and terms Your credit report is used by banks and other lending institutions to determine your creditworthiness.

More information

FAQs About RESPA for Industry

FAQs About RESPA for Industry FAQs About RESPA for Industry 1. What kinds of transactions are covered under RESPA? Transactions involving a federally related mortgage loan, which includes most loans secured by a lien (first or subordinate

More information

Chapter 19. Residential Real Estate Finance: Mortgage Choices, Pricing and Risks. Residential Financing: Loans

Chapter 19. Residential Real Estate Finance: Mortgage Choices, Pricing and Risks. Residential Financing: Loans Chapter 19 Residential Real Estate Finance: Mortgage Choices, Pricing and Risks 10/25/2005 FIN4777 - Special Topics in Real Estate - Professor Rui Yao 1 Residential Financing: Loans Loans are classified

More information

Appraiser: a qualified individual who uses his or her experience and knowledge to prepare the appraisal estimate.

Appraiser: a qualified individual who uses his or her experience and knowledge to prepare the appraisal estimate. Mortgage Glossary 203(b): FHA program which provides mortgage insurance to protect lenders from default; used to finance the purchase of new or existing one- to four family housing; characterized by low

More information

Predatory Lending : Predatory Lending Practices

Predatory Lending : Predatory Lending Practices Predatory Lending : Predatory Lending Practices Taken and abbreviated from ACORN website: http://www.acorn.org/acorn10/predatorylending/practices.htm The reach and effect of abusive practices by predatory

More information

Outstanding mortgage balance

Outstanding mortgage balance Using Home Equity There are numerous benefits to owning your own home. Not only does it provide a place to live, where you can decorate as you want, but it also provides a source of wealth. Over time,

More information

Renewing and Renegotiating Your Mortgage

Renewing and Renegotiating Your Mortgage ABCs of Mortgages Series Renewing and Renegotiating Your Mortgage Smart mortgage decisions start here Table of Contents Overview 1 The renewal process 2 Renegotiating your mortgage agreement: breaking

More information

Your Assets: Financing and Refinancing Properties

Your Assets: Financing and Refinancing Properties The Business Library Resource Report #35 Your Assets: Financing and Refinancing Properties Personal, Investment, and Business Properties! Basic Analysis of How and When! Fixed vs. Variable Interest Rate!

More information

Litigation Related to a Mortgage: Expert Witness Considerations

Litigation Related to a Mortgage: Expert Witness Considerations MORTGAGE EXPERT WITNESS Litigation Related to a Mortgage: Expert Witness Considerations By Joffrey Long Joffrey Long Joffrey Long is a mortgage lender / broker who makes, arranges and services both private

More information

You Can Buy a Home The keys to Homeownership

You Can Buy a Home The keys to Homeownership You Can Buy a Home The keys to Homeownership The keys to homeownership Buying a home is one of the most important purchases you ll ever make. Owning your own home helps you build wealth, save on taxes

More information

Press Release SCHAKOWSKY ANNOUNCES SAVE OUR HOMES ACT, INITIATIVE TO PROTECT HOMEOWNERS/BUYERS FROM PREDATORY LENDERS

Press Release SCHAKOWSKY ANNOUNCES SAVE OUR HOMES ACT, INITIATIVE TO PROTECT HOMEOWNERS/BUYERS FROM PREDATORY LENDERS JULY 16, 2001 Press Release SCHAKOWSKY ANNOUNCES SAVE OUR HOMES ACT, INITIATIVE TO PROTECT HOMEOWNERS/BUYERS FROM PREDATORY LENDERS CHICAGO, IL U.S. Representative Jan Schakowsky (D-IL) today unveiled

More information

"Reverse Mortgages are a powerful tool to help eligible homeowners obtain

Reverse Mortgages are a powerful tool to help eligible homeowners obtain Dear Friend: Being a senior myself I am constantly looking for ways to improve my quality of life, have more liquid assets, reduce my cost of living and looking for ways to have passive income. My wife

More information

DEPARTMENT OF FINANCIAL AND PROFESSIONAL REGULATION NOTICE OF PROPOSED AMENDMENTS

DEPARTMENT OF FINANCIAL AND PROFESSIONAL REGULATION NOTICE OF PROPOSED AMENDMENTS TITLE 38: FINANCIAL INSTITUTIONS CHAPTER II: PART 346 PREDATORY LENDING DATABASE Section 346.10 Definitions 346.15 Information Required 346.20 Standards for Credit Counseling (Repealed) 346.21 Standards

More information

PRE-FORECLOSURE SALE ADDENDUM (FHA-Insured Loan)

PRE-FORECLOSURE SALE ADDENDUM (FHA-Insured Loan) PRE-FORECLOSURE SALE ADDENDUM (FHA-Insured Loan) Borrower: Loan Number: Address of Property: Date of Purchase Contract: / / Please type or print the following information: Seller Name Buyer Name Seller

More information

Be prepared for your Mortgage Closing.

Be prepared for your Mortgage Closing. Be prepared for your Mortgage Closing. The Process That Leads Up to Your Mortgage Closing. Once you ve purchased your property and completed a loan application, or made a loan application for a refinance,

More information

HOME BUYING101. 701.255.0042 www.capcu.org i

HOME BUYING101. 701.255.0042 www.capcu.org i HOME BUYING101 701.255.0042 www.capcu.org i This book is intended as a general guide to the topics discussed, and it does not deliver accounting, personal finance, or legal advice. It is not intended,

More information

Update on CFPB s TILA- RESPA Integrated Disclosure Rule

Update on CFPB s TILA- RESPA Integrated Disclosure Rule Update on CFPB s TILA- RESPA Integrated Disclosure Rule Mortgage Bankers Ruth A. Dillingham, Special Counsel First American Title Insurance Company This presentation is for informational purposes only

More information

Appreciation is one way that the the difference between the market value of property and the amount owed on it increases.

Appreciation is one way that the the difference between the market value of property and the amount owed on it increases. Chapter 22 Buying a Home 22.1 Why Buy a Home? Vocab Market value appraised value assessed value Equity conventional loan FHA loan Trust deed escrow account discount points Loan origination fee closing

More information

Settlement. Coming to Grips With. What to Know before Your Closing. The Event. What Is Closing?

Settlement. Coming to Grips With. What to Know before Your Closing. The Event. What Is Closing? Coming to Grips With Settlement What to Know before Your Closing The closing, or settlement, is the last step in getting your mortgage and actually becoming the owner of your new home. You ll probably

More information

Buying your first home?

Buying your first home? Information for First Time Buyers Buying your first home? It is a big purchase and can be a little intimidating, but it doesn t have to be. There are many Home Buyer Guides and Reports available on the

More information

How the Fannie Mae Foundation can help.

How the Fannie Mae Foundation can help. How the Fannie Mae Foundation can help. If you re like most Americans, homeownership is a major part of the American dream. The Fannie Mae Foundation can help you understand the steps you will need to

More information

Tips for First Time Home Buyers

Tips for First Time Home Buyers Tips for First Time Home Buyers Thinking about buying your first home? Andrew L. Jaloza & Associates will help you understand the process of home ownership so you can make informed decisions about your

More information

SC Appleseed Legal Justice Center P.O. Box 7187 Columbia, South Carolina 29202 www.scjustice.org

SC Appleseed Legal Justice Center P.O. Box 7187 Columbia, South Carolina 29202 www.scjustice.org South Carolina High Cost Mortgage and Consumer Home Act: Act 42 of 2003 SC Appleseed Legal Justice Center P.O. Box 7187 Columbia, South Carolina 29202 www.scjustice.org Landmark piece of Legislation that

More information

Automated Underwriting and Pre-Qualification. Qualifying and Closing Borrowers Using a Functional Script

Automated Underwriting and Pre-Qualification. Qualifying and Closing Borrowers Using a Functional Script Automated Underwriting and Pre-Qualification Qualifying and Closing Borrowers Using a Functional Script Contents Introduction - Automated Underwriting and Pre-Qualification...2 Loan Officers Have Stopped

More information

Financing Residential Real Estate. Lesson 12: VA-Guaranteed Loans

Financing Residential Real Estate. Lesson 12: VA-Guaranteed Loans Financing Residential Real Estate Lesson 12: VA-Guaranteed Loans Introduction In this lesson we will cover: characteristics of VA loans, eligibility requirements, VA guaranty, VA loan amounts, and underwriting

More information

Facts TIPS FOR CONSUMERS ON AVOIDING FORECLOSURE RESCUE SCAMS

Facts TIPS FOR CONSUMERS ON AVOIDING FORECLOSURE RESCUE SCAMS NATIONAL CONSUMER LAW CENTER INC p Consumer 77 Summer S treet, 10th Fl Boston, MA 02110 617 542-8010 www.nclc.org Facts for Older Americans TIPS FOR CONSUMERS ON AVOIDING FORECLOSURE RESCUE SCAMS Older

More information

Glossary of Lending Terms

Glossary of Lending Terms Glossary of Lending Terms Adjustable Rate Loan or Adjustable Rate Mortgage (ARM) A loan with an interest rate that changes during the term of the loan. The payments generally increase or decrease with

More information

Mortgage- and Lender-Related Settlement Costs. Charges for Establishing and Transferring Ownership. Amounts Paid to State and Local Governments

Mortgage- and Lender-Related Settlement Costs. Charges for Establishing and Transferring Ownership. Amounts Paid to State and Local Governments Mortgage- and Lender-Related Settlement Costs Charges for Establishing and Transferring Ownership Amounts Paid to State and Local Governments "All-in-One" Pricing of Settlement Costs Estimates of Settlement

More information

Settlement Disclosure

Settlement Disclosure Settlement Disclosure This form is a statement of final loan terms and actual closing costs. Settlement information Date 12/13/2011 Agent Martha Jones Location ABC Settlement 54321 Random Blvd, Ste 405

More information

Fair Housing Act. Reference Guide to Regulatory Compliance. 42 USC Ch 45 3601 through 3619

Fair Housing Act. Reference Guide to Regulatory Compliance. 42 USC Ch 45 3601 through 3619 Reference Guide to Regulatory Compliance Fair Housing Act 42 USC Ch 45 3601 through 3619 Topics Coverage Requirements Enforcement Practical Application Self-Study Questions The Fair Housing Act was enacted

More information

AMP KNOWLEDGE DOMAINS DETAILED TOPIC SUMMARY

AMP KNOWLEDGE DOMAINS DETAILED TOPIC SUMMARY TECHNICAL INDUSTRY KNOWLEDGE Residential Mortgage Underwriting from a Lender s Perspective (AMP1) Brokers must have a comprehensive understanding of the mortgage underwriting process, including the importance

More information

11.437 Financing Community Economic Development Class 6: Fixed Asset Financing

11.437 Financing Community Economic Development Class 6: Fixed Asset Financing 11.437 Financing Community Economic Development Class 6: Fixed Asset Financing I. Purpose of asset financing Fixed asset financing refers to the financing for real estate and equipment needs of a business.

More information

Florida Foreclosure/Real Estate Law. E-Book. A Simple Guide to Florida Foreclosure/Real Estate Law. by: Florida Law Advisers, P.A.

Florida Foreclosure/Real Estate Law. E-Book. A Simple Guide to Florida Foreclosure/Real Estate Law. by: Florida Law Advisers, P.A. Florida Foreclosure/Real Estate Law E-Book A Simple Guide to Florida Foreclosure/Real Estate Law by: Florida Law Advisers, P.A. 1 Call: 800-990-7763 Web: www.floridalegaladvice.com TABLE OF CONTENTS INTRODUCTION...

More information

A New Era in Closings CFPB s Final Rule for Integrated Mortgage Disclosures

A New Era in Closings CFPB s Final Rule for Integrated Mortgage Disclosures A New Era in Closings CFPB s Final Rule for Integrated Mortgage Disclosures Agenda Basics: Why We re Here Final Rule The New Forms Evaluating the Rule Cost to Implement What s Next Questions Basics Dodd-Frank

More information

Applying for a loan to purchase or refinance a home in Oregon

Applying for a loan to purchase or refinance a home in Oregon Applying for a loan to purchase or refinance a home in Oregon What you should know before you sign on the dotted line Oregon Division of Finance and Corporate Securities Our mission To encourage a wide

More information

Learning English with CBC Radio Living in Alberta. First Time Home Buyers: Mortgage Fraud

Learning English with CBC Radio Living in Alberta. First Time Home Buyers: Mortgage Fraud Learning English with CBC Radio Living in Alberta First Time Home Buyers: Mortgage Fraud by Maroro Zinyemba Project Manager: Justine Light Daylight Consulting Inc. Integration Enhancement Topic: First

More information

AMP BROKER EDUCATION STREAM

AMP BROKER EDUCATION STREAM Use the topic summaries below to evaluate your knowledge level within each knowledge domain. The National Competency Exam questions are based on these topics and sub-topics. The optional AMP courses are

More information