The Lender Police – Lenders Watch Out
There’s a new Sheriff in town
For $99 bucks consumers can fax over their good faith and for $199 they can fax their Loan docs and have them reviewed by Lender Police to make sure you’re on the the level with buyers.
I report, you decide.
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This article published on Monday, June 23rd, 2008 at 1:13 pm | Contact the editor
Topics: Economy
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AGBeat Founder, Director: I’ve dedicated the past two decades to consumerism in and out of the real estate space. I help focus corporations on consumerism, consumer needs and trends, and what consumers find valuable. I hope you enjoy AG, and that you will reach out if I can help your company or association communicate it’s value.
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Interesting service. I just wonder how many people will actually wan to fork over the money to have this done. Most of my buyers expect me as their REALTOR to scan ofer their GFE for any glaring errors or omissions. However, I can see the call to action with all of the loan scams coming to the service (Metropolitan Money Store being a prime example).
It’s really too bad this is what the business has come to. I can see the benefits of using such a service though.
Honestly – just find mortgage lenders that you can trust. Usually if you have to ask if you’re getting screwed, you’re not getting the service you deserve.
Yikes.
What’s next a video camera bustin into an mortgage office ‘Cops’ style. Seems a little spendy for a couple of minutes of work, but then again their going to argue about saving tons of $$$ over the life of the loan.
Touching on @Tyler, somebody should be able to find somebody to trust with all the ‘amazing’ products online these days (that’s being carrying a little sarcasm).
Just somebody trying to make a buh
Premise – Ok, but I think Agents should be able to look over these things and know what doesn’t seem right.
Price – too high
Question – How is this not providing legal advice?
Echo – Sad that this is a necessary service; but I get it.
It’s unfortunate a company like this is needed! As an agent, I do look at my clients good faith estimate – if they use my lenders, I know they won’t get a bad deal.
Recently, though, an out-of-city client used their local lender. I asked the lender for a copy of the GFE, asked my clients to have her send me a copy, never did get it. I wanted to see their costs before I wrote the offer. Instead, the lender told them to tell me they needed $2500. in closing costs.
No surprise at closing, they paid 3.0% YSP. A service like this would have saved them 1000′s. Or, they could have made sure I received a copy. Sadly, the trust factor has suffered in our industry
Think that there will be a crop of
scamsservices like this over the next few years. Some will be legit, but most will be just playing on the fears of the general public. $200 to take 5 minutes to review the docs seems way to high.I got an email from these guys last week and I just deleted it thinking it was one of those wacky vendors trying to sell me something. But now that I looked at it closer, I can see a good use for this. Again, like Matt said earlier, I wonder how many folks will actually pay for this. Wouldn’t just faxing a few lenders each others GFE’s suffice?
Abhorrent practices by lenders within the mortgage industry are called abusive lending. Choosing the right lender is not easy… Earned or borrowed cash are all at stake, specially your home. That’s why it is very important to be watchful and evade those Rapacious Lenders.