Frequently Asked Questions

  1. How can a Forensic Mortgage Audit help me?
    A quality Forensic Audit Report will expose violations committed by the Lender. The Report will also provide evidence and exhibits to support the findings. These violations may result in large financial or criminal penalties. The Audit Report can provide the Borrower with strong leverage against the Lender and/or Servicer which can then be used to obtain a loan modification, short sale, or other desired solution.
  2. Why must I have an attorney order my audit? Why can't I order it direclty from you without an attorney?
    Effective 1/30/2011, a Federal Regulation went into effect that prohibits clients from hiring and paying audit companies directly. This law is intended to protect consumers from being scammed by illegitimate mortgage auditors. We have always recommended that our clients consult with an attorney upon completion of the audit report anyway. This simply means that homeowners need to contact their attorney before the audit instead of after the audit. We embrace this change because it will help protect consumers.
  3. I hear that there are a lot of “Scams” regarding foreclosure assistance companies. How do I know that you are legitimate?
    That’s a great question and one that we are happy to answer. First, we suggest that you do your “due diligence” by “checking us out”. An easy way to do this is to go to any search engine (like Google or Yahoo) and type in our company name (Mortgage Loan Audit Advantage) or our parent company’s name which is “Umoveon Co.” You will find many articles about us and what we do. More importantly, you will see that there are no complaints about us. (If you do find anything negative, PLEASE let us know because it would be a first and we will promptly address the issue). You can also check with the Better Business Bureau or read the Testimonials that can be found from our Home Page.
  4. Do you provide a guarantee?
    Yes. If we are unable to identify any violations as a result of our Full Manual Forensic Audit (which is defined as a review of all available mortgage documents from the initial application through and including the closing of the subject loan), we will waive 50% of the audit fee. Our other services (such as Securitization Audit, Appraisal Audit, Payment Audit, Limited RESPA/TILA Audit, Foreclosure Audit, etc.) are not guaranteed because the client is hiring us to perform a service and not provide a specific result.
  5. What is a Securitization Audit?
    It is a review of the process whereby a property is made to be the security (collateral) for a mortgage loan. We review items such as the “Chain of Title”, MERS, SEC Filings, and Pooling and Servicing Agreements to determine if your Lender really “owns” your loan and whether they have the legal standing (right) to foreclose. There are documented cases where one mortgage has been sold to 2 or more “investors”. This brings several concerns into question: Who rightfully “owns” the loan? Who has the right to collect payments? Who does (or does NOT) have the right to foreclose?
  6. What happens after the audit is done?
    We always recommend that the Borrower have our findings reviewed by a qualified attorney to determine the best use of the Audit results. We can provide attorney referrals in most cases at no additional charge.
  7. Can an audit stop foreclosure?
    In many cases, yes. Forensic Audits have become the best foreclosure defense for Homeowners that have been victimized by their Lenders and/or Servicers. The outcome depends on the number of exposed violations and how serious they are.
  8. What States do you service?
    Most services are available in all 50 states. Call us if you have a specific question or concern.
  9. How long does it take to complete an audit?
    Most are done in 10 business days or less. The type of audit requested and the complexity are factors that may cause the time period to be shorter or longer.
  10. My loan has been sold and/or transferred to a new company. How will this affect my situation?
    It is very common for mortgage loans to be sold or transferred. This probably is not a problem because the new lender and/or servicer not only “buys” the asset (promissory note & mortgage), they also assume the liability for past violations in most cases. We recommend that a qualified attorney review the specific circumstances for guidance.
  11. The Lender or Mortgage Broker that I originally got my loan from is out of business. How can an audit help if the company no longer exists?
    Same answer as Question 10 above.
  12. Can you provide a Mortgage Audit for Investment Homes or Second Homes?
    Yes in most cases. Most of the same laws apply, although there are some differences. The Mortgage (or Deed of Trust) and Promissory Note must be in the Borrower’s personal name.
  13. Do you do audits for commercial properties?
    No.
  14. I have seen companies that advertise “FREE” Mortgage Audits. Why should I pay a company like yours for an audit? As the old saying goes…”You get what you pay for”.
    A free audit is a joke and a waste of time in our opinion. The only way to identify most serious violations such as fraud and predatory lending practices is to do a thorough examination of all available documents. This requires specialized knowledge and a substantial amount of time and work. Our fees are very competitive and attorneys that have reviewed our work have told us that “it is the best they have ever seen.” The only audits that we have seen that compare to ours are typically done by law firms and the cost is 2-3 times higher.
  15. I am considering filing for Bankruptcy (or have already filed). Can an audit still be beneficial to me?
    Yes. Filing Bankruptcy will put a “stay” on any collection activity including foreclosure (stay means to stop or put on hold). However, once the bankruptcy is finished (discharged or dismissed), the Lender can resume their collection efforts. If you want to stay in your home, you will have to pay what is due or negotiate new terms. A Forensic Mortgage Audit can be a great advantage when negotiating a modification or other solution.
  16. What is RESPA?
    It is the short way of saying “Real Estate Settlement Procedures Act”. Also known as “Regulation X”. The main purpose of RESPA is to ensure that applicants will be provided with adequate, accurate, and timely information on the nature and costs associated with the purchase or refinancing of real estate. RESPA requires that certain disclosures such as a Good Faith Estimate, Required Use Disclosures, Mortgage Servicing Disclosures, and others be provided in the proper form within 3 days of a mortgage application. It also prohibits “kickbacks” from one service provider to another. Since RESPA is a complex and comprehensive law, we suggest that you go to a search engine (like Google or Yahoo) to learn more.
  17. What is TILA?
    It is short for the “Truth in Lending Act”. Also known as “Regulation Z”. This law was enacted so a consumer can see key information about the loan such as: the Annual Percentage Rate (APR), Amount Financed, Finance Charge, Total of Payments, Type of Loan (Fixed Rate, Adjustable Rate, Balloon Note, etc.), if there is a Prepayment Penalty, etc. The idea is that consumers can use the “Truth in Lending Disclosure Form (TILD)” to compare and shop for the loan terms that are best for their situation. Many Borrowers are never given the required disclosures by their Lenders in order to withhold this key information and to prevent a Borrower from “shopping” with another mortgage company. An initial TILD copy must be provided within 3 days of application for refinances. A “Final Truth in Lending Disclosure Form” must be provided at closing for both purchases and refinances.
  18. What is “Predatory Lending”?
    (From Wikipedia, the free encyclopedia)
    Predatory lending describes unfair, deceptive, or fraudulent practices of some lenders during the loan origination process. While there are no legal definitions in the United States for predatory lending, an audit report on predatory lending from the office of inspector general of the FDIC broadly defines predatory lending as "imposing unfair and abusive loan terms on borrowers." Though there are laws against many of the specific practices commonly identified as predatory, various federal agencies use the term as a catch-all term for many specific illegal activities in the loan industry. Predatory lending should not to be confused with predatory mortgage servicing which is used to describe the unfair, deceptive, or fraudulent practices of lenders and servicing agents during the loan or mortgage servicing process, post loan origination.

    One less contentious definition of the term is "the practice of a lender deceptively convincing borrowers to agree to unfair and abusive loan terms, or systematically violating those terms in ways that make it difficult for the borrower to defend against." Other types of lending sometimes also referred to as predatory include payday loans, credit cards or other forms of consumer debt, and overdraft loans, when the interest rates are considered unreasonably high. Although predatory lenders are most likely to target the less educated, lowest incomes, racial minorities, the elderly, victims of predatory lending are represented across all demographics.

    Predatory lending typically occurs on loans backed by some kind of collateral, such as a car or house, so that if the borrower defaults on the loan, the lender can repossess or foreclose and profit by selling the repossessed or foreclosed property. Lenders may be accused of tricking a borrower into believing that an interest rate is lower than it actually is, or that the borrower's ability to pay is greater than it actually is. The lender, or others as agents of the lender, may well profit from repossession or foreclosure upon the collateral.

    The United States Office of the Comptroller of the Currency (OCC) is an independent bureau of the U.S. Department of Treasury. The Comptroller is also a director of the FDIC. The primary mission of the OCC is to charter, regulate, and supervise all national banks. One of their main goals is to ensure that banks operate in a safe and sound manner and in compliance with laws requiring fair treatment of their customers and fair access to credit and financial products. OCC Advisory Letter AL 2003-2 describes predatory lending as including the following:
    • Loan “flipping” – frequent refinancings that result in little or no economic benefit to the borrower and are undertaken with the primary or sole objective of generating additional loan fees, prepayment penalties, and fees from the financing of credit-related products
    • Refinancings of special subsidized mortgages that result in the loss ofbeneficial loan terms
    • “Packing” of excessive and sometimes “hidden” fees in the amount financed
    • Using loan terms or structures – such as negative amortization – to make it more difficult or impossible for borrowers to reduce or repay their indebtedness
    • Using balloon payments to conceal the true burden of the financing and to force borrowers into costly refinancing transactions or foreclosures.
    • Targeting inappropriate or excessively expensive credit products to older borrowers, to persons who are not financially sophisticated or who may be otherwise vulnerable to abusive practices, and to persons who could qualify for mainstream credit products and terms
    • Inadequate disclosure of the true costs, risks and, where necessary, appropriateness to the borrower of loan transactions
    • The offering of single premium credit life insurance
    • The use of mandatory arbitration clauses.
Privacy Policy