D.W. Scott Financial is an association that offers a number of benefits and services designed to assist homeowners and consumers who are working their way through a financial difficulty. Because financial hardships come in many forms D.W. Scott Financial also offers services for debt settlement and credit repair.
D.W. Scott was built upon the ideal that our company is only as strong as the service we provide to our clients; D.W. Scott has always understood that each client has a different hardship and a different need.
Our “client focus” philosophy strives to meet those needs through quality service and individual attention during your time of hardship. We have made a commitment to saving the American Dream.
Our experienced Loan Modification team provides real solutions for many Americans who are facing trouble because of their mortgages. Whether you have an ARM that has recently skyrocketed a severe loss in property value, have suffered a loss in income, or you simply are finding that your current mortgage payment is more than you can handle, D.W. Scott Financial can help.
Put the Most Qualified Team to Work for You
D.W. Scott Financial brings together the finest professionals in the industry, including mortgage specialists, title specialists, former compliance officers of lending institutions, settlement specialists, and real estate and finance attorneys.
Our winning combination will give you the best results available.
Let an Expert Handle Your Forensic Loan Audit
Our Attorneys will leverage the law and force your bank to cooperate in modifying your loan through the use of a Cure Notice. Faced with a report that exposes violations many lenders will choose to modify the borrower’s loan rather than facing the alternatives of foreclosure, litigation, and federal fines. Under such circumstances, Loan Modification is the most economically wise choice.
Our Team of Mortgage Experts and Attorneys Will Examine Your Loan for Truth in Lending Act Violations, RESPA Violations, Fraud, and Misrepresentation.
This service is very specialized and imperative in identifying if a borrower is a victim of predatory lending. We review all loan documents and perform a thorough investigation for miscalculations so that your attorney can determine if the loan terms are accurate, truthful, and meet the requirements of the applicable federal statutes.
Our #1 goal is to highlight information about your loan so that we can determine whether there were violations of federal law. If these violations are found by the attorney, then the borrower (you) may be eligible for complete relief of the predatory loan. This is known as a loan rescission. Meaning the lender takes back the "predatory loan" and awards or credits back to the borrower all interest made on payments thus far, loan origination fees, all applicable lender fees, penalties and attorney's fees.
However, in most cases the borrower may be ineligible to rescind their loan because they are just too far underwater to obtain a mortgage and their credit rating may have been adversely affected by the loan that has caused them pain and suffering. The most common option under these circumstances is to negotiate with the lender and fight for an affordable loan modification based on the violations discovered during the audit and the borrowers' current financial situation. As a result the homeowner has their loan modified and may have their principal balance reduced as well.
Attorney Based Loan Modification, What is it?
Attorney based loan modifications are by far and away the most beneficial to the homeowner. The major difference is that an attorney can analyze your loan documentation by conducting a forensic loan audit to pinpoint predatory lending violations and threaten a lawsuit if the lender does not comply with your modification request. Some modification requests include but are not limited to a balance reduction if you are upside down, an interest rate reduction, fixing the rate, deferring the first payment deferment for a few months, and, if requested, a change in the length of your loan's term (i.e. stretching out the repayment period to further lower the payment). When an attorney finds a violation that may subject the lender to a fine, plus attorney fees, those fees and the costs to fight them, when compared to the cost of your proposed loan modification proposal, often makes granting the loan modification a better business decision for your lender.
Lenders and servicers are very busy with desperate homeowners trying to save their homes from foreclosures. Unfortunately, they do not have the man power or the capabilities to save everyone. Many people are simply getting lost in the system and suffering an unnecessary foreclosure when they could have worked it out with their lender. With an attorney involved, you have an important ally in your corner to get the mortgage help you need. Oftentimes, this can make the difference between saving your home and losing your home.
If your attorney determines that you may have been a victim of Deceptive Lending Practices or any other type of Mortgage Compliance issue, he or she will send an official written request for a modification to your lender, on your behalf. Your attorney will first attempt to settle the Loan Issue/Documented Dispute with the lender prior to filing complaint(s) with any agency and inform the lender of the issues found in your detailed Mortgage Loan Document Review. Your lender may have little choice but to settle immediately once they review your attorney's opinion and the documented report.
Level the Playing Field
With the law on your side, the mortgage lender will listen!
Without an established lawyer on your side to work with your lending institution to reduce your mortgage payment, the deck is stacked against you.
Without the law on your side lenders can threaten you with:
- Derogatory Credit Reporting
- Interest Rate Escalation
- Penalties and Late Fees
- Foreclosure
Our Lawyer’s will take Control of the Negotiation
When your lender finds out you are working with an attorney that has done a forensic loan audit revealing lending violations, they are often extremely willing to work with you to lower your mortgage payment.
The Forensic Loan Doc Audit is a significant part of a loan modification request submitted on behalf of the homeowner. Well over 85% of audits reveal major TILA (Truth in Lending Act), RESPA (Real Estate Settlement Procedures Act), Predatory Lending, and Real Estate/ Mortgage Fraud violations. In some cases, even where the homeowner is simply overcharged by only $35.00 on the final HUD-1, or if the annual percentage rate (APR) is only . 125% higher than what was originally disclosed; a violation of the Truth in Lending Act can be established. This now gives you leverage when negotiating with the lender and more than enough incentive for the lenders to grant a beneficial loan modification.
Let us help you find out if your loan contains VIOLATIONS and get those violations fixed.
We search all documents and correspondence for constructive fraud, fraud and negligent misrepresentation, excessive fees, breach of contract and more. Applying the law and regulations at the time the mortgage was signed, we verify compliance with:
- Truth in Lending Act (TILA)
- Real Estate Settlement Procedures Act (RESPA)
- Equal Credit Opportunity Act (ECOA)
- Home Ownership Equity Protection Act (HOEPA)
- And more...
Frequently Encountered Violations
Excessive Fees
We look for Excessive Fees and Improper Charges by your Lender. We also look for Deceptive Abusive Predatory Lending Practices, Excessive Prepayment Penalties, Tangible Benefits to the Borrower, Affordability to the Borrower, Home Mortgage Disclosure Act (HMDA) Data, Broker Fee Agreements, and State and Federal Disclosure Accuracy.
Constructive Fraud
Material facts include the terms of the loan, whether there is a prepayment penalty, or any other information which a reasonable borrower would want to know before accepting the loan. Did the broker or loan officer or anyone working for the broker or loan officer fail to disclose any material facts to the borrower? The answer to this question is probably.
Breach of Contract
All the mortgage documents and attachments are a contract. The lender must follow all the terms of the contract such as the way the interest is calculated, and the penalties it assesses. Were there any terms in the contract which the lender failed to follow?
Fraud and Negligent Misrepresentation
Were any representations, statements, or comments, written or oral made by the loan officer, broker, notary or anyone else contradict the terms of the documents? When a mortgage professional makes errors which a reasonably diligent mortgage professional would not have made, he or she may have made a negligent misrepresentation.
Federal Laws Governing Mortgage Lending
The United States federal government has 4 core laws that make the guidelines uniform and administered fairly and equally for all individuals. In fact, all lenders are required to operate under certain rules, regulations and procedures when taking loan applications.
Those rules, regulations and procedures are spelled out in the
- The Real Estate Settlement Procedures Act (RESPA)
- The Truth In Lending Act (TILA)
- The Equal Credit Opportunity Act (ECOA)
- The Fair Credit Reporting Act (FCRA).
Real Estate Settlement Procedures Act (RESPA)
The Real Estate Settlement Procedures Act (RESPA) requires lenders to give a "good faith estimate" of all closing costs you are likely to pay. The idea is to keep the borrower from being forced to pay "hidden" fees at closing.
RESPA also requires that borrowers receive disclosures at various times. Some disclosures spell out the costs associated with the settlement, outline lender servicing and escrow account practices and describe business relationships between settlement service providers.
Truth in Lending Act (TILA)
The Truth in Lending Act (TILA), also known as Regulation Z, requires that annual percentage rate (APR), term of the loan, and total costs must be disclosed to a borrower prior to extending credit to the borrower. This information must be conspicuous on documents presented to the consumer before signing, and also possibly on periodic billing statements.
Equal Credit Opportunity Act (ECOA)
The Equal Credit Opportunity Act (ECOA) prohibits discrimination in lending based on race, creed, religion, national origin, sex, marital status, and age. It also ensures that all consumers are given an equal chance to obtain credit. This doesn't mean all consumers who apply for credit get it: Factors such as income, expenses, debt, and credit history are considerations for creditworthiness.
The law protects you when you deal with any creditor who regularly extends credit, including banks, small loan and finance companies, retail and department stores, credit card companies, and credit unions. Anyone involved in granting credit, such as real estate brokers who arrange financing, is covered by the law.
Fair Credit Reporting Act (FCRA)
The Fair Credit Reporting Act (FCRA) promotes the accuracy, fairness, and privacy of the information in the files of consumer reporting agencies. When you apply for a mortgage, the lender pulls a credit report. The FCRA guarantees you will have access to that report. If you were not given access to your report or denied the ability to obtain a copy we have a strong case.
We Help Our Clients Know Their Rights
The penalties for failure to comply with the Truth in Lending Act can be substantial. A creditor who violates the disclosure requirements may be sued for twice the amount of the total finance charge on the loan. In the case of a home mortgage, this can be a very significant amount. Costs and attorney's fees may also be awarded to the consumer. A lawsuit must be begun by the consumer typically within three years of the violation, but certain tolling provisions apply, giving the consumer more time.
The Truth in Lending Act ("TILA") and the Real Estate Settlement Procedures Act ("RESPA") are violated daily by lenders and mortgage companies. These laws are in place to protect you, the homeowner, but they are often completely disregarded. Your loan is probably unlawful, and you may be entitled to substantial damages whether or not you're currently in foreclosure.
Not only can the Truth in Lending Act be used to immediately stop the foreclosure process (if you currently are in foreclosure), but it also lets you avoid bankruptcy and it puts money in your pocket. Once TILA and/or RESPA violations are discovered in your loan documents, your lender will be eager to discontinue the unlawful foreclosure process and settle the dispute.
Call your D.W. Scott Financial representative to get started
(866)-240-6885