Finding the Truth about Mis Sold Mortgages

Was there Mortgage Mis Selling?

Over the years, lenders have used various unfair means to sell mortgages to borrowers who were not informed everything about their home loan. If a mortgage borrower is finding it difficult to repay the home loan then it is time to ask questions. The responsibility lies with the lender to check the fact if the borrower has capacity to repay the loan. Some lenders already know the borrower would be in the retirement period before the mortgage has been paid completely. This is a clear case of mis selling the mortgage. Such a borrower finds it difficult to repay the mortgage when the income drastically goes down after the retirement.

How to Know If the Advice Given Was Wrong?

A prospective borrower approaches a broker in good faith, trusting the professional to provide advices that will not prove financially damaging. However, a few brokers give preference to selling mortgages that earn them more commission. The mortgages may be very expensive or carry difficult terms and conditions. Advisers may hide many other facts from the home loan applicant. They do so because some lenders offer them larger commission for selling expensive mortgages to vulnerable borrowers. Only a professional working in this field can find out these facts and make a case against the lender.

Is Mortgage Compensation Available?

If a borrower was sold a wrong mortgage then the person is entitled to compensation. Any borrower who suffered monetary loss because of wrong advices can file for mis sold mortgage claims. The compensation does not only include the amount that has been lost but also the calculated future amount that will be lost. When awarding such compensation, the financial authority entrusted with the job checks all the available facts.

Which Agency Should Be Selected to Represent for Compensation?

Mis sold mortgages are complicated cases that involve finance, insurance and legal issues. Only an agency that has experience in this field can provide right representation. It must have professionals from the fields of mortgage lending market, home loan insurance, and legal. It must be a registered and licensed agency. An agency that provides prompt response, maintains confidentiality, and works professionally is the right one for the job.

Problems with the Broker

It is possible that the broker or the lender is no longer in the business. Even then it is possible to receive mortgage compensation. If a borrower is able to prove negligence by broker or lender that resulted in financial loss then the entity at fault can still be held liable. Some borrowers have lost information about their broker or lender. They need not lose heart. There are many ways to find the broker or lender that was responsible for mis sold mortgages.

What Is the Guarantee of Success?

While no one can guarantee of complete success, a proper audit is the minimum that a borrower should do to find where the case stands. A comprehensive audit reveals at what stage the adviser or lender tried to mis sell the mortgage. An agency providing help in this matter charges a small fee for performing the comprehensive audit. This helps assess the merits and drawbacks of the case. Professionals who have experience in this field know how to perform such an audit.

Mis sold mortgages are the result of mis selling. When the broker does not treat the client fairly then the borrower suffers financial loss. It is important for such borrowers to find whether they were treated unfairly by their mortgage broker.