When paying for your home, you trust your loan servicing company to track payments and other information carefully and to prevent mortgage errors. However, mortgage lender errors do happen, and they can have serious consequences if they are not addressed. Imagine being threatened with foreclosure because a loan company incorrectly applied your mortgage payments or wrongly led you to believe the mortgage was paid off.
Know what to do if a mortgage company makes a mistake. Further, know whom to turn to for help. Mortgage errors attorney Carlos M. Amor has decades of experience helping homeowners with mortgage issues and takes practical approaches to finding solutions for clients. Contact our law firm and ask for a free consultation by calling 954-453-7200. Attorney Carlos M. Amor provides free consultations by phone, via video meeting, or in person.
Why Choose Carlos M. Amor for Your Mortgage Issue?
Finding Effective Solutions for Real Problems
If foreclosure is possible due to a mortgage company’s mistake, working with an effective mortgage dispute attorney can be the difference between keeping and losing your home. Plantation attorney Carlos M. Amor has practiced law since 2007 and has extensive experience successfully helping Florida homeowners resolve mortgage errors made by their lenders. When choosing a real estate lawyer to solve your complex problem, consider these things that set Attorney Amor apart:
- He is an award-winning attorney with the highest ratings from legal peers for his ethics and professionalism.
- In addition to being a respected real estate lawyer, he is also a licensed real estate broker, which gives him comprehensive insight into the state’s real estate industry.
- He provides free, no-obligation consultations so you can learn your options in a low-pressure environment.
- He delivers exceptional service and quickly responds to clients’ questions and concerns.
Go here to read what other people who face mortgage and real estate issues have to say about Carlos M. Amor. To speak with him and get on the path to having your mortgage error corrected, call us at 954- 453-7200 to schedule a consultation.
Attorney Amor offers free consultations by phone, in person or via video. Choose the method that is most convenient for you.
Why Do Mortgage Company Errors Occur?
Processing So Many Loans Opens Up Room for Error
If something does not seem right regarding your mortgage, it’s worth asking, what if a mortgage company made an error? Mortgage lender errors can happen frequently in the mortgage lending business. A huge number of records are flowing through, and mortgages are sold and resold frequently, opening up more possibilities for error.
Mortgage errors can also happen for simple reasons, such as key-stroke errors when entering account information, funds being moved to the wrong account, or incorrect payment records. In some cases, errors may be traced to a loan provider’s trying to take shortcuts by not hiring enough staff or using ineffective, automated, or outsourced processes.
Even these small errors may balloon into larger problems if not corrected quickly. If mortgage company errors are not caught internally, the results can include unwanted and unwarranted notices of default payments, collection attempts, and foreclosure threats.
Common Types of Mortgage Errors
Lenders can and do make mistakes when servicing loans. Even though mortgage lenders should know the rules, sometimes mortgage errors result from carelessness or disregard for rules and procedures.
Knowing what to do if a mortgage company makes a mistake is key. But being able to find and identify errors before they become a larger problem is equally important. With so many different variables, plenty of loan servicing errors can creep in. A Notice of Error can address mistakes such as:
- Improperly applied or credited payments
- Not providing an accurate payoff balance upon request
- Wrongful foreclosure without proper cause or in violation of mortgage servicing laws
- Denying a loan modification request without proper reasoning
- Neglecting to pay insurance or taxes
- Charging unreasonable fees
- Neglecting to record a satisfaction of mortgage.
When errors appear, well-kept notes and documentation will be very helpful. While errors can go both ways — meaning borrowers may have recorded amounts incorrectly, inserted a typo, etc. — notes and documentation can help check and clarify errors.
What If a Lender Erroneously Claims that Your Mortgage Is Paid Off?
One of the most serious mortgage lender errors occurs when a company leads a borrower to incorrectly believe that a mortgage was paid off, resulting in the borrower’s no longer making payments. When this occurs, a borrower can later be threatened with foreclosure and receive notices of non-payments despite their having the genuine belief, based on the mortgage company’s error, that payments have been completed.
Rectifying the situation involves steps similar to straightening out other mortgage company errors. This means reviewing your mortgage agreement, statements, and related materials, sending a letter to your mortgage loan servicer, and contacting an attorney.
What If Your Lender Neglects to Record Your Satisfaction of Mortgage?
Once you make your final mortgage payment, your lender must record with the clerk in the county where your property is located that your mortgage has been satisfied. After taking this filing step, they must inform you through a mortgage satisfaction letter that the release on their lien for your property has been recorded.
Under Florida law, these steps must occur within 60 days of your final mortgage payment. If the lender fails to do this, it may cause you problems later if you try to sell your home or other property. Your lender may be held accountable through a civil claim for that failure to notify you.
If a lender refuses to provide information or disagrees with your assessment that a mortgage lender error occurred, contact attorney Carlos M. Amor for the legal help you need.
How To Dispute Mortgage Servicing Errors
Report Errors as Soon as They Are Found
If a mortgage company makes a mistake, you are not powerless and do not have to suffer the consequences of their error. However, it is important to try and notice the mistake as quickly as possible and take proactive steps to alert a company of the mistake and ensure that it’s addressed.
It’s best to address mortgage errors and to request more information in writing. The federal Consumer Financial Protection Bureau has outlined how to go about contacting and sending a letter to your mortgage provider. Their website even includes sample letters.
Sending Written Error Notices
Contact your mortgage provider as soon as you find out that a mortgage error might have occurred. While you can call your lender, sending a written letter will offer more legal protections than a call. Known as a Notice of Error, this letter points out that a servicer made a particular error when working with your mortgage account. A Notice of Error serves to:
- Notify a lender that an error was made
- Seek to resolve errors pertaining to your account
- Provide lenders with a chance to respond to any errors made.
After a lender receives a Notice of Error, it should promptly evaluate the error. In response to a mortgage company notice of error, a lender must correct the error, provide notification of the correction, and give contact information so that a borrower can follow up. A loan provider has several options for responding, including:
- Correcting the error and confirming the correction with you in writing
- Investigating the error and providing a written explanation for why no mortgage company error was found
- Asking you for additional information
- Informing you that the company will need 15 business days to investigate and respond to your notice.
A loan servicer cannot wait indefinitely to respond to a mortgage lender error notice; a servicer must acknowledge your notice within five business days. However, the loan provider does have more time (typically up to 30 business days) to investigate and respond to the issue that your letter addresses. For errors concerning foreclosure, a service provider must generally respond before a foreclosure sale occurs.
Mortgage Lender Errors and Requests for Information
Sometimes, you may need more information before addressing a potential mortgage lender error. You may send a lender a letter requesting more information about your account.
As with a Notice of Error letter, a Request for Information must be acknowledged within five business days, and lenders have 30 business days to either provide the information requested or tell you why the requested information isn’t available. If that’s the case, a lender should also give contact information on where you can follow up.
The Real Estate Settlement Procedures Act (RESPA)
When you have sent a written letter to a loan service provider, the Real Estate Settlement Procedures Act (RESPA) requires that lenders acknowledge your letter and respond within specific time frames. This RESPA federal law is designed to help protect borrowers and homebuyers and to keep information and processes transparent between borrowers and lenders.
How We Can Help You Resolve Mortgage Company Errors
While you can attempt to resolve mortgage errors on your own, disputing a mortgage error with a lender can be very frustrating. Mortgage lenders will not easily admit mistakes, so the task of proving errors will fall to you. If you are unable to convince the mortgage lender that a mistake or mistakes have occurred, you risk potentially losing your home. We will relieve you of the stress of fighting with your mortgage company by:
- Investigating the error and how it happened
- Preparing the error notice and sending it to your lender
- Requesting additional information if needed
- Following up with your lender if they do not respond in a timely way
- Representing your interests if the lender continues to dispute the error
- Fighting for your rights if the lender takes negative actions against you, up to and including foreclosure proceedings.
We are here to help you with your mortgage error dispute. Reach out today by calling 954-453-7200 for a free case evaluation.
Mortgage Error FAQs
Experienced Mortgage Errors Attorney Answers Common Questions
Here are just a few most commonly asked questions about mortgage errors answered by our attorney.
Do I have to write to my lender to report a mortgage error? Can’t I just call?
It is to your advantage to write a letter to your mortgage lender instead of calling. With a letter, you have written proof that you attempted to resolve the situation. Lenders must also investigate the alleged error and respond to your concerns within a specific time frame. If you have called your lender and the issue was not resolved, follow up immediately with a notice of error in writing or contact our attorney for help.
When should I contact an attorney about a mortgage error?
If a mortgage service lender is not responding to your inquiries or if it claims that no errors exist despite the evidence, it’s time to speak with a real estate attorney. Real estate attorneys understand how lenders operate and the laws and regulations that they must adhere to. If you are facing foreclosure or other serious situations due to a servicer error, an attorney can help get your situation straightened out. Contact Carlos M. Amor for to arrange a free consultation today.
What should I bring to my consultation with a mortgage dispute attorney?
Bring any mortgage statements or other documentation that you believe shows the error that was made. If you have written a notice of error to the mortgage company, bring a copy of that letter. Bring any late payment, default or other notices your lender may have sent.
If you spoke to someone from the company on the telephone, bring any notes you may have made about the conversation and result of it. Basically, bring any information that you think shows the error or errors, any attempts you have made to resolve it, and any communications from your lender.
When do errors lead to mortgage lender lawsuits?
When lenders breach their fiduciary duty to homeowners, they may be subject to being sued in civil court. Mortgage lender lawsuits can be brought due to unresolved mortgage errors that cost homeowners money when a lender fails to provide the borrower with the requested information, when lenders commit fraud, when borrowers believe they are being discriminated against, and for other issues. We can examine your matter to determine if you may have grounds for a lawsuit against your lender.
When do loan servicers not have to respond to error notices or information requests from borrowers?
In some situations, loan servicers do not have to respond to a Notice of Error or Request for Information. If a letter is about a previously reported request or error, is overly broad, or asks about a paid-off loan or one transferred to another servicer, a company will not need to respond. A loan servicer must still acknowledge your letter, however, and state that no response is needed.
If you have additional questions or want more information, please contact us today at 954-453-7200.
Attorney Carlos M. Amor Knows How to Handle Mortgage Errors
Don’t Delay–Reach Out for Skillful Legal Assistance Today
Mortgage errors are more than just a nuisance—homeowners can lose their homes if a particularly serious mortgage lender error goes unnoticed. While it’s critical to be diligent and to keep proper records of mortgage payments and other important processes, take action if mortgage company errors occur.
You don’t have to go it alone. Real estate attorney Carlos M. Amor has helped numerous homeowners to protect their homes and to clear up situations involving mortgage lenders. He offers free consultations by phone, by video meeting, or in person. Call our firm today to schedule a free consultation by dialing 954-453-7200.
Contact attorney Carlos M. Amor if you need help correcting a mortgage company error and preventing foreclosure and other consequences.