Typical violations of predatory lending loan specialists find in client loan files are:

• Predatory Lending: Typical Violation
• Broker disclosures for loan modifications were never made.
• Credit risk factors were not documented and properly presented.
• Falsifying or emission of FICO scores.
• RESPA booklet was not provided or not given on time.
• Some, if not all documents were not notarized or signed properly.
• There was no accurate ARM disclosure.
• There was no accurate Final Hud-1 found in the file.
• There was no Right to Cancel Notice given to the borrower (there should be two copies).
• The Right to Cancel Notice was not properly filled out by the lender.
• The GFE (good faith estimate) was not presented within three days of loan modification application.
• There is no payment schedule included in the documents or the provided payment schedule is inaccurate.
• Information of Truth in Lending was not mailed or received within three days of loan modification application.
• There was no copy of promissory note provided or the lender who has the right to enforce the loan was not clearly stated.
• A three day rescission period for clients who signed and loaned funds on same day was not provided (non-purchase money loans).
• Disclosures of the finance charges, amount financed and APR were not accurately documented in the Truth in Lending statement.

For fast loan modification approval, a borrower should avoid predatory lending. She / he has to ensure that all documents are valid and accurate.