The Dodd Frank Act
The Dodd-Frank Wall Street Reform and Consumer Protection Act (known by the common term of the Dodd-Frank Act) has had a profound effect on lending practices here in Florida, particularly since the Mortgage Reform and Anti-Predatory Lending Act section (Title XIV) was enacted early in 2014. This groundbreaking piece of legislation is meant “to assure that consumers are offered and receive residential mortgage loans on terms that reasonably reflect their ability to repay the loans and that are understandable, and not unfair, deceptive or abusive,” according to its creators.
A provision of the Dodd Frank Act assists homeowners who attempted any loss mitigation assistance with their lender, such as a loan modification, short sale or deed in lieu from January 2014 forward. The Lender is required to follow a specific set of rules during the assists’ request and if they failed to follow these rules the homeowner could receive compensation. Common violations during this assistance are lack of correspondence by the lender, denial without the opportunity to appeal and continued legal action such as a foreclosure case during the application and review process of the assistance.
Part of this legislation’s mission is to amend both the Truth-in-Lending Act (“TILA”) and the Real Estate Settlement Procedures Act (“RESPA”). The Dodd-Frank Act requires that a lender in a residential owner-financed transaction must determine at the time credit is extended that the buyer/borrower has a “reasonable” ability to repay the loan. If the lender did not properly investigate your credit worthiness, your lender could be subject to fines and other penalties.
Therefore, if you have entered into a mortgage contract since the beginning of 2014 and are now facing foreclosure, bankruptcy, or some other form of financial distress that is threatening your property, then you need to seek out a knowledgeable defense lawyer to discuss all of the legal options you have available to you.
At Korte & Wortman we have attorneys who are well versed in the Frank-Dodd Act mortgage reform legislation that was enacted in 2014. We have already been able to help clients navigate this legislation to get the money they deserve from lenders who have tried to take advantage of them in the form of fees, hidden charges and other predatory lending practices.
Our South Florida firm is one of the few in the state that handles cases involving legislation in the new Mortgage Reform and Anti-Predatory Lending Act.
Contact the Law Office of Korte & Wortman, PA, for foreclosure prevention or defense against and lender who may have violated your rights under the rules of the Mortgage Reform and Anti-Predatory Lending Act throughout the State of Florida. We can help YOU!