A Forensic Loan Audit has one purpose: To find errors in your mortgage documents. These errors (if serious enough) may be used against your lender to force a change in the terms of your loan. CAUTION: To enforce the correction of these errors may require a lawyer and a lawsuit.
We believe that Forensic Audits can be an effective tool to use for an uncooperative lender during the loan modification process. IF the audit finds serious errors, these errors may give the homowner leverage for their negotiations.
Violations of federal and state consumer protection laws relating to mortgage lending may enable the borrower to rescind (effectively cancel) the loan, serve to block a foreclosure, or may entitle the borrower to refunds or monetary damages.
In cases where the borrower cannot show hardship, has no equity in the home, or does not have sufficient income to support a modified loan, the forensic loan audit is the only means besides bankruptcy of blocking foreclosure proceedings or compelling the lender to agree to new loan terms.
Effective Forensic audits are important to gaining the attention of the loss mitigation departments of the major lenders and servicers. It demonstrates to the lender and servicer that the borrower is being represented by a competent professional, that negotiations should proceed promptly and that it is in all parties' interests to reach a win-win resolution.
