Mortgage : Home Loans : Refinance : Home Equity Loans

By Louie Latour

If you are in the process of mortgage refinancing, choosing the wrong lender can be a costly mistake. If you are considering refinancing with a Mortgage Broker, you need to make sure that person is not a Broker Bank. Here is what you need to know about Mortgage Broker Banks to avoid overpaying for your next mortgage loan.

A Broker Bank is simply a bank masquerading as a Mortgage Broker. Broker banks are nearly indistinguishable from traditional Mortgage Brokers except for one important thing. Before signing an agreement you need to ensure that person is actually a Mortgage Broker and not working for a bank. Banks exploit a loophole in disclosure laws are not required to disclose profit margins on their loans.

Banks are exempt from the Real Estate Settlement Procedures Act, which protects borrowers from predatory lending practices in the Untied States. The banking industry spent millions of dollars lobbying to be excluded from this legislation. Banks routinely exploit this loophole to overcharge their customers for mortgage refinancing. Here

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For additional Mortgage Refinancing information
and resources visit Mortgage Refinancing.
(http://www.refinance-refinance.net)
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This entry was posted on Thursday, November 23rd, 2006 at 5:43 am and is filed under Refinance. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.