Opening today is a new Web site provided by the Mortgage Bankers Association of America, aimed at helping consumers avoid mortgage fraud by predatory lenders. Stopmortgagefraud.com will also include a toll-free number and additional resources for borrowers.
The new site is designed to help educate consumers. "Steve O'Connor, MBA vice president for government affairs, stated "MBA will not allow a few bad actors to discredit the majority of the nation's mortgage bankers who lead the housing industry in fair and honest lending practices and have a history of fighting housing and lending discrimination."
The Web site is "a
cornerstone of the MBA's three-pronged effort to curb predatory lending
practices, by enforcement of existing laws, simplification of the
mortgage lending process and consumer education and counseling," according to O'Connor.
"An educated consumer is the best line of defense," O'Connor said. "That
is what this Web site is about. It speaks to the third prong. We're
responding by helping borrowers."
Included on the Web site is a "Borrower's Bill of Rights," which the MBA
said is an important step in protecting borrowers from lending abuses.
"Borrowers have certain rights under the law. We want them to be on the
watch for certain warning signs," O'Connor said. "There are practices
that in and of themselves might not be predatory, but consumers should
be wary of patterns. If you think you've been victimized, you need to
know where to go. Our site has resources so you know where to go."
The Web site already has the endorsement of more than 100 organizations,
including most of the MBA's affiliated statewide organizations and a
number of lenders, including Bank of America Mortgage, Chase Manhattan
Mortgage, Countrywide Home Loans, Sun Trust Mortgage, Washington Mutual
and Wells Fargo. O'Connor said that MBA members and affiliates can use
materials available from the Web site for their own purposes. "But our
goal is to reach the consumer, so that they're better informed about the
mortgage process," he said.
Other features of the Web site include:
- A toll-free number--1-800-348-3931--that consumers can call to get
additional information and resources.
- A list of "Ten Warning Signs of Predatory Lending." The visitor
answers a series of questions describing certain practices; if the
visitor answers "yes" to several questions, he/she is directed to
contact appropriate state and/or federal agencies.
- A comprehensive list of federal and state agencies that can either
help consumers directly or refer the consumer to appropriate resources.
"We take this matter seriously," O'Connor said. "We've been responsive
in a number of ways. Our goal is to reach the consumer so that they're
better informed about the mortgage process."
Published: March 12, 2002
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