| Refinancing your mortgage can save you money, | | | | Beware Arbitration Clauses |
| if you aren't taken advantage of by your new | | | | Never accept a mortgage contract that includes |
| lender. Most mortgage lenders operate an honest | | | | an arbitration clause. Arbitration means that you |
| business; however, there are a number of | | | | agree not to take any form of legal action against |
| mortgage lenders that place profits before | | | | the lender. If a problem with your loan arises, you |
| honesty. These dirty lenders will cost you | | | | will be forced to settle the dispute with a third |
| thousands of dollars in excessive fees and could | | | | party arbitrator, forfeiting many of your legal |
| even take your home. Here are several signs to | | | | rights. Lenders do this because they know the |
| help you recognize a dishonest mortgage lender | | | | arbitration clause allows them to side-step many |
| or broker. | | | | of the laws protecting homeowners. |
| Homeownership is an expensive endeavor. For | | | | Excessive Fees & Interest Rates |
| most people their homes are the single largest | | | | Advantageous mortgage lenders are notorious for |
| purchase they make. Managing your finances is | | | | charging excessive fees and interest rates. The |
| stressful enough when it comes to mortgage | | | | best way to avoid paying too much for your new |
| loans; if you refinance with a dishonest lender | | | | mortgage is to comparison shop from a variety |
| your dream of homeownership can quickly | | | | of lenders and brokers. Comparison shopping will |
| become a mortgage nightmare. | | | | allow you to recognize fair fees and rates for a |
| Beware Prepayment Penalties | | | | borrower in your financial situation; when you do |
| One way to spot a dishonest or "predatory" | | | | this it will be easy to spot lender that are |
| lender is by their use of prepayment penalties. | | | | overcharging their customers. |
| Dishonest lenders include excessive and unrealistic | | | | You can learn more about your mortgage refi |
| penalties in their loan contracts. The penalty | | | | options, including common homeowner mistakes |
| serves to discourage you from refinancing the | | | | to avoid by registering for a free mortgage |
| loan. | | | | eBook. |