Since the real estate market has caused the economy to slump, it has come to the attention of some that many lenders have been acting unethically and are guilty of mortgage mis selling/mis sold mortgages. This is considered to be the case where they have approved loans when the client did not have the sufficient repayment ability to justify the amount of the loan. This has been happening for years and now there is recourse for the victims of this practice.
So what exactly is a mis sold mortgage anyway? Well technically, it is a loan whereby the applicant did not have the appropriate means to be able to repay the amount they were approved for and given. This has happened with many lenders who have not undertaken objective assessments of individual’s loan applications.
If you have a feeling that you may have been a victim of such unethical lending practices, then you may be able to make a compensation claim. In many instances the claims that are upheld result in large payouts to the applicants.
The first step in the process is to work out whether you have actually been sold one of these types of loans. There are several different aspects that are considered when trying to determine the validity of the loan and whether or not you may have a case. The key to working out whether your loan was appropriate or not is whether the broker complied with the regulations that exist in the industry when presenting and processing the application.
If you are making your case, then it will be pinned on the kind of advice that you were given about the mortgage, which loan products were presented to you and what explanation of the interest rates was given.
Working through the claims process is quite complex and as a result it is best to entrust it to those who work in this capacity on a regular basis. There are claims management agencies that are able to handle your claim process for you and maximize your chances of having the claim upheld. These companies will generally operate on a no win, no fee basis, which means that you will not be landed with large legal fees if your claim does not results in a pay out.
When you entrust a law firm to look into your claim for you, they will start investigating to see if they can find any relevant information in relation to the loan application and how it was presented to you. This can be a lengthy process, so you should count on the time being about two to three months.
Since many lenders have been operating unethically, there is now recourse available to the people who were unfairly dealt with regard their loans. If you think you may have been the victim of mortgage mis selling/mis sold mortgages, then you should approach a claim company to help assess if you have a case.