Reverse Mortgage Guide

The Wall Street Journal has an interesting story regarding mortgage applications — and what happens to them in too many cases.

At first it may not seem like a big deal, but it turns out that mortgage applications are sometimes dumped like so much cat litter. Not shreded, just dumped.

Is there a problem with this? According to Dumped Mortgage Files Invite Identity Theft, you bet there is.

First, dumpster-diving scam artists can retreive all the information they need to steal your identity.

Second, information that may be needed to prove alleged acts of mortgage fraud by lenders is being lost.

Be smart: When you apply for a loan — whether a reverse mortgage or a forward loan — make sure you have copies of your signed loan application and all paperwork from the lender, especially the good faith estimate of closing costs and the truth-in-lending statement. If there are allegations of borrowers being ripped off, tax questions or estate matters then such paperwork may prove to be enormously valuable.

This entry was posted on Monday, October 29th, 2007 at 2:25 pm and is filed under Reverse Mortgage . You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.