Of course, one of the best ways to combat lenders who are trying to foreclose on your home is to hire the best legal representation in your area. The next thing you should do is have your attorney check all the laws in your state regarding foreclosure, loss mitigation and past foreclosure court cases to determine the information you will need to supply in order to build a strong defense for your case.
As an experienced foreclosure lawyer, Ahmad Sulaiman has acquainted himself and his clients with the many foreclosure defenses available in Illinois. Here, he shares some valid defenses that can provide a guide if it comes time for you to search for similar laws in your area.
- The Illinois Mortgage Foreclosure Act can be used to highlight defects in the summons of the foreclosure, the complaint issued, and the foreclosure procedure.
- The Illinois Mortgage Rescue Fraud Act protects homeowners from schemes by criminals who are trying to take advantage of people who are financially unstable.
- The Illinois Consumer Fraud and Deceptive Business Practices Act, as well as the Racketeer Influenced and Corrupt Organizations Act are used to combat the lenders and other parties involved who purposely tried to defraud the homeowner.
- Office of Banks and Real Estate Regulations regulates individuals and entities that committed fraud and who are licensed by the state.
- The Illinois Interest Acts investigates if the homeowner’s loan interest rate was outside of the legal guidelines.
- The Illinois Fairness in Lending Act ensures that the loan was not discriminatory in any way.
- The Illinois High Risk Home Loan Act addresses whether the loan was necessary and within legal guidelines.
- Federal Truth in Lending Act addresses whether the proper disclosures were delivered to the homeowner prior to signing any documents.
- Federal Home Ownership Equity Protection Act is a nationwide initiative focused on the validity of the loan, whether it was necessary for the homeowner, and if the interest rates and terms fit within legal guidelines.
- The Federal Real Estate Settlement Procedures Act ensures that the proper disclosure of all fees and costs associated with the loan were received by the homeowner.
- The Federal Equal Credit Opportunity Act was put in place to combat discrimination in the delivery of credit to potential homeowners.
- Federal Bankruptcy Laws ensure that the homeowner is able to use his right to claim bankruptcy if he wishes to prior to foreclosure.
- Federal Fair Debt Collection Practices Act makes sure that the lender followed all regulations when they attempted to collect debt from the homeowner.
As you can see from this extensive list of possible defenses, there is no shortage of ways for you and your attorney to strategize against lenders. And since statistics show that in nearly 70% of all home loans there were some provisions that the homeowner was not made aware of, there is a strong likelihood that one of the above laws were broken. It’s crucial that you stop lenders before they go as far as to take away your home.
This article is for informational purposes only. You should not rely on this article as a legal opinion on any specific facts or circumstances, and you should not act upon this information without seeking professional counsel. Neither publication of this article nor your receipt of this article create an attorney-client relationship.
