Diverting the Worries of Home Loan Financing
The top loan considerations for consumers entail: avoiding
predatory lenders, worrying about the passage of the
loan application and securing the lowest interest rate.
Are there other considerations a loan shopper should
be weary of in their loan decision? Aside from comparing
the fees and charges detailed on ‘The Truth in
Lending’ disclosure, are there any other considerations
a mortgage loan shopper should focus on?
Are there any long-term consequences a consumer should
be concerned while shopping for the perfect mortgage
loan? If you’re of the type of consumer who does
not want to be hit with any unexpected mortgage loan
circumstances, the answers are yes, yes and yes.
Reading all the details in regular and fine print
is another critical aspect of making an optimal mortgage
loan decision. All mortgage loan information, regardless
of how it impacts the financing of a mortgage is equivocally
critical. As ‘The Truth in Lending’ disclosure
details there are other considerations, aside from one’s
credit standing, that, though informative and pertinent,
do NOT impact the cost of acquiring a mortgage loan.
There are a number of other considerations a consumer
should make prior to finalizing their loan decision.
As defined in the Truth In Lending disclosure, it a
consumer has the right to ask about any long-term consequences
that may be associated with a loan. The considerations
include the following mortgage financing features:
• The total sales price of the transaction
• Any down payment
• Prepayment policies or penalties
• Late payment policies or penalties
• Security interests acquired by the lender
• Insurance requirements, including credit life,
accident, loss-of-income, health,
• The lending institution’s assumption policy
In summation, ‘The Truth in Lending’ Act
or as also referred to ‘Regulation Z’ was
devised for the protection-of the American consumer.
It is beneficial for any mortgage loan consumer to familiarize
themselves with ‘Regulation Z’ and know
it like any other mandatory legislation. The informed
consumer is always in a position to make a better, more
informed mortgage loan decision.