Investigation Into Improper Charges By Mortgage Lenders And Services For So-Called “Property Inspection Fees”, “Appraisal Fees”, And “Property Preservation Fees”.
Squitieri & Fearon, LLP is investigating claims that mortgage lenders and servicers have improperly charged borrowers for monthly property inspection fees, “Property Preservation Fees” and “Appraisal Fees” without justification, often increasing the amount of debt for struggling homeowners. The charges are unauthorized and violate loan documents, including the mortgage documents.
When a home mortgage borrower gets behind or defaults on mortgage payments, lenders and servicers will automatically charge the borrower for property inspections, even if those inspections never happen or if the inspections are not reasonable, necessary and appropriate. The borrower or servicer automatically charges the borrower fees for property inspections , sometimes called appraisals or Property Preservation Fees. Frequently the borrowers and servicers have a computer program that assesses these fees every month. These fees, in addition to violating the loan documents, often force the borrower further into debt, especially because servicers will apply any payments first to pay off fees and expenses before applying the payment to reduce the outstanding principal and interest on the loan.
If you feel you have been charged improperly by Mortgage Lenders and would like to discuss this further, please contact Stephen J. Fearon, by e-mail at stephen@sfclasslaw.com or by phone at (212) 421-6492.
You can also complete the following form, and someone from the firm will contact you.