It is essential for you to know about mortgage laws if you planning for mortgage loan. Mortgage laws govern by the mortgage lending process. These mortgage laws protects mortgage borrowers from discrepancy. These mortgage laws are designed to suits the property buyers to takeout mortgage loans. It is very much important for you to have the knowledge of mortgage laws because you are potential buyer and these laws help you to understand the mortgage lending process in a suitable way.
Below are some useful mortgage laws for you :
1. Truth Act in Lending :
This law comes into effect on 1968 and it is designed to help creditors while they do credit transactions. According to this law the consumer have to be give the terms of full disclosure and cost of credit. This act has made in such a way that it gives every customer who needs credit, proper information regarding the cost of such credit.
2. Home Mortgage Disclosure Act :
This act was comes into effect on 1975 and according to this law the lenders have to report public loan data weather if it is approved or refused.
3. Real Estate Settlement Procedures Act :
This is another consumer protection law according to which the borrowers have the legal right to get some disclosures from the lenders. The borrowers are to get the Good Faith Estimate from the lenders.