This said, equity stripping
is not recommended because it is illegal.
We are not aggressive and act like private equity stripping
the business from their assets, we believe in management for the long term.
The bill prohibits brokers from financing certain insurance premiums, equity stripping
and loan flipping, and encouraging default.
Even though California has extensive foreclosure equity stripping
laws, the state has minimal laws against predatory lending.
1295 fails to prevent abusive prepayment penalties on subprime loans or equity stripping
for high-cost loan borrowers, said Eakes, who helped draft North Carolina's predatory lending law and, not surprisingly, is a supporter of H.
Among the other specific practices that the guidelines describe as abusive are equity stripping
, fee packing, loan flipping, refinancing of a special subsidized mortgage on terms adverse to the consumer, and encouraging borrowers to violate contracts, thereby defaulting on credit connected with the refinancing of that loan.
Appraisers are being indicted and convicted of participation in fraud transactions that range from bogus sales, to predatory lending, equity stripping
, and mortgage fraud.
For example, they would attack equity stripping
by strengthening the principle-in HOEPA and in the safety and soundness of bank supervision-that home-secured loans should not be made without an individual determination that the borrower can reasonably be expected to repay the loan without resort to the collateral.