The recent financial crisis has shown that FL mortgage lending can be loaded with potential pitfalls for borrowers, and Florida can be a particularly risky state from which to borrow. In fact, Florida ranks fourth among all states and the District of Columbia for the number of mortgage complaints filed from 2011 to March 2015 with the Consumer Financial Protection Bureau. Those findings were reported in July 2015, by the U.S. Public Interest Research Group, an independent organization that works to protect consumers.

  • Trouble Spots: The District of Columbia ranked first, with almost 105 complaints per 100,000 residents, followed by Maryland, New Hampshire, and then Florida. Florida, however, is particularly troubling, because the number of residents (almost 19 million) is greater than the other three areas combined. Florida logged over 15,000 complaints during that period, totaling 82.6 complaints per 100,000 residents. The state with the lowest number of complaints? North Dakota, with a population of just under 700,000, which logged 65 total complaints.
  • Who’s Responsible?: The report also outlined the mortgage companies responsible for the majority of complaints. Bank of America topped the list with more than 31,000 complaints, totaling 22.5 percent of all complaints, followed by Wells Fargo, Ocwen, JPMorgan Chase, Nationstar Mortgage, and Citibank. When adjusted for each company’s share of the mortgage lending market, Ocwen topped the list, followed by Nationstar Mortgage, and Bank of America.

The Consumer Financial Protection Bureau also tracks responses to complaints. Almost 120,000 consumers (86 percent of those who complained) received an explanation from their mortgage companies and almost 10,000 more complaints were closed with non-monetary relief. Almost 5,000 more received monetary relief. In total, 14,734 consumers received some form of relief following their complaints. US Bancorp and Bank of America reported extending the most relief to consumers who complained.

Protect Yourself

When you’re choosing a FL mortgage lender, you should research your lender thoroughly, to make sure you’ll get the best terms and service for your mortgage loan. At Embrace Home Loans, we’re always ready to help you get the mortgage that fits your needs. Please browse our website, or call 407-733-6425 to find out more.

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