You will find many lending companies that want your business for your home loan, but the most important thing about getting a home loan is that you find one that works best for you and your current financial situation. You want a loan that will be the best choice for you financially, so it's important to evaluate your current financial situation as well as problem shooting your future financial situation.



You also want to work with a lending company that is interested in your needs, their customer service should be exceptional and their loan rates should be fair.

When searching for a home loan there are many different institutions that offer a multitude of home loan services so it is important to find the loan institution that is best for you, but how do you know who is the best? How do you know who is the most reputable? There are so many questions that are probably running through your mind when looking for the best home loan institution. So where do you begin?

Knowing where you are going to buy a home narrows the field of financial institutions down a whole lot. Start by going through the yellow pages or searching the internet for local lending institutions, then visit the Better Business Bureau and find out what they have to say about each individual company. After you've found a couple whose reputations appear to be outstanding visit their websites to see what sorts of programs they offer and what sorts of loan rates they offer, because in addition to wanting a reputable company, you also want an affordable company.

Based upon your findings, make a couple of appointments with a few different loaning institutions, because the next step is to find a loan officer that is right for you. Make sure that before you get started with the interview process that you ask your home loan officer for their license number. You want to make sure that you are dealing with a licensed loan officer. There are numerous lending and banking licensing agencies out there and each state has their own licensing agencies as well.

According to a 2002 publication from Arizona's Attorney General, you should be on the lookout for predatory lending. These illegal lenders will target the elderly, minorities, and lower income families with less than perfect credit. If you think you have been a victim of predatory lending, or might know of one, contact the Attorney General at 1-602-542-5763.

15 SIGNS OF A PREDATORY LENDER

1.High Interest Rates

2.Excessive Points, Late Charges, Prepayment Penalties

3.Credit Insurance Packing

4.Asset Based Lending

5.Misrepresentations

6.Loan Flipping

7.Multiple Refinancing

8.Balloon Payments

9.High Closing Costs

10.Deceptive Loan Servicing

11."The Home Improvement Loan"

12.Loan Broker Fees

13.Signing Over Your Deed

14.Stop Payment Advice

15.Discrimination

You should also be leary of lenders who:

1.Promise one set of terms when you apply but give you something different to sign without any explanation.

2.Tell you to sign incomplete or blank forms and say that they will just fill it in later.

3.Falsify information on the home loan application. For example, the lender tells you to say that your income is higher than it really is.

4.Pressures you into getting a home loan for more money than you need.

5.Pressures you into making monthly payment you can not afford.

6.Tells you that it is not important to read all of the fine print within the loan papers, or hurries you into signing.

7.Misrepresents the kind of credit you are getting. For example, calling a one-time loan a line of credit.

8.Will not allow you to have copies of the documents you signed.

If any of these things occurs during the loan process. Just say no! I recommend printing this out and keeping it with you when shopping for a home loan officer. The best way to prevent this from happening to you is to become smarter about the lending policies. One great way is to study and know the terms used in the lending industry.

It is important to find an home loan officer that best fits your needs. You should not feel pressured or uncomfortable when speaking to a lender. If you do, it might be your gut telling you that something isn't right. If so, just walk away. Move on to the next lender. They should be willing to work with you to help you find the best loan for you and your situation.