For violations of the truth in lending act what remedies are there besides rescinded foreclosure?

The truth in lending act rescinded foreclosure for many homeowners whose mortgage lenders have violated the Act. The truth in lending act, or TILA, protects consumers such as homeowners know the financial obligations they are accepting when they sign their mortgage lease.  This means that creditors such as mortgage lenders include all the information regarding the loan. Thus, homeowners know how much they will pay each month, the percentage rate and total sale price. However, when lenders violate the TILA, it cause have devastating consequences such as foreclosure (which is the lender’s right to take the home away and sell it). Foreclosure typically happens when homeowners fail to pay their mortgage. In court, homeowners can stop foreclosure when they use the TILA violation as a foreclosure defense.

However, homeowners who are not facing foreclosure but whose mortgage lenders have violated the Act, still have remedies they can pursue. Homeowners can rescind the loan within approximately three days of signing their mortgage loans. Also, homeowners can sue in civil court to recover damages. Damages can include attorney’s fees and courts costs. In addition to civil damages, homeowners can sue for statutory damages.

Remedies for TILA violations are numerous and complex. For instance, the recovery of damages can vary according to homeowners suing individually in or a class action lawsuit. Thus, homeowners wanting to recover damages from mortgage lenders who have violated the TILA should contact a real estate lawyer. The lawyer will inform them of all the remedies available.