San Diego, CA (1888PressRelease)
November 18, 2008 - An Advance Fee Agreement license has been issued to San Diego based Veritus Funding by the Department of Real Estate in California. The agreement, which allows Veritus Funding to retain a fee to mediate between lenders and borrowers, has been granted at this point to only a small number of companies.
An advance fee is a compensation that a mortgage loan broker or real estate licensee accepts before they perform any duties. With the potential for abuse in the loan modification arena, the Department of Real Estate has stringently regulated advance fees and advertising materials as well. In order for the Real Estate Commissioner to pre-approve advance fee advertising material they must comply with a list of guidelines, including but not limited to; no false, misleading or deceptive representations, the total amount of the advance fee along with the date it should be due and payable, and a definite date for full performance of the services promised under the advance fee agreement. (10 Cal. Code Regs. § 2970.) The Commissioner has ten days from receipt to approve the materials (Cal. Bus. & Prof. Code § 10085).
“The Department of Real Estate has been great,” states Mark Brough, President of Veritus Funding. “They’ve been tough with their guidelines, as they should be.”
Over the course of the previous year, the mortgage crisis has nearly crippled lenders and borrowers alike. The number of homeowners caught up in the foreclosure crisis reached 766,000, up over seventy percent from the same time last year, and an estimated one-third of all properties for sale in the United States will be on the market for the same reason.
“It’s time something was done to protect the lenders and borrowers,” adds Brough.
Veritus Funding’s Loan Modification program is available in all of California. For more information call Veritus Funding at 1(888) 563-5275 or visit Veritus Funding’s website: http://www.veritusfunding.com.
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