Lender Liability Litigation
Consumers and borrowers should be able to trust that their bank will treat them fairly. Unfortunately, in the real world, this does not always occur. Although loan originators — including mortgage services provider — have a duty to use good faith lending practices, large banks and large financial institutions sometimes fail to live up to their legal obligations. Borrowers who have been wronged may be able to hold their bank legally responsible for their damages through a lender liability claim.
Rachel E. Khirallahis an experienced, aggressive Dallas, TX lender liability lawyer. Ms. Khirallah is committed to fighting for the legal rights and financial interests of borrowers and consumers who have been treated unfairly by financial institutions.
Our law firm frequently handles a wide range of mortgage-related issues, including wrongful foreclosure claims. To get immediate help with your lender liability case, please contact our Dallas law office for a free consultation.
Make Sure You Understand the Terms of Your Loan
As a borrower, it is crucial that you understand the terms of your loan. The bigger the lending agreement, the more important it is to conduct a careful and thorough review of the specific terms. All lending agreements, including mortgages, should contain certain key details that provide information that is central to the loan. Among other things, this includes:
- The identities of all parties to the contract;
- Basic personal information, including addresses;
- The amount of the loan;
- The repayment terms of the loan;
- The length of the agreement;
- Other specific terms; and
- Any precedent conditions.
Notably, the loan documents put legal obligations on both parties. As all borrowers and consumers are well aware, banks and financial institutions will take action against you if you default on the terms of the agreement. Indeed, these companies are highly aggressive — falling slightly behind on a loan can lead to major problems.
At the same time, lenders have legal duties as well. If a lender fails to treat you fairly or violates any of the terms of the agreement, you may be able to hold them accountable through a lender liability lawsuit.
Lender Liability Claims in Texas
Lenders are required to abide by the terms of the contract they signed and they are required to comply with any applicable state or federal regulations. Should they fail to follow through, a lender liability claim may advisable. Our lender liability attorney has experience handling a wide range of lawsuits against banks. Some common examples of lender liability claims include:
- Breach of Contract: When lenders sue borrowers for defaulting on a mortgage or on a personal loan, they are bringing a breach of contract claim. These claims do not only go in one direction. Indeed, breach of contract is one of the core lender liability claims. If you believe that a bank failed to abide by the terms of your loan or mortgage, you should contact a Texas lender liability attorney immediately.
- Breach of Fiduciary Duty: In some cases, lenders also owe additional obligations to borrowers. Your lender may even owe you a fiduciary duty. A fiduciary duty is a legal responsibility to act in the best interests of another party. Breach of fiduciary duty claims against lenders are complex, but they may be appropriate in some situations.
- Fraud/Misrepresentation: Lenders are selling and marketing financial services. In doing so, these companies have a basic obligation to provide consumers with accurate, reasonably complete information. If a lender materially misrepresents the terms of a loan or a mortgage, or if they engage in outright fraud, they can be held responsible through a civil lender liability lawsuit.
- Bad Faith Lending Practices: Finally, all mortgage lenders have a duty to use good faith lending practices — complying with Texas state law and all relevant federal regulations. If you were pushed into foreclosure or otherwise suffered financial losses as a result of the bad faith action of a bank or financial institution, you should contact a Dallas, TX lender liability attorney right away.
How Our Dallas, TX Banking Lawyer Can Help
Rachel E. Khirallah is a skilled banking attorney. She has the legal knowledge and industry experience needed to effectively represent borrowers in the full range of lender liability claims.
Whether you took out a mortgage, a personal loan, a small business loan, or got involved in any other type of lending arrangement, our law firm is here to protect your rights. We fight tirelessly to make sure that the big banks and large mortgage servicing companies treat borrowers fairly.
Banks have considerable power and a deep pool of financial resources at their disposal. Unfortunately, this means that the playing field is not always level — far from it. While borrowers and consumers have important legal protections under both state and federal law, it can often be difficult for individuals to know exactly what steps to take when going up against a bank. Our law firm can help.
With lender liability claims, there are often strict statutes of limitations. It is crucial that you act quickly to protect yourself. You do not want to miss out on your ability to pursue legal action against a bad-acting lender. When you reach out to our legal team, we will immediately conduct an in depth investigation into your case.
Our Texas banking lawyer will take the time to understand your unique situation and help you assess your rights and your options. If you were treated unfairly, we are prepared to take legal action to hold the lender accountable.
Contact Our Texas Lender Liability Attorney Today
At Khirallah PLLC, we fight for the rights of borrowers and homeowners in Texas. Banks and other large financial institutions have a duty to treat consumers fairly.
If you believe that you or your family member was taken advantage of by a bank, Rachel E. Khirallah is here to help. To set up a free, no obligation of your lender liability claim, please do not hesitate to contact us today.