I'm looking for any type of Federal Law that spells out an ethical guideline or code of conduct that every mortgage broker is subject to. and/or a state one (Michigan)Is there an ethical code of conduct that every mortgage broker has to follow?
There are federal regulations about stock transactions but ethics is not necessarily a legal requirement. If they tell you ';this stock is sure to go up'; then that might be unethical but not necessarily illegal since it is only ';advice'; Trust is everything in dealing with money matters.. somehow you have to deal with someone who will treat you honestly.
If they intend to cheat you then all the ethics will not stop them and the laws will only make it more difficult for them. Lots of luck...Is there an ethical code of conduct that every mortgage broker has to follow?
Ethics wise I don't think so, but there are a set of disclosure documents which they have to give you when your applying for a mortgage. One of which is a truth in lending form. These tell you what you are applying for, the locked in rate and points, approx monthly payment things like that.
These days you should only look at 2 types of mortgages, Fixed if you are staying a while. Adjustable if you KNOW you are only staying for a certain number of years. I stick with 30 fixed.
laws don;t specify ethics, professional organizations do.
google is your friend.
There is, but they don't follow it.
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