On every standard Mortgage application it asks a question
From form 1003 mortgage application
"d. Are you a party to a lawsuit?"
Wonder how AR answered that one on his loan application for his second mortgage .
IX. ACKNOWLEDGEMENT AND AGREEMENT
If you answer “yes” to any questions a through i, please Borrower Co-Borrower
use continuation sheet for explanation. Yes No Yes No
a. Are there any outstanding judgments against you?
b. Have you been declared bankrupt within the last 7 years?
c. Have you had property foreclosed upon or given title or deed in lieu
thereof in the last 7 years?
d. Are you a party to a lawsuit?
e. Have you directly or indirectly been obligated on any loan which resulted in foreclosure , transfer of title in lieu of foreclosure,
or judgment? (This would include such loans as home mortgage loans. SBA loans, home improvement loans,
educational loans, manufactured (mobile) home loans, any mortgage, financial obligation, bond, or loan guarantee.
If “Yes,” provide details, including date, name and address of Lender, FHA or VA case
number, if any, and reasons for the action.)
f. Are you presently delinquent or in default on any Federal debt or any other loan,
mortgage, financial obligation, bond, or loan guarantee? If “Yes,” give details as
described in the preceding question.
g. Are you obligated to pay alimony, child support, or separate maintenance?
h. Is any part of the down payment borrowed?
i. Are you a co-maker or endorser on a note?
j. Are you a U.S. citizen?
k. Are you a permanent resident alien?
l. Do you intend to occupy the property as your primary residence?
If “Yes,” complete question m below.
m. Have you had an ownership interest in a property in the last three years?
(1) What type of property did you own-principal residence (PR),
second home (SH), or investment property (IP)?
(2) How did you hold title to the home-solely by yourself (S), jointly with
your spouse (SP), or jointly with another person (O)?
Each of the undersigned specifically represents to Lender and to Lender’s actual or potential agents, brokers, processors, attorneys, insurers, servicers, successors and assigns and agrees and acknowledges
that: (1) the information provided in this application is true and correct as of the date set forth opposite my signature and that any intentional or negligent misrepresentation of this information contained in this
application may result in civil liability, including monetary damages, to any person who may suffer any loss due to reliance upon any misrepresentation that I have made on this application, and/or in criminal
penalties including, but not limited to, fine or imprisonment or both under the provisions of Title 18, United States Code, Sec. 1001, et seq.; (2) the loan requested pursuant to this application (the “Loan”) will be
secured by a mortgage or deed of trust on the property described in this application; (3) the property will not be used for any illegal or prohibited purpose or use; (4) all statements made in this application are
made for the purpose of obtaining a residential mortgage loan; (5) the property will be occupied as indicated in this application; (6) the Lender, its servicers, successors or assigns may retain the original and/or
an electronic record of this application, whether or not the Loan is approved; (7) the Lender and its agents, brokers, insurers, servicers, successors, and assigns may continuously rely on the information contained
in the application, and I am obligated to amend and/or supplement the information provided in this application if any of the material facts that I have represented herein should change prior to closing of
the Loan; (8) in the event that my payments on the Loan become delinquent, the Lender, its servicers, successors or assigns may, in addition to any other rights and remedies that it may have relating to such
delinquency, report my name and account information to one or more consumer reporting agencies; (9) ownership of the Loan and/or administration of the Loan account may be transferred with such notice as
may be required by law; (10) neither Lender nor its agents, brokers, insurers, servicers, successors or assigns has made any representation or warranty, express or implied, to me regarding the property or the
condition or value of the property; and (11) my transmission of this application as an “electronic record” containing my “electronic signature,” as those terms are defined in applicable federal and/or state laws
(excluding audio and video recordings), or my facsimile transmission of this application containing a facsimile of my signature, shall be as effective, enforceable and valid as if a paper version of this application
were delivered containing my original written signature.
Acknowledgement: Each of the undersigned hereby acknowledges that any owner of the Loan, its servicers, successors and assigns, may verify or reverify any information contained in this application or obtain
any information or data relating to the Loan, for any legitimate business purpose through any source, including a source named in this application or a consumer reporting agency.
