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Colorado Mortgage Broker

"A federal district court has barred a Colorado-based mortgage broker from making false claims about home mortgage financing services and ordered him to pay consumer redress following Federal Trade Commission charges that he violated federal laws. According to the FTC, the defendant and his company deceptively claimed they could refinance consumers’ mortgages at the lowest available rates at no cost to consumers."

"According to the FTC’s complaint, the defendants told consumers that if they applied for two loans, one at a competitive rate and one at a higher-than-market rate, lenders on the higher-than-market rate loans would pay a premium to the mortgage broker that in turn would be used to pay fees associated with the lower-interest loan. The defendants allegedly claimed that the low-interest loan would then be used to pay the higher-interest loan, leaving the consumer with a low-interest, “no-fee” loan."

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