PREDATORY LENDERS

Most predatory loan products of the subprime era — the option-only ARMs, liars' loans, interest-only loans and the like — are gone, at least for now. Banks no longer are offering them. But one predatory practice lives on: Lenders don't have to tell you if you deserve a better interest rate than they're offering.

That's why you need to shop! Talk to three lenders, and get them to give you a TIL (Truth in lending) best estimate of your expenses. Then ask for it again before you close!

Shop locally, because a good realtor has some control over local lending practices. He can't steer you to a particular lender (or at least he shouldn't), but he has some clout with those he knows.

As of July 30th of this year, there are some controls coming into place by which lenders are constrained by law to make their Truth in Lending estimates more transparent. But it's up to you to make sure you're getting the best deal available to you. If not, you can always walk away.

Good local lenders are anxious to make good loans. That's how they make money and stay in business. Go see them! Your experienced Tyler Texas real estate agent can help you with transparency issues and save you money.