Courtesy of HUD (the US Dept. of Housing and Urban Development) here are 11 tips on being a smart consumer when it comes to avoiding loan fraud.

Predatory lenders take many forms and prey on people at all stages of homeownership. They cheat new homeowners by selling property for more than it's worth using false appraisals. They coach borrowers to lie about their financial information in order to get a loan approval, and they knowingly lend borrowers more than they can afford to pay before selling the loan to a third party.

They target existing homeowners with cash-out refinance offers when the homeowners are vulnerable because of medical problems or unemployment. They also strip homeowners' equity by getting them to refinance repeatedly even though it only benefits the predatory lender.

Finally, they show up when foreclosure is imminent and make false promises and high-pressure sales tactics to take advantage of those desperate to save their homes.

Springboard is committed to helping people avoid becoming victims of predatory lenders. As a HUD-Approved housing counseling agency, we are proud to be a part of HUD's "Keep Your Home, Know Your Loan" campaign, and we offer these 11 tips for being a smart consumer, courtesy of the U.S. Department of Housing and Urban Development: