How do I identify a predatory lender?

Predatory lenders use deceptive or abusive practices to trap borrowers in unfair loans. Warning signs include: extremely high interest rates or fees not clearly disclosed; pressure to borrow more than you need or can afford; loan flipping (encouraging repeated refinancing to generate fees); mandatory arbitration clauses that strip your legal rights; balloon payments hidden in the fine print; packing loans with unnecessary insurance products; and targeting elderly, minority, or financially desperate borrowers. Always read the full loan documents before signing, compare offers from multiple lenders, and consult a HUD-approved housing counselor for free guidance before taking on a mortgage.