The first thing I would do Chris is call my bank and tell them to pound sand for the $500. fee based on the fact that it was never disclosed to you by the loan officer, and that if it had been disclosed. you would never have agreed to pay it. you could also point out to them that extortion is still illegal in this country, and if they attempt to charge the fee to your credit card, it would result in you reporting them to the city attorney's office on the grounds of extortion. This is obviously a ploy to force you to accept their rediculous refinance proposal.
The second thing you should do is contact your credit card companies and advise them of the situation.
Jake
of CA
@
Apr 12, 2009 14:08:02 PM
Re: $500.00 fee
I understand that you are frustrated with what happened to you in regards to getting a $500.00 charge for something you did not order. How awful for you! I feel that you should submit a complaint to the head of the mortgage lending department stating that you did not recieve any of the information that you requested and that you will not pay the $500.00. You may also, I believe, take it up with your credit card company to not pay the bank if you are charged until things are settled. I am not in mortgage lending nor do I claim that I know much about the subject, but my husband is a mortgage lender and I take offense to your blanket statement to all who read this to "never, never trust a mortgage person of any kind". Please do not generalize. You are lumping all mortgage lenders into a category of untrusting individuals when there are lenders who have integrity and are honest, intelligent and trustworthy. My husband has worked hard over the last 15 years to build trust with his customers, many of whom are repeat refinance customers. My husband does not charge this fee, the bank charges the fee. Please reconsider your choice of words for your statement.
Amy
of IN
@
Apr 04, 2009 18:21:46 PM
Lenders take a $500 fee if you do not accept their offer
A Five hundred dollar fee even if you don't take their offer!
I was recently laid off from my part time job and so my husband and I called our lender, First Horizon to inquire about a possible refinance to make adjusting to one income easier to manage. (I do realize how blessed we are to have the one income.)In minutes we were told we would qualify but there were no specific answers available about the actual closing costs. Still we were lead to believe that it would run $2,500 to $3,000 so we asked that they send us the full information. Our lender over nighted a full loan application! But with closing costs written at $6,000 and they did not set up the loan as we had asked at all. We had never signed anything and had only given the loan agent information on the phone. When the loan application came so very quickly and was not written as we expected and with closing costs double what expected, we got spooked and just emailed the loan officer that we were not going to do a re-fi right now but maybe later. I received a letter from our lender, First Horizon stating that they are going to bill our credit card company $500 dollars because we did not go through with their offer! This is supposedly legal because deep in the last pages of the loan application is a statement saying that by law the lender can charge this fee. I could maybe understand a $50.00 fee for the paper work as long as the lender warns you up front that you will be charged that fee. But $500.00 is outlandish when you have no way of knowing the charge will be made until it is too late. You really need to warn people that just finding out if refinancing will help you is going to cost you $500.00. Lesson here. NEVER, NEVER TRUST A MORTGAGE PERSON OF ANY KIND!
Chris
of TN
@
Mar 26, 2009 13:25:31 PM
lock now or not
I recently locked at 4.875 and paid 3/8 of a point for a one time float option. This allows me to drop my lock once if the rate drops. Either way I pay the 3/8 point. See if your lender offers this, then lock!
Nick
of OR
@
Mar 23, 2009 12:54:59 PM
lenders calling
I got a call from my lender. FHA loan said we can get a streamline FHA at no cost, and 2% less than whawe we financed @ 9 months ago.
Hoe it is as true as he said. 4.75% can't beat that deal
pj
of NY
@
Mar 20, 2009 09:42:25 AM
Somebody is pushing the Banks Buttons
Inquired to my Bank who holds my mortgage this morning. Received a call a short time later from a loan Officer. Long story short:
In the space of 6 Hrs from reading this article I have been approved and locked in at 4.625% 30 Yr. Fixed. I have 60% equity and didn't really need help but got my mortgage lowered two points!
Daughter and Son In Law who are underwater on their mortgage also applied to two banks and were turned down today because of lack of Equity. Both Loan Officers they spoke with were unsure of how the stimulus $ was to be used?????
What the hell is the Bank stimulus for?
Rich Jacobson
of WA
@
Mar 19, 2009 18:17:52 PM
should i locked
my lender just call me today the rate is 5.00%..30 years fixed..i only put 5% for down payment. my closing will be the end of this month. can anyone tell me should i lock it now or wait until next week..anyone??
Henry in Ma
of MA
@
Mar 19, 2009 14:42:17 PM
should i locked
my lender just call me today the rate is 5.00%..30 years fixed..i only put 5% for down payment. my closing will be the end of this month. can anyone tell me should i lock it now or wait until next week..anyone??
Henry in Ma
of MA
@
Mar 19, 2009 14:42:16 PM
I feel like the Jeopardy music is playing...
When the rates dropped in January we met with the banker - they were at 4.5% the day of our meeting, but couldn't be locked because our appraisal hadn't been completed. We've been waiting on rates to drop since. The bank emails me today; the rate is 4.625% It's not worth it to buy the point to 4.5%, but knowing they've been there I can't bring myself to lock, hoping they'll get there again. I'm on edge... What to do??? I hate adult decisions!
Lacie
of OH
@
Mar 19, 2009 11:42:41 AM
15 year re-finance
Good article.
I recently refinanced from a 30 year fixed with 6.75% to a 15 year fixed with 4.5% (no points). My payments will go up $165 and I'll have it payed off in half the time. Its crappy to be in an economy like this right now, but there are good things to take advantage of if you have a steady job.
Jake of CA @ Apr 12, 2009 14:08:02 PM
Amy of IN @ Apr 04, 2009 18:21:46 PM
Chris of TN @ Mar 26, 2009 13:25:31 PM
Nick of OR @ Mar 23, 2009 12:54:59 PM
pj of NY @ Mar 20, 2009 09:42:25 AM
Rich Jacobson of WA @ Mar 19, 2009 18:17:52 PM
Henry in Ma of MA @ Mar 19, 2009 14:42:17 PM
Henry in Ma of MA @ Mar 19, 2009 14:42:16 PM
Lacie of OH @ Mar 19, 2009 11:42:41 AM
TJ of UT @ Mar 19, 2009 00:08:21 AM
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