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Company Loan Type APR Est. Pmt.

Is this Mortgage Co. doing shady work?

Posted on: 30th Aug, 2008 05:49 am
My friends mortgage payment has increased over $200.00 in 2 months. She called the mortgage Co. (out of Cal.) and was put on hold for 45 min. and then disconected. We think something is fishy here, What can she do?
Welcome Shellyander,

I suppose you should call up the mortgage company again and enquire about the payment increase. Are you having an ARM? I'm asking this because ARMs do go through rate adjustment. So, probably the company has raised the interest rate and hence the payments.
Posted on: 01st Sep, 2008 01:32 am
She should pull out her loan documents and read her Note and Deed to understand her loan terms. She most likely has an adjustable rate mortgage. The lender can not arbitrarily change her rate. They are required by law to give her at least thirty days' notice in writing before the rate change, so she should probably open any mail from her lender and not assume it's a solicitation and just throw it away before reading it.
Posted on: 01st Sep, 2008 09:08 pm
Sounds like a adjustable rate mortgage on a monthly index?
Look for the original note and see how it is written
Good Luck
Brian
Posted on: 01st Sep, 2008 10:32 pm
yeah CA broker, this could be the case. may be she has by mistake deleted any such mail on rate change sent by the lender.
Posted on: 02nd Sep, 2008 12:29 am
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