Posted on: 10th Jan, 2007 09:02 pm
my friend had signed a mortgage with the american home mortg around the mid last year. when he was about to sign loan documents, they called up and asked for $5000 more to process the loan. he had initially paid $2500 to the seller a week ago just because he needed some more time to collect the loan amount as ahm could not arrange for closing papers. what more, the good faith estimate given him an estimate of 6-7.5% interest rate but when he closed, the interest rate was 10%. that's a high percentage of difference i believe if you consider the money.
he called up ahm several times but everytime i got to hear that refinance was the only way to get out of this rate. he initially refused but then thinking of his other expenses decided to go for it. since then it has been over 4 months and everytime he asks them for the refinance, they kept him waiting for the approval. what should he do now??do any of you have any advice for him?
he called up ahm several times but everytime i got to hear that refinance was the only way to get out of this rate. he initially refused but then thinking of his other expenses decided to go for it. since then it has been over 4 months and everytime he asks them for the refinance, they kept him waiting for the approval. what should he do now??do any of you have any advice for him?
Hi
did your friend file a complaint with the FTC?
did your friend file a complaint with the FTC?
Hi Justin,
Your friend can complain to the FTC. The authorities will look into the matter and they can come up with severe punishment against the mortgage company.
The companies doing frauds with innocent borrowers should be strictly dealt with so that they cannot continue with such practices.
Thanks,
James.
Your friend can complain to the FTC. The authorities will look into the matter and they can come up with severe punishment against the mortgage company.
The companies doing frauds with innocent borrowers should be strictly dealt with so that they cannot continue with such practices.
Thanks,
James.
File formal complaints with your state's AG, banking and finance department and the FTC. Also file a complaint with HUD. Chances are you aren't the only one who has dealt with this company.
Justin, you can ask your friend to approach a different lender; pay off this present loan with the amount from this new loan. He can get better rates as per the present prevailing rates from a new lender, it is not necessary to refinance the loan with the same lender.
Loan Advisor
Loan Advisor
Justin, AHM has a horrible reputation for this exact reason. A couple of my clients in the past decided to use them, because they were supposedly going to get a better deal. When it came down to it, AHM simply told them something totally different. Your friend needs to talk with a different mortgage professional to see what needs to be done. Please have him give me a call or email me at his earliest convenience.
My family went to AHM to get a mortgage and was presented a mortgage progam. They said they can close in 30 days but you know what happen? Those assholes kept delaying with "docuements" that they needed but didn't ask for it in the beginning. They waited until the LAST minute to ask for these "docuements". Now, after two weeks after the escrow date (we haven't closed yet!) they are telling us that we DON'T qualify for that program and is presenting us with an optional arms which is a really baaaaad deal! I'm currently going with other loan company because these assholes intentionally delayed us so that we would have no choice but to accept a loan that is only beneficial to them! I say refiance with another company. They can't make your friend refinance with them, those asses!
Hi Guest,
Welcome to the forums.
That's really unjustified on the part of the loan company. They shouldn't have promised of an early closing when they know they would ask for the papers later on. They should have a least informed you that they require the documents. I can understand how it feels when one is hoping to qualify for the loan and then suddenly you come to know that you don't.
I support your decision to go with another company because American Home Mortgage is offering you something which is beneficial for them. But they should understand that one cannot do a business by overlooking the benefits of customers.
I hope you have enquired about the services of the other company and the loan program they are going to offer you. Also, ask the company as to what documents they require.
Thanks,
Sara
Welcome to the forums.
That's really unjustified on the part of the loan company. They shouldn't have promised of an early closing when they know they would ask for the papers later on. They should have a least informed you that they require the documents. I can understand how it feels when one is hoping to qualify for the loan and then suddenly you come to know that you don't.
I support your decision to go with another company because American Home Mortgage is offering you something which is beneficial for them. But they should understand that one cannot do a business by overlooking the benefits of customers.
I hope you have enquired about the services of the other company and the loan program they are going to offer you. Also, ask the company as to what documents they require.
Thanks,
Sara