Posted on: 30th Dec, 2009 08:17 pm
I bought a house 5 years ago. The loan that I got I was told was a 30 year fixed loan according to my good faith estimate. I was talking to my mortgage company today and I was told that my loan is a Fixed Adjustable rate in which it will be changed from May 2010 to adjustable rate. This is news to me in 5 years. They said that I had signed it on the note page. I do not remember them telling me that my loan is fixed adjustable. From day one I was told it was 30 year fixed according to the good faith estimate they gave me and I was under that impression this whole time. What can I do?
You should check out your mortgage docs in order to know whether such a clause is mentioned in it. If not, then you can dispute the whole issue with your lender. However, if such a clause is mentioned in the mortgage docs, then you will have to abide by it.
I agree, it is possible that the good faith estimate GFE said one thing, but the closing docs may clearly indicate that it is an adjustable rate.
a good faith estimate is a preliminary document. you should never rely solely on that. whatever you signed at the closing is final - if your loan was adjustable, you definitely should have been advised of this. if you signed that note without the advice of legal counsel, that could be a serious mistake. any lawyer worth his salt would have gone over the documents you signed at closing so that you'd understand what you were doing.
what took place at your closing?
what took place at your closing?
and more...it's probably not mortgage fraud, inasmuch as must have signed the appropriate documents. and don't be so alarmed about adjustables - indices are low these days, and the adjustments won't go skyrocketing as you may think they will. go get your documents and read them again, as soon as possible, so that you'll know (with the help of someone else, i hope) what you have.