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mortgage company threatening to reverse refinance

Posted on: 04th Dec, 2012 06:29 am
we were refinancing our home in oct. we were told that due to fha rules we can only refinance after 1 year completion so they were refinancing only in nov26. all the documents were submitted in oct. however i changed jobs on nov 2nd week and forgot to mention this to the finance company. now on 21st nov we got a request to provide offer letter, paystub and employer details. we provided everything but the paystub since i had not been paid yet.

they went ahead with the process even after my employer explained to the underwriter that i will be getting paid sometime in dec only. this was before doc signing on nov 26. after docs were signed and money was transferred, i got a request for paystub. when i mentioned that i cannot produce it and that i have not been paid yet, they started the process of reversing the funding.

what are my options since i do not want to lose my home. according to their call, i will have 7 days to pay bank of america the money since they will not be paying the sum.
Hi newbiehomeowner,

The lender has the rights to reverse the funds. It will be better if you could convince the lender about your situation. If you can't do so, then you will have to return the money.

Thanks
Posted on: 04th Dec, 2012 06:51 pm
Hi newbiehomeowner!

Welcome to forums!

You're in a tough situation. Unless you can provide the lender with the pay stubs, things will be difficult for you and you may have to reverse the funds.

Feel free to ask if you've further queries.

Sussane
Posted on: 05th Dec, 2012 07:44 pm
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