Complaint Review: Option One Mortgage

AVOID THIS COMPANY!
Our misfortune with Option One began in 1998. We had a new home built and our bank recommended Option One Mortgage as a preferred lender for us. This began a very expensive education in playing mortgage 'hard-ball'.

We have had far too many problems with this company to list on a single complaint within this forum.

Several payments made to them in 2000 and 2001 were misapplied. They would apply wrong amounts towards principal and or a different loan payment making it look like we were late on payments and add to the negative credit on our credit report.

Their records show many of my payments did not make it to them on time even when I sent them checks via US postal 2 day priority. They claimed they didnt get that one for over 10 days which is why they had to charge me the additional (not disputable) late fees.

We had a second mortgage/equity line from Option One. When we refinanced with a different lender, Option One caused 3 closings to be cancelled and rescheduled due to their stupid policies like a 10 day written request for loan pay-offs. By the time we got their payoff information, we already owed them another $300.

They call, and they call, and they call .. Saturday .. Sunday .. Holidays... Reminding us we are a day late, reminding us our payment is due now (not in 15 days), reminding us we were late last month (15 days is late to Option One) and they want to make sure we are on-time this month. Then the financial questionnaire that takes over 40 minutes.. on my cell phone during business hours.. How can I get any work done to make the money that they want me to send them?

I just found out two days ago they are foreclosing on our home. I learned about my own foreclosure by the sharks that monitor the courts and local legal news. One of them sent me a letter and included in their letter of how to avoid foreclosure was a copy of the news clipping advertising the foreclosure auction of our home. Thank GOD for the sharks today! I have a full month before the foreclosure. Shouldnt they have sent me a letter or notice in advance?

I called Option One and talked with Rolando. His idea of working things out was to Western Union $22,000. IMMEDIATELY! Our regular payment is about $1,500. per month and we are currently late one payment by about 2 weeks. I offered Rolando $6,000 within 2 days via Western Union. Rolando denied my offer and restated all his threats including stating that Michigan has very fast foreclosures.

I have been told many times by Option One customer service how I should have been more prepared for the economy, and how I should have set aside extra money to make sure my mortgage payment is made even when my customers go out of business and dont pay me. They have told my wife and I that we should neglect all our other responsibilities because cars, and electricity, and gas companies are not as important as the credit scoring from our mortgage company.

I dont why Option One wants to take homes away from small, growing families. My wife and I are self employed, and we have 2 young children (our daughter is 10 and our son will turn 6 the day after our scheduled foreclosure) We are struggling a little, but we have always paid our debts. You would think we are the ideal customer for any financial institution: We have slow periods which make us slow payers, which in turn causes us to have many late fees and higher interest rates. We pay these fees and high rates so we dont get worse credit scores from the same organizations that use these scores to determine our future financial fates and their increased profit margins.

Wouldnt it be more fair to base credit score on positive and negative information? Like all those double and triple payments I made to get caught up? Or even the loans I paid off when I did do well and was so mad at the company I paid them off completely. I think that makes them mad when you pay them off.

Perhaps Option One has found a way to faster and bigger profits via foreclosure. Companies like Option One thrive on your misfortune to increase their profit margins. Their strength in negative credit reporting is in contrast to their inaccurate payment recording and poor business ethics. Did I forget to mention their blatant lack of employee training in customer courtesy, phone etiquette, and manners? Maybe that is how they choose their employees.

Tom
Shelby Township, Michigan
U.S.A.

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