- Report: #93603
Complaint Review: Ameriquest Mortgage - Fairfield California
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Ameriquest Mortgage
1455 Oliver Road, #210 Fairfield, 94534 California, U.S.A.
Phone:
707-434-9755
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Ameriquest Mortgagw Deceptive loan practices/appraisal problems Fairfield California
My husband and I were looking to refinance our home loan. Credit scores are in mid 500's so I know we won't get a good rate. Ameriquest offered us a rate of 7.25 which I thought was alright under the circumstances. I knew there was a three-year pre-payment penalty.
The agent wanted to do the appraisal right away, this was Friday and our appraisal happened on Monday. We signed the papers the same day with a notary we met in a restaurant (not preferred), based on an anticipated appraisal of $156,000.
Our 7-day waiting period ended on Sunday, 5/30/04. Called agent on Tuesday, 6/1 and he said everything was looking OK, they didn't have the appraisal back yet but had a "verbal" of $156,000 so it should be fine. Even asked me to fax him our bank information so they could wire us the cash out amount ($12,000) on Thursday 6/3/04.
Later on Tuesday, he calls me and says that the "appraisal came in less than anticipated ($150,000) so he gave me the choice of getting less cash out or increasing the interest rate slightly in order to get the same amount of cash out because the loan to value ratio would go up from 75% to 78%, which made a $28 difference in our payment. I just wanted it overwith so I said fine, do the higher payment.
Later on Wednesday 6/2 he tells me that there is a problem with the appraisal,apparently the appraiser was not on the "Mercury" system they use and therefore it is possibly invalid for the purpose of the loan, he will have to check with his branch manager to see if they can "override" to make the appraisal go through anyway.
Today Thursday 6/3 he tells me that the appraisal cannot be used and that another appraiser will have to come to our house and we will start the whole process all over again!
It seems strange to me that the whole loan was written up and signed before the appraisal ever came in. Being new to this, I didn't know what to expect.
I want to back out completely now, but I am wondering what the risks are and will they try to "get back at me" now that they have all this information about me and the previous loan papers signed? They can't count that as a legal contract now, right?
My bills are all screwed up now. I had paid some other stuff off in anticipation of the expected wire to our account and now it's all messed up.
Also, they were supposed to take over taxes and insurance in an escrow account but never asked me for the insurance papers, isn't that wrong? How else would they know who to pay for insurance?
P.S. the fees for this $117,000 loan were $6,258 - $622 for "prepaid items," $2126 for closing costs and $3,510 in "discount points" to buy the interest rate down....??
Laura
Red Bluff, California
U.S.A.
The agent wanted to do the appraisal right away, this was Friday and our appraisal happened on Monday. We signed the papers the same day with a notary we met in a restaurant (not preferred), based on an anticipated appraisal of $156,000.
Our 7-day waiting period ended on Sunday, 5/30/04. Called agent on Tuesday, 6/1 and he said everything was looking OK, they didn't have the appraisal back yet but had a "verbal" of $156,000 so it should be fine. Even asked me to fax him our bank information so they could wire us the cash out amount ($12,000) on Thursday 6/3/04.
Later on Tuesday, he calls me and says that the "appraisal came in less than anticipated ($150,000) so he gave me the choice of getting less cash out or increasing the interest rate slightly in order to get the same amount of cash out because the loan to value ratio would go up from 75% to 78%, which made a $28 difference in our payment. I just wanted it overwith so I said fine, do the higher payment.
Later on Wednesday 6/2 he tells me that there is a problem with the appraisal,apparently the appraiser was not on the "Mercury" system they use and therefore it is possibly invalid for the purpose of the loan, he will have to check with his branch manager to see if they can "override" to make the appraisal go through anyway.
Today Thursday 6/3 he tells me that the appraisal cannot be used and that another appraiser will have to come to our house and we will start the whole process all over again!
It seems strange to me that the whole loan was written up and signed before the appraisal ever came in. Being new to this, I didn't know what to expect.
I want to back out completely now, but I am wondering what the risks are and will they try to "get back at me" now that they have all this information about me and the previous loan papers signed? They can't count that as a legal contract now, right?
My bills are all screwed up now. I had paid some other stuff off in anticipation of the expected wire to our account and now it's all messed up.
Also, they were supposed to take over taxes and insurance in an escrow account but never asked me for the insurance papers, isn't that wrong? How else would they know who to pay for insurance?
P.S. the fees for this $117,000 loan were $6,258 - $622 for "prepaid items," $2126 for closing costs and $3,510 in "discount points" to buy the interest rate down....??
Laura
Red Bluff, California
U.S.A.
2 Updates & Rebuttals
TRACY
NORTH BRANC,Minnesota,
U.S.A.
BACK OUT AND BACK OUT NOW!
#2Consumer Comment
Wed, June 09, 2004
Laura- If you still have the chance to back out, do it now! They should not be giving your a mortgage for a certain amount without knowing the appraisal amount. This is a terrible mortgage company to begin with. If you still have that chance to back out, please do it, or join the rest of us who are stuck in Ameriquest hell.
Liz
Romeoville,Illinois,
U.S.A.
another example of their rush/pressure tactics
#3UPDATE EX-employee responds
Wed, June 09, 2004
I used to work for Ameriquest. The reason why the loan officer had you sign your loan without having the appraisal completed is because May 24th was their last day to sign loans for that month. Either the loan officer needed one more loan to hit the next comission tier or for a signing bonus or he was being pressured by his manager. The last three days of the month there is pressure from the regional manager on down to find one more new deal for the month and get it signed regardless of what you may be waiting on. You still have the right to cancel your loan since ameriquest is has not funded your loan. Until they release the wire to the title company, you still can cancle your loan. Sign your one week right to cancle notice and fax it to the number at the bottom of that page. I would also fax it to the branch as well. Make sure you keep your confirmation. There is other options out there for people in your situation. I hope this is of some help to you. Best of luck.
