Common Sense
Lexington,#2Consumer Suggestion
Wed, August 29, 2007
Your post does not mention what "changed" in your loan with them. Being your post is from almost 3 years old, i doubt you will get this but need to point out a few things for people that might come across this in the future. 1) you are not obligated to close any loan. It is not yours until you sign with the title company/atty and the loan is funded by the lender. If its a refinance, there are 3 business days to change you mind and back out of the deal. 2) If any of the numbers change (IE rate,fees,APR), the lender is required by law to re-disclose these changes at least 3 days prior to close *(or as soon as the change is know IF its less than 3 days). 3) loans are always subject to final approval. if the underwriter of the file does not like something, they can change the terms of the loan. being its their money, they have this right. Just like you have the right to not go through with the process. If, for example, they find a late payment on something that wasnt initially known, this can change the "risk" of the new loan. 4) A classic example on refinances is the amount needed to payoff the existing loan. If there is a pre-payment penalty, this will not be found out by the lender until the loan gets "processed". So from having a loan that allows a little cash back you to becomes your needed to bring money to close OR increase the loan amount wich in turn could change the loan proposal. I wouldnt take much stock in this initial post as it doesnt explain the situation behind the frustration.
Alvin
Maumelle,#3Consumer Comment
Wed, May 30, 2007
I wanted to know exactly what they did. I am in the market for mortgage lenders and I spoke to someone from Colorado Federal Bank and they are trying to get me to let them finance my mortgage. How did they trap you at the last minute? Higher than agreed upon down payment? Closing costs? Interest rate? I need to know this before I attempt to secure a loan from them so I can ask these questions up front. Any help would be greatly appreciated. Thanks,