I was contacted by AmeriCash from a Internet inquiry. They put me with Stu who was licensed in Texas. I gave Stu all the information he requested within 24 hours. Including the fact that I was deferring real estate taxes in Texas legally. I made that point very strongly because I suspected it could be a problem. Over the next few days his office made a couple of requests for additional data which were immediately answered.
Stu referred me to his web site. Stu made over the fact that he had been in business for years and really knew what to do. He insisted I would get a better rate from him rather than some of the other mortgage companies. He held himself out as a real expert on Texas mortages.
His office pulled a credit report which knocked my FICO score down several points
It took his office several weeks to order an appraisal. I paid for the appraisal that his office set up on my personal credit card. I took time to meet the appraiser. The appraiser after several weeks supposedly said they could not complete the appraisal. They ordered another appraisal. This took several more weeks.
Finally after two and a half months I am told that the loan would be going to committee. This is the first time any committee had been mentioned. Supposed to get the answer the next day. A week later I am told that I have to pay the legally deferred taxes at closing. I suggest that we roll the taxes into the loan if they are really going to insist that they be paid. The “committee” refuses to do so and the whole mortgage program comes to a halt. Even with the taxes rolled in it is a 65% Loan to Value mortage.. The equivalent of a 45% down payment. Can’t get much better than that!
I have spent three months. $450.00 dollars for an appraisal I cannot reuse. Hours of my time putting together documents and making myself available for nothing. Had they said “Day One”, that they would insist that I pay the deferred taxes before closing I would have saved time and money. But no, they lead me on until the last minute.
Now of course Stu won’t answer my emails. Wonder what his next scam will be.
Stu Gersh
Costa Mesa,#2REBUTTAL Individual responds
Tue, July 26, 2016
This gentleman also claims that he told me about the unpaid taxes. HE DID NOT. Why would I spend my time and thousands of dollars in underwriting to work on a loan I could not fund?
This material fact was left out and only disclosed to us by his title company near the end of the process. We also discovered that he was declined by another lender. I can only assume that he hoped we would miss his unpaid taxes.
If anyone was scammed, it was my company and me.
Stu Gersh
Costa Mesa,#3REBUTTAL Individual responds
Sat, July 23, 2016
This gentleman applied for a Jumbo mortgage which has very strict guidelines. It must be underwritten by two separate underwriters. There was no way for me to know about the Propery Taxes that he was not paying until we got a title report near closing. He had $71,000 in unpaid property taxes.
Unpaid property taxes are a lien ahead of any mortgage and our underwriters did not feel comfortable making a loan over $500,000 to someone that did not keep their taxes current.
I have been in the mortgage business for over 33 years and have an excellent reputation. Not everyone qualifies for a loan and we believe that we had a very strong reason to deny this loan. Turning down a loan is not a scam.
Still, if this gentleman will contact me, we will make him whole again.