Complaint Review: TCRM Commercial Corporation - EUNICE BENNETT - New York New York

WE WERE READY TO CLOSE WITH TCRM COMMERCIAL CORP. AND PAID THE UPFRONT FEE THEY ASKED FOR AND WERE TOLD IT WOULD BE DEDUCTED AT CLOSING FROM THE TOTAL AMT. SHORTLY BEFORE WE WERE TO CLOSE, EVERYTHING CHANGED...AS WE STATED ABOVE...INTEREST RATE INCREased TO 18%, had to open corporation that would cost us another $2500 and the lender would own 90% of the property we were purchasing and we owned 10%...Does this sound odd to anyone? They could sell it right out from under us and their fees were outrgeous....We want our $500 fee back since they changed everything...I have paperwork with all the original fees and nothing on these ridiculous fees to borrow $60,000? Anyone who can tell us how to recoup this ripoff money--pls file a report...Until then, we will continue to keep the reports coming in..We paid the $500 upfront with the intention of closing on the terms specified in the original agreement, not some switch in terms at the last minute with the same lender! T hanks, Nick and Jan in Florida

HI TO ANSWER THE QUESTION ABOUT "eLIOT SPITZER CAN'T DO ANYTHING"...That is what his letter said...I am go ing to resend another letter -- In the mean time...does anyone know if it is legal to chaRge and then keep a $500 application fee if the terms of the loan change (by the lender) and therefore, we backed out...Remember, they wanted to form a corporation where the lender would own 90% of the property and we would own (whoopie) 10% and all this was going to be at 18% interest only..so we said no thank you....They sucked us in at a 12-13% loan, never a mention of a corporation costing $2500...and guess who would be paying that...no way..How do we get our money back? Nick and Jan in Miami

RECEIVED A LETTER FROM ELIOT SPITZER ATTY, GENERAL OF N.Y. STATING HE COULD DO NOTHING ABOUT THE QUESTIONABLE PRACTICES OF TCRM..WHY NOT? isn't that what an atty gen. does? CHECK OUT RIPOFFS?..LAST MINUTE WANTING $2500 TO OPEN A CORPORATION WHERE INVESTOR OWNED 90% OF THE PROPERTY AND WE WOULD OWN 10% SOUNDS KIND OF STRANGE TO US...ALSO, WANT OUR INITIAL $500 PROCESSING FEE BACK...NO ONE KEEPS THAT IN NORMAL SITUATIONS....ANYONE OUT THERE...PLEASE HELP....THANKS, NICK AND JAN SCHKLAIR

TCRM--THANKS MIKE FOR YOUR SUPPORT Saw your response to our "error in judgment" with TCRM...I'm glad it was only $500 that we paid and not more...I've already sent the Atty. Gen of NY and Consumer Fraud Depts. a copy of the letter the attorneys for TCRM sent me demanding I retract my statements, which we have no intention of doing, since it's 100% true. We've checked with several attorneys and they were dumbfounded about forming the corporation...That really sounded fishy...Nothing was ever said about this until the last few days prior to closing ..Circumstances changed regarding fees when we decided we could only buy one lot, not two....That is when the fees came from every direction. It seemed they wanted to make up for the money they weren't making from the loan on the two lots...So the AG is apprised of the latest...will keep you posted...Thanks for your help...

There are only a few circumstances where money up front can be legally required to get a loan. The application fee is allowed because at that point there is no guarantee that you will get the loan. Consumers should refuse to deal with any place that charges an application fee. Legitimate companies want as much business as they can get and will consider applications for free. The appraisal fee has to be the same as what the appraiser charged, and the appraiser has to be an independent third party. "Hard money" lenders may have a lot of other fees, but they have to finance them into the loan. This isn't good for the consumer either, but it is legal. If the company demands the fees before you get the loan money, it is a scam. In the end, there will be no loan. If they really were going to grant the loan, they would pull the fees out of the proceeds. This whole setup with a "corporation" sounds like they are scheming to take the property whether you repay the loan or not. Have a really good lawyer go over it before participating in anything like that. Where you go now is back to the AG and tell them that the company is trying to extort an additional $1390 from you.

APPARENTLY, BECAUSE WE REPORTED TCRM TO BOTH THE N.Y. ATTORNEY GENERAL'S OFFICE AND TO RIPOFFREPORT.COM, THEIR ATTORNEYS ARE NOW INSISTING ON A "2% BREAK UP FEE" OF $1,390.80 AND DEMAND THAT WE RECANT OUR REMARKS AS THEY CONSIDER THEM DEFAMATORY....HOWEVER, WE ONLY STATED THE FACTS CHRONOLOGICALLY-- REPORTING WHAT WE CONSIDER ABUSIVE FEE STRUCTURE...WHICH WERE NEVER INCLUDED IN THE GOOD FAITH ESTIMATE ($2500 to open a corporation to hold the property -- lender owning 90% of the corp.and we 10%!)PLUS, WE CHANGED FROM TWO LOTS TO WANTING TO PURCHASE 1 LOT...NEVER REC'D ANY KIND OF STATEMENT FOR FEES ON THE O NE LOT...THEY WERE MADE UP AS WE WENT ALONG UNTIL A DAY OR TWO PRIOR TO CLOSING, WE WERE HIT WITH THE $2500+ FEES FOR A SMALL LOAN... we are not withdrawing our statements to the N.Y. state atty. generals office nor to Ripoff.com...WHERE DO WE GO FROM HERE?

Received threatening letter from TCRM's attorney because I filed reports with you and the NY State Attorney's office...Don't mind paying fees, but the fees for a small loan like we wanted were outrageous...We lost money on this and at the very end of the near transaction...were hit with (same lender all along) another $2500 fee for opening a corporation...Checked with our attorney who never heard of anything like that where the lender owned 90% of the land and we owned 10%, interest only and had to pay $2500 to open the corp. We backed out and wanted our money back...Now the letter from their atty said we are to retract Ripoff Report report as well as the report to the State Atty General's office--we stated the facts and did not say anything that was not true..Whether the terms changed or not due to the purchase of one lot instead of two does not alter the fact that THEY changed the terms at the last minute when they knew for several months prior to the near closing that we could only purchase the one lot. Does it seem strange that the lender would own 90% of the land and we would own 10% and pay all those fees as well? They also want a 2% fee that would total over $1300 from when we ORIGINALLY signed for the two lots...NO WAY ARE WE PAYING THEM ANOTHER PENNY.....Anyone who is an attorney, please help us out...thanks, Nick and Jan Schklair

I HAVE CLOSED A LOAN APPLICATION WITH TCRM COMMERCIAL CORP AND I HAVE NOTHING TO SAY AGAINST THEM. THEY WERE UPFRONT AND EXPLAINED TO ME WHY I AM GETTING A HARD MONEY RATE. IF YOU HAVE SIGNED A COMMITMENT LETTER, YOU WILL NEVER GET THE APPLICATION FEE THAT YOU HAVE REQUESTED. I THINK THIS IS FAIR ON BEHALF OF TCRM IF THEY HAVE DONE WORK FOR YOUR APPLICATION. WITH APPRAISAL FEE, NO APPRAISER WILL RETURN YOUR MONEY ONCE THE APPRAISAL WORK IS DONE. DID NOT YOU PAY THE APPRAISER DIRECTLY? ALSO, HARD MONEY LENDERS WORK DIFFERENTLY THAN LOCAL BANK. LOCAL BANK EARNS THEIR MONEY THROUGH DEPOSITS, HARD MONEY LENDERS THROUGH INTEREST YIELDS. IF YOUR LOAN SIZE IS SMALL, IT IS EXPECTED FOR THE INTEREST RATE TO GO HIGHER THAN WHAT IS AVERAGE FOR HARD MONEY LENDING. ALSO, THE POINTS WILL GO HIGHER TO COMPENSATE FOR THE MINIMUM LOAN SIZES REQUIRED IN HARD MONEY LENDING. IT WILL NOT BE SURPRISING THAT YOU CAN GET A CHANGE IN THE INTEREST RATE BECAUSE YOU HAVE ALSO CHANGED YOUR LOAN REQUESTS. LEGAL FEES (INCLUDING CORP FORMATION) CAN GO BETWEEN $2500-$5000.00 IN HARD MONEY LENDING. BOTTOM LINE, HARD MONEY LENDING IS NOT FOR EVERYBODY. I AM A BUSINESS MAN AND HARD MONEY LENDING IS FOR ME, BECAUSE I FIND MORE REAL PEOPLE AND REALITY ORIENTED UNDERWRITING WITH HARD MONEY LENDING. EUNICE BENNETT IS GREAT BECAUSE SHE UNDERSTOOD THE BUSINESS AND WILL GO THE LENGTH TO HELP YOU IF THERE IS ANY PROBLEM WITH THE APPLICATION. HOWEVER I THINK, NOBODY CAN PLEASE ANYBODY...

I HAVE CLOSED A LOAN APPLICATION WITH TCRM COMMERCIAL CORP AND I HAVE NOTHING TO SAY AGAINST THEM. THEY WERE UPFRONT AND EXPLAINED TO ME WHY I AM GETTING A HARD MONEY RATE. IF YOU HAVE SIGNED A COMMITMENT LETTER, YOU WILL NEVER GET THE APPLICATION FEE THAT YOU HAVE REQUESTED. I THINK THIS IS FAIR ON BEHALF OF TCRM IF THEY HAVE DONE WORK FOR YOUR APPLICATION. WITH APPRAISAL FEE, NO APPRAISER WILL RETURN YOUR MONEY ONCE THE APPRAISAL WORK IS DONE. DID NOT YOU PAY THE APPRAISER DIRECTLY? ALSO, HARD MONEY LENDERS WORK DIFFERENTLY THAN LOCAL BANK. LOCAL BANK EARNS THEIR MONEY THROUGH DEPOSITS, HARD MONEY LENDERS THROUGH INTEREST YIELDS. IF YOUR LOAN SIZE IS SMALL, IT IS EXPECTED FOR THE INTEREST RATE TO GO HIGHER THAN WHAT IS AVERAGE FOR HARD MONEY LENDING. ALSO, THE POINTS WILL GO HIGHER TO COMPENSATE FOR THE MINIMUM LOAN SIZES REQUIRED IN HARD MONEY LENDING. IT WILL NOT BE SURPRISING THAT YOU CAN GET A CHANGE IN THE INTEREST RATE BECAUSE YOU HAVE ALSO CHANGED YOUR LOAN REQUESTS. LEGAL FEES (INCLUDING CORP FORMATION) CAN GO BETWEEN $2500-$5000.00 IN HARD MONEY LENDING. BOTTOM LINE, HARD MONEY LENDING IS NOT FOR EVERYBODY. I AM A BUSINESS MAN AND HARD MONEY LENDING IS FOR ME, BECAUSE I FIND MORE REAL PEOPLE AND REALITY ORIENTED UNDERWRITING WITH HARD MONEY LENDING. EUNICE BENNETT IS GREAT BECAUSE SHE UNDERSTOOD THE BUSINESS AND WILL GO THE LENGTH TO HELP YOU IF THERE IS ANY PROBLEM WITH THE APPLICATION. HOWEVER I THINK, NOBODY CAN PLEASE ANYBODY...

I HAVE CLOSED A LOAN APPLICATION WITH TCRM COMMERCIAL CORP AND I HAVE NOTHING TO SAY AGAINST THEM. THEY WERE UPFRONT AND EXPLAINED TO ME WHY I AM GETTING A HARD MONEY RATE. IF YOU HAVE SIGNED A COMMITMENT LETTER, YOU WILL NEVER GET THE APPLICATION FEE THAT YOU HAVE REQUESTED. I THINK THIS IS FAIR ON BEHALF OF TCRM IF THEY HAVE DONE WORK FOR YOUR APPLICATION. WITH APPRAISAL FEE, NO APPRAISER WILL RETURN YOUR MONEY ONCE THE APPRAISAL WORK IS DONE. DID NOT YOU PAY THE APPRAISER DIRECTLY? ALSO, HARD MONEY LENDERS WORK DIFFERENTLY THAN LOCAL BANK. LOCAL BANK EARNS THEIR MONEY THROUGH DEPOSITS, HARD MONEY LENDERS THROUGH INTEREST YIELDS. IF YOUR LOAN SIZE IS SMALL, IT IS EXPECTED FOR THE INTEREST RATE TO GO HIGHER THAN WHAT IS AVERAGE FOR HARD MONEY LENDING. ALSO, THE POINTS WILL GO HIGHER TO COMPENSATE FOR THE MINIMUM LOAN SIZES REQUIRED IN HARD MONEY LENDING. IT WILL NOT BE SURPRISING THAT YOU CAN GET A CHANGE IN THE INTEREST RATE BECAUSE YOU HAVE ALSO CHANGED YOUR LOAN REQUESTS. LEGAL FEES (INCLUDING CORP FORMATION) CAN GO BETWEEN $2500-$5000.00 IN HARD MONEY LENDING. BOTTOM LINE, HARD MONEY LENDING IS NOT FOR EVERYBODY. I AM A BUSINESS MAN AND HARD MONEY LENDING IS FOR ME, BECAUSE I FIND MORE REAL PEOPLE AND REALITY ORIENTED UNDERWRITING WITH HARD MONEY LENDING. EUNICE BENNETT IS GREAT BECAUSE SHE UNDERSTOOD THE BUSINESS AND WILL GO THE LENGTH TO HELP YOU IF THERE IS ANY PROBLEM WITH THE APPLICATION. HOWEVER I THINK, NOBODY CAN PLEASE ANYBODY...