strive4credit

What the heck is going on?

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I have a mortgage on a property that I am supposedly occupying;) Serviced by Seterus inc, like the fourth entity in charge of this mortgage. 112k balance at 7% not good I know. Had the property for about 8 years. Just found out the terms are 10 years interest only then a higher principle and interest payment after that.

Now here's the deal, Quicken Loans called and mailed me info about a refi. They are being really aggressive trying to get me into the HARP. Their terms are a 4.25% rate for 30 years, slightly lower payment (- $40), $3300 closing cost. My scores are good 741, 762, and 781.

Is it me or is this a "6 in one hand vs. half dozen in the other" scenario.

I am about to fire off a RESPA letter Seterus and do the securitization thing.

What do you think?

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RESPA for sure. The securitization claim is tough. My firm lost a big case based on securitization about two months ago because UCC is always the back up excuse for being able to show ownership of the mortgage.

I have been answering mortgage complaints with denials of ownership of the mortgage lately based on less than proper assignment. We also counterclaim for state and federal misrepresentation based on the fact that the plaintiff is unable to show ownership. It isn't perfect because we constantly get rulings against us (usually by overruled preliminary objections). But it gives us leverage and time. Once we answer and make a jury demand, we then try to stipulate dismissal and modify the mortgage by adding the arrearage into the principal and then reassigning a reasonable interest rate.

What are you trying to accomplish here? At least in the 3rd circuit, securitization claims are dead on arrival.

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I am new to this whole RESPA and securitization thing but the way it was presented to me seemed predatory. Based on their aggressiveness and misqouting the terms of the existing loan I think they are violating some kind of law. And how in the world do you expect me to throw away 8 years of payments!

But I will be sending the existing loan servicer, who claims they don't do refi's, a RESPA letter. My question is: How do I protect my credit when I do this?

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You can send a RESPA letter anytime. Keeping your payments current during the investigation will protect your credit, and the servicer can do nothing about it. Do you have your original mortgage agreement? What terms are in that document?

From the surface, it looks to me like you should seriously entertain refinancing as soon as possible. You say you are 8 years into the mortgage on a ten year interest only option. In two more years the interest only loan becomes a fully amortizing loan, which will mean the payment will rise to include principal payments. Since ten years will have expired, the loan will be a twenty year note, at 7%. The payment difference between your quote at Quicken will be much more apparent.

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Strive4credit, I think amortgageman has an excellent point - and jq26 always has excellent advice.

However, if you do decide to refi - please consider going somewhere else besides Quicken. IME their business model leaves much to be desired, especially in the case of a refi. Their "loan officers" are order takers and not true loan officers with actual mortgage training. They have an inhouse appraisal company that features mainly an automated valuation model that is not favorable to refi's generally. The inhouse appraisal company is actually a separate coporation so it appears to be a third party. I suppose it technically is a third party - but you get the idea. My experience with Quicken through many customers of mine has been that they will promise anything and deliver little. JME.

Go to a mortgage banker to get your refi. Deal with the issue at hand - the looming change in mortgage payment. Besides you can get a much better rate for a shorter term than what you currently have on your mortgage.

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Yeah these mortgages out here, after careful review, are ridiculous. Is this as complicated as I think? My plan of action includes sending out the RESPA letters, some kind of cease and desist letter (I need one), and protecting my credit.

Now who should I go to to refi considering my situation, high DTI. I just want a rate and term refi and/or a reduction in the principal based on the current value. I don't really trust anybody out here anymore especially mortgage brokers.:confused:

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