 | 
06-13-2006, 05:51 PM
| | Junior Member | | Join Date: Sep 2005
Posts: 3
| | | Broker changed interest rate
What is the name of your state? PA
We are set to settle on my house next fri 6/24, or so we thought. We had signed a disclosure package from our mortgage broker stating that our interest rates would be 6.5 and 7.75 for our 80/15 loan and I thought we were good to go.
Today I received an email stating that our 2nd loan has been raised from 7.75 to 8% because our broker couldn't verify enough assets. I remembered that we didn't report our 401k in our application so I brought this up with her. She said it wouldn't matter anyway because rates went up and it doesn't make a significant difference.
Can our interest rate to just raise like that prior to closing even if we signed a disclosure with a lower rate?What is the name of your state? |
06-16-2006, 03:06 PM
| | Member | | Join Date: Feb 2002
Posts: 435
| | | If you do not have a written rate lock contract, then you are floating until closing. (ie, subject to daily changes in the interest rate until closing) Rate locks are usually good for a specified amount of time and in many cases, the lender will charge a rate lock fee. |
06-16-2006, 09:46 PM
| | Member | | Join Date: Feb 2005 Location: Elgin, IL USA
Posts: 933
| | | I know that an IRA cannot be used as collateral for a loan and I doubt if a 401k could be either, since those are protected from creditors. So retirement accounts would not even be a consideration.
Until you get approved and unless you get a rate lock or close, the rate is subject to change. | |
Currently Active Users Viewing This Thread: 1 (0 members and 1 guests) | | | | Thread Tools | | | | Display Modes | Rate This Thread |  Linear Mode | | 
Posting Rules
| You may not post new threads You may not post replies You may not post attachments You may not edit your posts
HTML code is Off | | | |
|
All times are GMT -5. The time now is 03:50 PM.
