Refinanced Home and Mortgage Co. sold my loan to another comany

[scarlettoo]

What is the name of your state? California

Hi,

I live in Ca. and approximately a 45 days ago I refinanced my home thru a mortgage broker. After signing the loan papers I received a letter from the mortgage company stating that they have sold my loan to another mortgage company and that my interest rate has gone up 1 point from what I signed for. And the new company took 15 days to send me a certified letter informing me that they have bought my loan from the original company. I was locked into the orginal interest rate for 3 years and the new companies letter they sent stated that the interest rate from the original loan company was incorrect and made it a point higher. They said in the letter that we could refinance with them but gave us a time limit to respond to this offer but the letter got to us 1 day before the deadline. Is this legal? If is is illegal do you know if this is going on a lot in California? Also, can you give me advise on how to handle this...

Thank You for your time

Much Appreciation

 

[Tankerwife]

Selling and purchasing loans is all part of the mortgage servicing business. Yes it is legal to sell your loan.

Send a letter to the Research department, by certifiied mail. Your request should include any documentation, like your Mortgage, Note or Deed of Trust that shows the lower interest rate.

The Research Dept. will pull the original doc's and verify the interest rate. If they find they are in error, they will correct it. If they are correct, they should send you a copy of the documenation showing the higher interest rate.