Mortgage Loan

What is the name of your state? California

I have a second Mortgage (15 year) $16,400 loan. It was taken out in late 1980's at 12.25% Interest. My payments are $182.44. my loan papers clerarly state "This loan does not have a ballon payment feature" and also sets my payments of 180 payments at $182.44 per month. Using a mortgage calculator for a loan of $16,400 at 12.25% monthly payments should have been $199. I now have a residual balance due at the end of the loan of approx. $8,300. I have written the loan company (GMAC) and the only thing they respond to is that it is a simple interest loan and the interest is calculated daily. Since my loan states that it is not a balloon loan, and the current payments would obvioulsy leave a residual balance, do I have any rights? Can I sue them! (I have made many attempts to clear this and they will not acknowledge the payment descrepancy that is causing the residual balance).

[HomeGuru]

[quote]Originally posted by kamilah
[b]What is the name of your state? California

I have a second Mortgage (15 year) $16,400 loan. It was taken out in late 1980's at 12.25% Interest. My payments are $182.44. my loan papers clerarly state "This loan does not have a ballon payment feature" and also sets my payments of 180 payments at $182.44 per month. Using a mortgage calculator for a loan of $16,400 at 12.25% monthly payments should have been $199. I now have a residual balance due at the end of the loan of approx. $8,300. I have written the loan company (GMAC) and the only thing they respond to is that it is a simple interest loan and the interest is calculated daily. Since my loan states that it is not a balloon loan, and the current payments would obvioulsy leave a residual balance, do I have any rights? Can I sue them! (I have made many attempts to clear this and they will not acknowledge the payment descrepancy that is causing the residual balance).

**A: something is not right.
The loan is not fully amortized. Consult a CPA or attorney that speciaizes in mortgage loans to run the numbers, review your documents and advise you.