Mortgage broker/possible forgery of documents

[porcelina68]

What is the name of your state? Indiana

About 2 weeks before I closed on my home (over a year ago), I was scrambling around, getting information for my mortgage broker. This information included letters of credit from my utility companies. I thought everything was ok, because I got approved for the FHA loan.

The other day, I received a copy of a letter from one of my utility companies to HUD, and enclosed was a copy of what they sent back to HUD. I was appalled to see that the information on the copy was different from the actual information, according to the utility company. Since I didn't see these letters, I can only assume that the information was changed by my former rep at the mortgage broker company - who I found out yesterday, no longer works there.

Should I be worried about any of this? I don't want to be held responsible for something that I didn't do. Can they rescind my mortgage loan and take away my house because of this?

 

[HomeGuru]

What is the name of your state? Indiana

About 2 weeks before I closed on my home (over a year ago), I was scrambling around, getting information for my mortgage broker. This information included letters of credit from my utility companies. I thought everything was ok, because I got approved for the FHA loan.

The other day, I received a copy of a letter from one of my utility companies to HUD, and enclosed was a copy of what they sent back to HUD. I was appalled to see that the information on the copy was different from the actual information, according to the utility company. Since I didn't see these letters, I can only assume that the information was changed by my former rep at the mortgage broker company - who I found out yesterday, no longer works there.

Should I be worried about any of this? I don't want to be held responsible for something that I didn't do. Can they rescind my mortgage loan and take away my house because of this?

**A: explain in detail your info and the info that HUD got indicating the difference.

 

[porcelina68]

On the letter of credit, it was asking how many times I had received disconnect notices, how many times I had been disconnected, etc.

The only information that was different was the number of times I had received a disconnect notice since the year 1999. I had received 5 of them, and the information that HUD had was that I didn't receive any disconnect notices at all.

 

[porcelina68]

HUD called me yesterday

A rep from my local HUD office called me yesterday, and she asked me all kinds of questions about the origination of my loan. She asked general questions about my satisfaction with the mortgage broker, and then she got down to business, and asked me about the letters from the utility companys. I told her that one of the utility companies had mailed me a copy of everything that they had sent back to the HUD office, and that was the only knowledge that I had regarding that. She then asked, "And these letters never passed through your hands at all?" I said that they had not. So, now, I'm to write a letter to the HUD office, stating exactly that.

What is likely to happen afterwards? Is HUD likely to pull the FHA insurance from my loan? Can my mortgage company "cancel" the transaction, and take my house?

 

[HUD-1]

If there was no fraud on your part, HUD would take administrative action against the lender. They would most likely indemnify themselves against any loss on this loan if it defaults in the future. In other words, the lender would not have the protection of the FHA insurance in the event of the loan going into default/foreclosure. The lender would then be very interested in getting you to refinance into another loan that is insured. In an extreme case, where a pattern of fraud is detected, the lender may even be barred form originating FHA loans in the future. I do not think that they can take your house as long as you are paying the mortgage. What grounds would they have for starting a foreclosure?