Possible Mortgage fraud by Mortgage Company

[kath1962]

In November 1999, I was at my wits end trying to figure out how to get out of the mess I got myself into, you see for 15 years I worked at a very good job, making $21.00 an hour towards the latter part of the 15 yrs. In August 1998 I was laid off, I had to find another job the only problem was I would not be able to find a job with the same pay. I did receive a severance package, it did help pay some bills. I found a job making $6.50 an hour which I had to use alot of my severance to help make up my mortgage payments and pay bills. In June 1999, I found a better paying job at $8.00 an hour, which by November 1999 I was making $11.00 an hour. By this time I had used all of my severance pay and was in big financial trouble, so I decided to apply for a consolidation loan (just to pay off my bills). The mortgage company I spoke with told me that I needed to refinance my home in order to get the loan I needed. I wasn't to thrilled with the idea because my mortgage at that time was $587.00 a month which included taxes & insurance, at an interest rate of 7.5%. But beings I was in desparate need, and scared to death that I was going to lose my & my daughters home, I BIT.

They explained to me and sent to me in writing the wonderful benefit I would have if I agree to their loan. All my bills would be paid, I would have one payment a month of $1113.94 which would include taxes & insurance, (later to find out taxes & insurance were not included) and I would same approximately $111.87 a month. So being in the state of mind I was in (on depression medication at the time), I agreed. The loan officer even said he would come to me, (which is over 250 miles away), so I could sign the papers and get this rolling. He did show up with all the papers, I signed. $1113.94 a month at 12.896% interest. This was the stupidest thing I could ever do. If I hadn't been in the position I was in I would have never signed those papers. Now, I'm losing my home, and realize this loan should have never been approved! There is and was no way I could ever make those payments.

Do I have any rights here to go after the Mortgage company? I know I was taken advantage of and have all the documentation I need. Again I'm at my wits end, but my head is more clear now. Please let me know what I can do and or how to go about it. Thank you for your time.
I live in the state of Nevada.


[Edited by kath1962 on 01-28-2001 at 12:44 PM]

 

[HomeGuru]

Please explain how the mortgage company committed fraud. What did they do?

 

[kath1962]

Please explain how the mortgage company committed fraud. What did they do?

I don't know if you what you would call it. But by knowing the loan the approved for me should not have ever been approved based on knowing that I couldn't make the payments isn't there something wrong about that? It's to my understanding NOW, that based on your personal financial situation, if you don't have enough quarters than your loan application should be refused, and maybe they would suggest to you other types on consuling. When I fell behind on my payments, the loan officer that approved my loan in 1999 admitted to not only myself, but to my father that the loan should have never been approved. Is there anything I can do to not only stop this Mortgage company from ruining someone elses life, but to possibly save my own home?

 

[HomeGuru]

I think you may be alluding to predatory lending practices.
Search the internet and http://www.hud.gov using those search words.

 

[kath1962]

Thank you

Thank you for that input. That's exactly what has happen to me. Possibly do you know what attorneys handle these types of cases, if any? Especially in the state of Nevada?
Thank you again for your time.
Kathy