a mistake was made on my house loan papers, now what can i do?

Question

I refinanced and they used the wrong address on the loan docs, the old loan was paid off but they cannot record the new one. I am paying way to much for this loan coz i was in a jam. Do I have any leverage?

Answer 1

If you noticed the mistake before you signed, you should not have signed the loan docs. Someone should have contacted the lender immediately.

I do closings, refi's etc and if there is a mistake, I stop the closing and we all sit there and wait until the bank e-mails a new set of docs.

What "leverage" are you looking for? You signed incorrect docs, either intentionally or in error. When the bank is notified, they will either prepare a new set of docs for you to sign which you are obligated to do as you affirmed in the first set of docs that you would cooperate with any adjustments or corrections.

I doubt you have a right of rescission at this point because you old loan was paid off. If you hadn't waived that right in writing at your refi closing, the payoff would not have been sent out to your old mortgage company.

Answer 2

You signed a Note for the loan. The docs that get recorded are only the evidence of the Note. You owe the money at the terms you signed with the Note. It is they who have the leverage. If you go into the Note and read it, it says you are responsible for signing new papers that evidence the Note if they make a mistake. There is no way out of this except for to assist them with any new papers. These documents are filed by legal description, not address, and the bank has the right to fix the legal description and re-file the papers.

If you feel you signed them under duress, seek legal help. Now, as long as you are going to have an opportunity here to engage this bank in conversation, take that opportunity. You have a shot at trying to re-work your terms, as you have unfinished business with them. Go for it without soundingt like you are trying to blackmail them. Go to someone higher up in the food chain at the bank. With a re-fi, you have a 3-day right of rescission in most states, so when you sign any new docs, you have 3 days to change your mind. You can remind them of that, but they probably won't budge. These types of companies are always around to bail us out when we are in a jam, but we sure do hate paying them back! Good luck.

Answer 3

Tell the company what happened, and ask them if they would be willing to re-do the papers. If not, then you will have to get a lawyer to help you get them re-done!