I purchased my first home last year with a neighborhood bank they transfered my account to some mortgage company 4 months later which I had no control over and now I am being charged for PMI. My previous bank didn't charge me PMI and the company they sent me to did not inform me that they were going to charge me PMI so they paid the difference added into escrow for last year and know they are taking up my monthly payments unless I pay a large amount of money on an escrow coupon. why should I be charged that plus interest if they did not tell me of the change. There was no difference in my mortgage statement or a letter telling me that they are going to charge me PMI or that I was not paying enough in escrow what can I do? And why should I have to pay PMI with them if I didn't with my previous bank.
2007-02-26 06:42:57 · 10 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
This is a violation of RESPA law. You may have been charge a 1 time pmi fee when you closed. If they messed up it is not your fault. Seek an atty for the best way to handle this
2007-02-26 06:54:20 · answer #1 · answered by golferwhoworks 7 · 0⤊ 0⤋
As previously stated, your mortgage cannot change no matter the number of times sold. Get out your copies of the closing documents and review them very carefully. Assuming there was no PMI originally then a simple phone call to the current holder of your note should take care of it. Or, in the alternative, if PMI should have been charged and the first note holder made a mistake then this note holder caught it, oh well. Bottom Line: Read your closing documents. Pay particular attention to the HUD I where all your closing costs are disclosed. Look on page 2 somewhere around line 902. PMI, if any, should be showing there. Hope this helps.
2007-02-26 08:14:53 · answer #2 · answered by ? 7 · 0⤊ 0⤋
This is probably something a few phone calls would clear up. The details of the loan must reamin the same by law, when the mortgage is sold. So either there is some sort of mistake being made by the new lender or the old lender madea mistake when they tranferred the loan and sent the new lender the details of the transaction. Either way, you won't have to start paying more then before. It's a law!
2007-03-05 08:45:36 · answer #3 · answered by nate p 2 · 0⤊ 0⤋
PMI and Hazard insurance is required when you owe a mortgage company 80% or more of the purchase price of your home. If you did not sign up for that at the closing table, then you would of had to obtain those policies on your own and provide proof of coverage to the servicing company to stop them from force placing the insurance. That large amount is the 4 months you owe the for the insurance that they paid for you. Read your closing documents carefully again.
2007-03-03 08:25:18 · answer #4 · answered by annazzz1966 6 · 0⤊ 0⤋
Something seems to be missing here. When you take out a mortgage with any lender, the terms of that mortgage MUST remain the same (by law) if the mortgage is sold to another lender (bank, etc.). They cannot change the mortgage terms when it is sold. You had better call them and get yourself an attorney if necessary. Are you sure this is the whole story?
2007-02-26 06:48:58 · answer #5 · answered by Anonymous · 0⤊ 0⤋
It is possible that your mortgage says you need PMI, but your original lender didn't enforce it.
In which case, you've got no choice, you have to conform to the original mortgage contract.
2007-02-26 08:50:52 · answer #6 · answered by Quixotic 3 · 0⤊ 0⤋
Your original lender's contract probably stated that they could sell your loan, and it sounds as though they have. If you're not happy, and you are in a position to refinance, consider changing lenders by refinancing. This is a common occurance in the industry, so if you refinance, ask to be shown in the contract where it guarantees the lender will not sell your loan. One major player in the industry that does not sell their residential loans is Countrywide. There are others as well, you just have to ask.
2007-03-05 09:42:28 · answer #7 · answered by Anonymous · 0⤊ 0⤋
examine consisting of your individual loan corporation, escrow might want to contain merely taxes, merely assurance or both. extra useful to be chance-free than sorry. likely, once you've an escrow account your taxes are being paid.
2016-10-17 09:10:30 · answer #8 · answered by forker 4 · 0⤊ 0⤋
Your loan can be sold, but the terms cannot change.
Contact a real estate lawyer.
RE Agent,
Remax
2007-02-26 12:18:12 · answer #9 · answered by frankie b 5 · 0⤊ 0⤋
Many lawyers specialize in real estate law. Talk to one. He'll be able to tell you whether you can fight it or not.
2007-02-26 06:49:26 · answer #10 · answered by tain 3 · 0⤊ 0⤋