Best Mortgage and Home Loans » loan predators http://www.bestmortgageandhomeloans.com Your Mortgage, My Mission Wed, 01 Feb 2012 20:52:05 +0000 en hourly 1 http://wordpress.org/?v=3.1.3 The Predators Are Out Again http://www.bestmortgageandhomeloans.com/the-predators-are-out-again/ http://www.bestmortgageandhomeloans.com/the-predators-are-out-again/#comments Fri, 17 Oct 2008 18:21:51 +0000 admin http://www.bestmortgageandhomeloans.com/?p=124

In the last week I have had three of my past clients call me because they had received either a letter in the mail or a phone call from someone promising them to better their interest rate and payment through a refinancing their current home loan.  Each one of these families have either purchased or refinanced a home within the last 18 months and all of them have good, high 700 credit scores and 15 year or 30 year fixed mortgages.  Two have FHA and the third a conventional without MI (Mortgage Insurance) because they put 20% down on their loan.

None of these families fall into the sub-prime category; none of these families have ARM loans that will readjust and none of these families have been in their homes long enough under the current economic situation to have acquired enough equity to compensate for the fees associated with a refinance, even a streamline FHA.  So why are these families getting called?

Because they have good credit, a good job and they are perceived to be uneducated with the process.  What the lenders didn’t know about these three families is they have me for a lender.  That’s not to say that I’m the only lender that looks out for my current and past clients because there are many loan officers like me, we just get overlooked because of the bad seeds in our industry.

The problem is they are not doing anything that is illegal.  A lender can talk to anyone and if they get your permission to refinance your loan, no matter how much it costs you, they can do it.  It is up to you to protect yourself and understand that the interest rate is not the only thing to look at when getting a loan.  You need to look at the fees and the overall cost versus the time it will take you to recuperate them at the rate that is quoted.  If you don’t understand this, do not do anything until you do.

]]> http://www.bestmortgageandhomeloans.com/the-predators-are-out-again/feed/ 0