World Savings & Loan, a subsidiary of Golden West Financial rip-off by providing incorrect loan information to induce lending Warren New Jersey

Thank you so much for posting. I also have a problem with World Savings, similar tactics. I also have a real estate license, and they still tried to screw me.

For the sake of all the people who don't have any real estate background, I hope you file a complaint with all the regulating agencies. World Savings Bank is a 65 billion dollar company. I was at one time impressed with them, but that probably had something to do with the fact that where I initially came in contact with them (Oakland, CA) is also their headquarters. The city of Oakland has an impressive anti-predatory lending law on the books.

The World Savings branch where I was ripped off is in another state where apparently there aren't as many predatory lending statutes in place.

This bank took my application for a fixed rate loan and turned it into an adjustable rate loan. They did not provide a single Truth in Lending form, no Good Faith Estimate, they even ignored the city government where I am buying (I was eligible for down payment assistance for 20% of the purchase price, plus I had my own 20% down). The city requested paperwork on the loans, none of which was forthcoming from World Savings.

I got a lot of gobbly-gook on the phone, but nothing in writing even when I asked for it directly. I went with another bank, but I filed a complaint with HUD.

Even though I have a grounding in real estate and am probably a little more familiar with the mortgage process than some other first time homebuyers, this bank was slick. I was warned by someone else in the banking industry about watching out for World Savings pulling something, and they did. If other people in the industry are aware of what a sleazy bank this is, at least in this state, why aren't there more complaints on record? My guess is they settle out of court or somehow have enough "weasel" clauses buried in their paperwork.

I urge you as a real estate professional to file a complaint. It is up to people like us, those with some training, to nail them in their tracks. They are taking advantage of so many people. In my local paper, they trumpet their money market returns as being approximately 2% higher than most other banks. Gee, where are they getting that extra 2% to pay on those money market accounts? They are getting it from ripping off their mortgage customers.

Please file a complaint with HUD and anyone else you can think of. This ripoff must stop!!

I just read a press release on-line from the Federal Reserve Board (January, 2003)that names 10 new appointees to the "Predatory Lending" review committee, and one of them is a muckety-muck from World Savings Bank.

I'd like to know why a bank that IS a predatory lender is part of a committee charged with looking at predatory lending. It's like sending a criminal with a petty offense to prison, where they learn new tricks.

This bank covers it's tracks so well. They are entwined with every level of government. They built their empire off the backs of the working poor and middle class, and they continue to do so. They violate federal, state, and local laws and seem to get away with it.

WORLD SAVINGS BANK IS A PREDATORY LENDER.

I responded to your post earlier and encouraged you to report World Savings to the regulators. I would suggest reporting them to the Office of Thrift Supervision in San Francisco (closest to their headquarters).

I currently have a matter under investigation with OTS against World Savings. In their response to the OTS, World Savings included some documents they are using in their defense. These documents were cc'd to me, from the Director Field/Fair-Lending Compliance for World Savings.

The actual loan document I signed (and received a copy of at the time of my application) was altered without my knowledge or consent after I signed the form. A copy of this altered form was in the materials forwarded by World Savings.

What a nice smoking gun for them to explain to the OTS. I knew I was getting jerked around, I know they were doing something, but I had no idea that forging loan amounts and checking boxes and altering a loan application after the client signed the form would be one of the practices. Wow.

Well, now it is probably going to go to the Department of Justice, since this is now criminal.

Guess some idiot somewhere forgot I was provided a copy at the time of application. Duh. Kiss your asses goodbye, World Savings rip-off dimwits. 20 years of internal audits from the various regulators will be satisfying also.

Now would be the time to bring your complaint to the regulators.

All of you should be commended on your well-written predatory-lending posts. Not only did you report the issues well, but also you followed up with updates. I especially appreciate the references to the web sites and regulatory agencies where we can all go to see for ourselves.

May I also suggest that you report this to the AARP on their web site? The AARP intends to lobby heavily against predatory lending this year. This is good information.

TFC

I have read these comments, and as a loan officer at a brokerage firm, I can honestly say these complaintants have literally no concept of what makes the mortgage industry tick, nor what this rather creative bank does to facilitate home ownership.

First of all, in terms of calling them a predatory lender, that would either entail either lending with the intent to sieze a house via foreclosure by providing loans that borrowers have no realistic means of paying, or charging one borrower more than another for a similar loan, provided a race or religion trend can be identified. Several lenders have been hit with class-action lawsuits for this practice, no names mentioned here, but they own companies that run national TV ads.

The fact is, their indexed ARMs (Adjustable Rate Mortgages) are about the most cost-effective way of facilitating home ownership. They amortise mortgages completely differently than other lenders, and can afford to do so, because they sell NONE of their loans on the secondary market. That means they keep 100% of the interest you allow to accumulate.

I word this rebuttal very carefully, as I am a loan officer at a brokerage that sells many different lender's products. In fact, I am about to refinance my own home out of my current 15-year mortgage at 5.25% into a 30-year "pick a payment" loan, an adjustable rate of 5.65% (currently). That is because of the much, much lower minimum payment ($122 every 14 days vs. $804 per month). You see, every dollar I spend past the $3,172 required to stay living there for the first year takes a dollar off my balance. If I spend the same amount I am spending now, that means I will knock a bare minimum of $6476 off my debt in the first year. That takes 17 payments with my 5.25% fixed rate. Go figure.

By the time year 5 rolls around, and I am paying the fully indexed rate, the 15-year loan stands zero chance of catching up, as their is more interest accumulating on a daily basis on a much lower debt. This loan is a very well-kept secret. They do not sell loans through their retail branches except to train their wholesale reps. Almost all their business is through brokers such as myself. They are also a federally regulated lender, so the person trying to sue them for failure to disclose Yield Spread Premium will discover their point is moot when the judge laughs them out of the courtroom. Lenders don't have YSP. Brokers have to disclose how much the lender is paying them on the "back" of the loan, but if you're the lender, their is no YSP at all.

I would like to tell the world how the mortgage history really works. Most people are like sheep, and need to be forced into something that is completely beneficial. They all mumble the same drivel to me, day after day, about "zero points", and "fixed rate". Sure, if you prefer me to hide the money I make of the back of the loan, so it winds up costing you 5 times as much for me to make the same amount in the long run, I will do it, because even stupid customers are always right. Fixed rates are for suckers. That just distracts people from looking at the principal balance barely moving, year after year.

Squalking about paying $5000 for a service that will save you $50,000 or more is like complaining about overcooked sushi. Take it from me, a pro, these guys do good work. They get a bad rap because their products are a little difficult to understand, and if you pay the application fee and then try to back out, it's non-refundable.

If you complain about attourney fees, well you really must be a moron, because asking a lawyer to work for free on a closing is very much like asking my pregnant wife to pass the ice cream she just took her first bite of.

Fine, I'm off my soap-box. It's a real shame that the loudest people are most often the least informed.

Excuse me, broker, but it is YOU who do not know what they are talking about.

Perhaps in some cases it is just a sleazy individual loan officer, or bank policy, but rip-offs do happen in the mortage industry.

I am one of the ones ripped off by World Savings. I worked for a Real Estate Developer for almost 8 years, I also have a real estate license. I am not a misinformed schmuck. I gave World Savings every opportunity to treat me fairly and step up to the plate, however, they assumed I was an idiot and continued to engage in illegal activity.

HUD accepted my complaint based on gender and race discrimination, as did the State of Florida.

I find your post really offensive, a blanket explanation to an industry that is made up of individuals and ever changing bank practices. Banks are getting diddly on rates right now, and they are scrambling in all sorts of new ways to generate fees and income. Some of those ways are illegal or borderline.

World Savings Bank is a predatory lender. Your definition of Predatory lending is not the industry definition--if you do your research, you will see there is no set definition of predatory lending. It is what it sounds like: an action or series of actions that work to the benefit of the lender and not the individual borrowing the money. It could be fraudlent practices, misleading advertising, mis-stated interest rates, undisclosed fees, balloon payments, discrimintation, etc.

My case is still winding it's way through the legal system. I will pursue it to the end because it is important to bring these cases to light. There is a class action suit against World Savings for RESPA/TIL (truth in lending) violations.

Until you have walked a mile in my shoes...shut up! And don't think it can't happen to you, Mr. Broker...as I said, I also am in the industry and not totally ignorant of the laws involved, yet this bank continued on their merry path.

It is the absolute, undeniable truth that World Savings & Loan engages is unfair, unethical, fraudulent, and deceptive lending practices. I have filed a complaint on this website. I encourage everyone to read it. Read that and all the other consumers that have been abused by this institution.

I encourage everyone to do thier public service, and let this corporate behemoth recognize that ripping off the general consumer will not pave the way for corporate excess.

Write the Office of Thrift Supervision, Federal Reserve Bank, Better Business Bureau, and Office of the Attorney General in your State or locality. I know this bank is based in California and Texas, and does business in other places.

Send you complaints to the one's heading the monster. Let them know of your abusive experience:

Mrs. Judy Willis, Assistant Vice President
World Savings Bank
1901 Harrison Street
Oakland, CA 94612-3587
(510) 446-6000

Mrs. Cynthia Scott
Corporate Liaison--Loan Service Department
World Savings & Loan
P.O. Box 659558
San Antonio, TX 78265-9558

My address:

David Cyrus Koupai
P.O. Box 7153
Northridge, CA 91326

Thank you to all my fellow consumers out there.
All the best to each and everyone of you. Spend your dollars where they are respected, and with institutions that understand character.

Regards,

I used to work at world savings, I could complain about a lot of things. I could tell you alot of things that they dont want you to know about the processing,appraising,ETC. However I think in most every state it is required for an individual to sign loan documents. World Savings gives every person a copy of the loan documents to keep.

If you did not recieve a copy ask your escrow,title,or lawyer where they went.
I now notarize loan documents, basically sign them at the customers home.

I am amazed that when people are dying to get into a new home, or looking at thousands of dollars cash out on refis they have almost NO QUESTIONS about the loan they are getting. I sometimes choke on my words as I tell them fees, & prepayment penaltys.

Very few times with any lender have I ever had anyone ask a question other then "when is it going to be done?" No one I have ever come across has refused to sign.

When are consumers going to wake up and start asking these questions ahead of time? This is potentially a 30 year commitment. I wont even pay a bill till I review every page line by line. Sure I have read legitimate complaints and I commend those who go elsewhere when a company misrepresents a mortgage. However I have not seen a perfect lender, or one that has interest free loans. Taking advantage of the elderly would in my opinion be a women I came across last week. Her kids needed money, she refied her house. The bank charged 16 POINTS, she had taken a cash out refi of $100,000. When I looked at the HUD 1 showing the balance due to her after all the fees from the previous lender and new lender it $52,000 due to borrower.

Let me finish by saying her rate was a first of 6.75%, and a second of 8.75%, she has no job only disability. Her payment was almost $3900 monthly. The only power I have as a notary is to screen the borrower for willingness and ability to understand what they are signing. I never saw anything at world savings that could hold a candle to this.

Right off the bat I would like to say I know quite a bit about the company. I urge anybody posting complaints to do their research.

Number 1. World Savings upholds all preditory lending policies. Research for yourself what preditory lending is before you start talking in big words.

Number 2. An Application fee is never under $100. If you believed it would be, you're sadly mistaken. All fee's rolled in for lender fee's are around $700-$1000. "Other" fees are title fee's and state specific fee's. Did we honestly think that the lender is going to pay for title charges. If you look at your HUD1 statement, youo will see that you weren't charged any points/origination fee's.

Number 3. Read your documents. I agree, when people go for financing they only look to see if the loan is approved, not the details, and a rep of the company can go over everything a million times and the only thing the consumer is going to here is approved and sign here. Then when something happens the lender is blamed for the upfront mistakes of the consumer not trying to understand the loan.

You will not find a lender that is more intune with your needs and payment options

I financed my home with World Savings four years ago with an adjustable rate equity builder mortgage and I couldn't be happier. My interest rate has steadily gone down and equity has grown faster than you can imagine because of the bi-weekly payment plan. This is my 3rd home loan and by far the best deal I've run across. I'm a paralegal with a background in commercial real estate and have also worked as a mortgage loan officer.

Some of those complaining about World Savings may actually have a gripe against an independent mortgage company that offers World's products.

Don't believe everything you read.

Four years holding a mortgage that is indexed to an adjustable rate, plus an undisclosed margin, is not a sufficient amount of time to really appreciate the quality of the loan you received.

You have been the beneficiary of an economy in a prolonged recession. All the interest rates have been dropping, dropping, dropping.

What happens now if there is more job creation, people start investing more, and interest rates go up. Should you not be a little concerned about your monthly payment increasing???

Actually, the amount of required interest will increase, such that, you may not be able to build any additional equity in the property, though your minimum payments will be increasing.

As a paralegal, I would imagine that you are on a limited budget, and the probability is that you may not be able to absorb the increases in your largest expense.

Wait until you miss a payment. Then you will see the true colors of this lender.

As for HUD1 statements, what do you do after escrow closes and there are thousands of dollars of unauthorized and undiscussed charges that the Lender presented months after the deal was executed.

Is that the business practices of a mortgage lender that is fair, honest, and forthright.

Or, is it mortgage business practices that are unfair, deceptive, abusive, unlawful, and fraudulent. It is what it is. This is the type of activity that World Savings & Loan engages in.

And for those that have been abused and cleaned out by this mortgage lender in California, I strongly advise that you file a formal complaint with the State of California--Department of Corporations.

The DOC in the licensing agency for the State that lets these thieves rip off unsuspecting consumers and citizens.

How about writing the federal Department of Justice (DOJ)--Antitrust Division???

And, lastly, it could not hurt to contact our Honorable Senator Dianne Feinstein at her San Francisco, CA, office.

Big words have nothing to do with consumer abuse. The only words you need to know are: misrepresentation, fraud, abuse, lack of disclosure.

For those that rant and rave about what a fantastic lender World Saving & Loan is, I think you should wait until they attempt to increase their revenue streams at your expense.

Wait until your adjustable caps out at 18%. Wait until you can't afford your rising property taxes and insurance. Wait until they impound your assets without your consent to secure their lien position. You gave your consent in the Promissory Note and Deed of Trust.

Wait until they put your in arrears and charge you for being late.

You are foolish enough to side with a large corporation that could care less about you, your personal welfare, the welfare of your family, and your financial security.

For the individual that allowed a poor old lady to sign a Note that obligated her to pay $4,000 a month, you are a morally and ethically depraved individual.

The old lady just signed off her life's work, and shortly enough, our fabulous lender, World Savings, will take her home away from her.

Lastly, if you bought a house in the last four years, when interest rates were artificially depressed, you have paid almost double for a home than what it is worth.

You have consented to assume a debt to the bank that is almost twice the value of the home. How will you feel over the course of the next few years when you are inside-out on your real property value???

Now everything is roses. You are confortable with you station in life. Perhaps you have not educated yourself sufficiently to view the forest from the trees.

My qualifications: I have a college degree with emphasis in business, finance, and taxation. If you really want to understand your role in the system, the first thing you require is formal training and understanding. Working for a mortgage company or as a paralegal is not a substitute for a formal university education.

Lenders will teach you about salesmanship and making money . . . that's it. Every person they meet is a potential deal in the making. Forget about it if it is a good deal for anyone but the lender.

Buyer beware!!!!

I hate to differ with the former writer, but jeez... I don't have the energy to respond to the whole diatribe but first, as a paralegal, I'm not on a limited budget, my income has topped 6 figures most years (where does he get his information--paralegals are typically well paid).

My World loan can't go up to 18%, there is a 5% cap on how much it can go up in any given year, and the loan locks into an interest rate next year, if I don't like World's rate, I can refinance it then or anytime I like with someone else. There is no prepayment penalty. And where the heck does his info come from re the value of my house.

My house has increased in value significantly since I purchased it 4 years ago (the real estate market in these parts continues to be quite hot), so while I've been enjoying unbelievably low payments and quick build up of equity, I'm making money like a bandit on my house. I expect to sell the house within the next year so all around I'll be a winner on this deal and I have World Savings to thank.

David...

You have absolutely no clue about most of what you are talking about.

Most of what you said is rambling, babling idiocracy. You have not done your research.

I am guessing that you missed payments on your mortgage with this lender. That is why you're upset. That's your fault, not any lender's.

Prior to responding to this, I did some research on World Savings (which I never do, but your diatribe got me fired up). World has the highest government rating of any financial institution in their category. They are a portfolio lender that utilizes creative financing to allow people to get into homes that they can afford. They have the lowest foreclosure rate of any financial institution. Their fees are lower than most other lenders...the list goes on.

Just because you had a bad experience (which it appears you are partially at fault for and refuse to see that)...stop blaming others.

This is for the critics that blindly support the mortgage lending abuses and unjust enrichment practiced by World Savings & Loan.

As a pretext to the following information, the internet community of opinion holders should be aware that I am college educated, have earned a minor in business, finance, and taxation. I have achieved Honor Roll recognition at every level of secondary and university training.

I have owned and operated a credit consulting firm for the better part of five years, where I have assisted consumers with problems with creditors, debt collectors, and credit bureaus.

I take no pleasure from reporting these articles or expressing a harsh opinion against any individual or any institution. I simply try to relay my great experience to others in hopes that they might avoid the calculated schemes and traps set up to deceive the consumer by these corporate abusers.

To the critics that have posted here, the answer is you have no idea what the real situation is for yourself and borrowers that innocently endorse deals with this lender that will compromise your financial interests. For you and your mindset, the only solution is for you to learn by experience. So I say to you: do as you see fit.

For those others that are seeking information and can take an objective view to information, I found the following cases that I believe would have a great benefit to the public to share.

Please read the following case studies of real people and their dealings with World Savings & Loan of San Antonio, TX.

Case #1

Unregistered
Posted on 23 Jun 2002 at 07:17.05 AM

Company:World Savings and Loan Association
E-mail:dreamangel5668@yahoo.com
Type: Mortgage Loan
Company Address:1901 Harrison Street
Company City:World Savings Loan Association
Company State:CA
Company Zip:0000094612
Company Country:US_United States

In 1999, I purchased a home for which I needed a mortgage. I went to a mortgage broker to seek the loan to complete the purchase of my home. I had already taken occupancy of the home until I could closing on it. Closing was to be finalized within 10 to 30 days or I had to vacate the property. I was pre approved for a loan at Chase Manhattan and just before closing they withdrew their offer to finance me. So at the last minute the mortgage broker switched me to another lender. It was World Savings out of California.

The loan that they offered me was a "bi-weekly" payment with an electronic draft from my checking account every two weeks ten months of the year and three times a month in two other months of the year. I told the mortgage broker that I hesitated to take out this loan because I lived on a fixed income and because of the bi weekly feature. She said "not to worry" because I could convert the loan into a monthly payment as soon as I closed on it.

What she did not tell me is World Savings rules to make the conversion. Also this loan had a $5,000 prepayment penalty attached to it that would activate if I refinanced within three years with any other company OTHER THAN World Savings. Since it was the last minute and I would have to vacate the house if I did not close on that particular loan and also the Christmas and New Year Holidays and since I am a single mom with four sons... Reluctantly I closed on the loan. I have been in the house just over two years now. AND THIS MORTGAGE HAS BEEN PURE HELL. As soon as I closed on the loan I sought to convert it into the monthly payment feature.

It was at this time I had my first direct contact with World Savings. At this point I found out I had to pay $150 to convert the loan and that the loan had to be current for I think 60 days before the loan could take place. There was not a waiting period of 30 days before payments kicked in on the loan. It immediately began within days of the closing. In other words. January is one of the months that World receives three payments automatically drafted from your checking account. Oh no! I ask World to convert my account and they refused. I continued over the next months to request a conversion but I had to be current all those days before they would allow a conversion to take place.

I decided to go directly into a branch and to make monthly payments. I tried to get World to stop electronic drafts of my checking account. THEY REFUSED. THIS WENT ON for months. Keep in mind that I am now being charged NSF and late charges every other Monday. Thats 3 sets of these every January and July of the year and 2 sets of NSF and late charges the rest of the months of the year. I continued to ask World to stop the electronic drafts and to stop the NSF and late charges. They knew I was physically going into a branch and making my payments. They have sent me so many letters as of this date threatening foreclosure. Oh and let me not leave out that my personal bank on the other end was charging me NSF fees because the electronic drafts were all being returned to World Savings.

I could not leave any money in the account because even though I was physically paying World at a branch they were continuing to draft my account. Any money in the account would be gobbled up regardless that I had physically made the payment already. World REFUSED TO STOP the electronic drafting. Eight months after I had closed on the loan I applied to World Savings to refinance the loan so that I could get out of the electronic draft situation and to stop all of the fees. THEY REFUSED ME...THEY REFUSED TO REFINANCE Me saying the loan was not a year old. Then exactly one year to the date of the orginal loan I applied again to World Savings asking them to refinace the loan. It took them two months to give me an answer and again it was "NO" and REFUSED ME AGAIN. All this time they continued to charge me NSF's and late fees.

How was this ever going to end? I finally decided to write to the president of World Savings. When I called customer service they told me that the only way I could reach the President was via fax. I ask for a street address to write to him. Again I was told I could only contact him by fax. So I wrote the President,sent the fax(hoping it would be received) and ask for his intervention.

He assigned an employee whose title is "Loan Servicing Liaison" to handle my request. I found her assistance to be no better than the type loan that I have. She made the statement to me that "this decision is final". Meaning don't ask again! This is all we at World are going to do! I had ask for a refund of all the NSF and late fees and that also my credit history be corrected.

I felt that if the conversion of the account had of been acknowledged and had of taken place a year and a half earlier just after closing on the original loan that ALL OF THESE NEGATIVE events would have never happened. Including the NSF and late fees and my credit history would have been perfect as far as payment history. WORLD SAVINGS REFUSED TO CREDIT MY ACCOUNT WITH ALL OF THE NSF AND LATE FEES. THEY REFUSED TO CREDIT MY ACCOUNT OF THESE AMOUNTS.

I went to my personal bank and pleaded my case to them. Their bank president who I contacted by fax and was also given their street address acknowledged my request immediately. He had his personal secretary to contact me immediately. Even though I closed my personal account at my bank, World was continuing to reopen the account with new incoming electronic drafts! WHAT A NIGHTMARE! My personal bank did refund me a portion of the NSF from there end.

Still this amount did not add up to anything like the amount of money I am out on the WORLD SAVINGS end. Again I am on a fixed income and have no way to make up the extra money to pay all of the NSF and late charges. OH MY GOD!! SAVE ME THIS IS A LOAN FROM HELL. World did finally agree to stop the electronic drafts but NOT THE LATE FEES.And also too they have refused to remove the adverse remarks from my credit history. And because of all of the NSF's and lates they refuse to credit to my account I am behind $500 on the account. Even though I have been paying them $2,000 a month. The President of the Bank never acknowledged any of my letters personally. His employee that he appointed to me called me on the telephone. She said that World would agree to waive the $150 conversion fee if I would make three payments.

I had just made two, how could I make three more when World would not credit my account of all the NSF's and late fees? As usual when the end of the month came I made my next payment. That was the amount of three payments that she had required to make the converstion. Two months later I called Customer Service and ask about the conversion. Customer Service said" I see your account was converted to a monthly fee. I said yes. That was in Sept. of 2001. In Feb.. 2002 I called Customer Service again asking for a print out of all the activity in my account since orgination. It was in this conversation I learned that the account had NEVER BEEN CONVERTED. I went to another mortgage broken in Jan. of 2002.

At this point in time too World has five 30 days late posted in my history at all of the major credit bureaus. They have literally tried I believe to BLOCK me from refinacing my home or to do anything else credit wise. My current mortgage broker has shopped for new financing for my loan. It has been difficult because of World's adverse remarks on my credit history at this point.

But I have been approved for a new mortgage(at a higher rate of interest because of the negative remarks) and I am going to have to now pay World the prepayment penalty since it is 10 more months until I would be free of the $5,000 prepayment charge. Please do not forget that World is still charging me fee's every other Monday as I type this notice to you. Oh and let me add that World's negative remarks on my credit are due to stay there for SEVEN YEARS. I will be penalized for seven years from the date that the LAST 30 late remark anniversary.

Last week I signed all of the documentation for a new loan. Consequences from World Savings at this point are that
1. I am forced to suffer with the current loan and its penalties charged to my account every other Monday for the life of the loan, or to sell my house or to refinace.
2. I am still out all of the NSF and late charges charged to my account for the past two years and two months as of date
3. World Savings continues to post "late 30 days" adverse remarks on my credit history being downloaded to all of the credit bureau's
4. I suffer mentally, physically, financially and emotionally from the stress and trauma that is being forced upon me by World Savings.
5. In refinancing I will have to pay all of the costs associated with refinancing which is thousands of dollars. It takes my time in preparing documentation, preparing the house for the appraiser, paying the appraiser upfront.
6. I have to pay $4,900 in prepayment penalties to refinance before the three year time period is up. It would not be up until Jan. 2003.

I am sure you are worn out from reading this profile that I have just written. Just imagine in real life all of the affects this has had on myself and family. If you have had a problem with World Savings please email me. Also any advice would be appreciated in reference to this matter. Thank you for your time.

Case #2:

User Message
Unregistered
Unregistered
Posted on 15 Jul 2003 at 08:36.14 AM

Company:World Savings
Division:Loans
Department:Mortgage
E-mail:trekman1@ix.netcom.com
Company Address:P.O. Box 659558
Company City:San Antonio
Company Country:US_United States

CONSUMER WARNING!!! Steer clear of Worlds Savings Bank for your mortgage needs.

I was very disappointed and surprised at the greed of Worlds Savings Bank for charging me a prepayment penalty of $5712.00 dollars on my home loan. I have been a loyal customer for 2 years with having my mortgage payments always on time and never late. This is how World Savings handles customers in good standing. They will not give out a fixed rate. They black mail people by threatening them with this prepayment penalty fee so that they can keep people in variable rates, so when economy gets better they will be able to raise the interest rates and gouge the customer.

This information was retrieved from independent sources. I have no affiliation with either consumer. These episodes of mortgage lending abuse do not involve any financial business under which I am involved in privity of contract. I have no interests of any kind in reporting this information to anyone, except to provide insight into the real activities of the lender.

Additionally, I have to clarify that at no time was I, as a Borrower, ever in default with World Savings. I elected to refinance out of their loan because they are an abusive lender that looks for ways to engage in enjust enrichment and artificially inflate their revenue streams.

As the accounts confirm, this is a lender that should be avoided at all costs. Govern yourself accordingly.

Sincerely,
Koupai

Because of the fact that World Savings is a federally chartered lender, and the regulations are somewhat different than state regulated entities, they tend to have a preferred list of title companies with whom they do business. One such company tried to rip off my uncle, for whom I wrote a loan. (Again, I'm a loan officer at a brokerage.) The RESPA/TIL violations that have been alleged are leveled agaiunst the wrong entity. The title companies collecty every single up-front fee with the exception of a $310 processing fee and a $325 appraisal fee. All of you real estate moguls who are complaining about fees should take a careful look at the GFE and the HUD to see who is charging what before you waste anyone's time. By the way, complaining to a state entity regarding a federally chartered bank is, by definition, a waste of time. To simplify it for the benefit of the guy who claims to have a PHD in real estate , kind of like a Master's from the school of hard knocks, you're going to the ATF to fight a local parking ticket. The thousands of indignant, milk-fat, corn-fed consumers standing in the wrong line is the main reason that states take months, if not years, to tell you that your whining is unjustified. They have to accept every complaint, no matter how frivolous, so don't get all proud of yourself taking on "the man" when you get a hearing date.

My advice to anyone out there, first of all, this is a great bank, they hold my note, and I did NOT get ripped off. Neither did my uncle, even though the title company tried to charge him an extra $650 for a line of crredit that World only charges $200 for processing on. They even tried to charge him title insurance on a second!!

Use your own lawyer. It's your right. Shop around for a decent fee schedule, perhaps even choosing a title attorney, a notary closing agent, and even your own person to pull your title. You will have to get them signed up, not a big hairy deal.

You'll wind up paying about $1000, plus escrows, if you do it that way.

World collects the same $635 on every loan. To be predatory, they would have to be baiting you with a different number on the GFE and produce a HUD with a larger figure. Your complaint is with the lawyers. Go get them. I love it when people try to sue lawyers, and it's even better when they win.

Well I am going to say very little, or I hope!!

Number 1. Read Closing Documentation VERY CAREFULLY and do not let them rush you through any paper work and place a signature on it READ IT LINE BY LINE, and QUESTION EVERYTHING!!

Number 2. I am not sure who is in PRAISE of World Savings practices. That is so very SCARY!

Number 3. I am a Mortgage Banker and have been told by a World Savings Rep to Increase the amount of Monthly Income on one of my Borrowers 1003(App).The REP explained, " we are not federally regulated, so that does not mean a thing". Well NO I did not do this.

Number 4. My A Paper Borrower declined his loan, due to on the GFE it read 3 year Prepayment Penalty and on the closing Loan Papers to the Borrower to be sined and prepared for closing it read Prepayment Penality for the lifetime of the 30 year loan. But Got denial Papers with numerous BS of why he did not Quailfy for the loan.

Number 5. READ and YOU BE THE JUDGE!

Number 6. Good Luck to all of you and I hope things work out in YOUR BEST INTEREST!!

Your supposed A paper borrower may have received denial papers because of your unwillingness to follow the loan reps advice.

1) It is common to inflate a borrowers income to qualify for a loan. This is called stated income, QQ, EZ QUAL, etc. People with exceptional credit can go to any bank and ask for this type of loan program. It reduces the documentaion needed to obtain loan docs.

2) World Savings has its loan processors withdraw all applications at 90 days. If you did not submit the loan package properly and the borrower got a counter offer they will be considered denied at the time of withdrawl. This is when you request the cancelation or the file is 90 days old.
3) I believe the 3 year prepay is your doing by trying to get a broker rebate. Most wholesale products add on a prepay when the broker gets a rebate, or fixed rate option.

To anyone unfamilar with the workings of large corporations they note all calls in and out on most every customer. If you hang up on them, its noted in the computer, they note good and bad and the next time you tell them someone said this and you are an active customer with a loan # it is noted in your file along with the person who spoke to you.

World Savings is among my favorite lenders and they dont have the rate add ons for things like condo, credit scores, and stated income. Prepay penalties with most lenders are 6 months interest, and its costly if not impossible to get a loan without a prepay today. I am suprised at the "experts" on this subject who really werent all that educated on their self proclaimed real estate/mortgage expertise. World Savings offers the BEST ADJUSTABLE RATE program out in the market today.

I feel the need to weigh in on this issue again. It is unfortunate that not everyone understands what they are getting into when signing loan documents (or any contract for that matter). I am a more than happy customer of World Savings. I have a bi-weekly equity builder mortgage and that's exactly what I've been doing, building equity like mad on my mortgage. I knew when I signed the loan documents that the loan has a prepayment penalty--accepting that was a risk I decided to take. I knew that interest rates could go up and I might have escalating payments before I could lock into a fixed rate--another risk I was willing to take. I would be shocked to discover that any of the people who feel that they are victims of World Savings lending practices did not sign a contract before their loan was funded that spelled out all of the things they are now complaining about.

Taking out a mortgage is a big deal, read the documents, understand the terms, if you don't understand the documents, take them to an attorney. Yep, they do charge by the hour, but an investment of a few hundred dollars could save you a lot of grief in the long term. If you feel like you're being pressured to sign up for a loan you don't like--don't follow through with the purchase, obtain preapproval from a lender you are comfortable with and when you have all your ducks in a row, go out and find a house.

World Savings offers a creative loan package that may not be for everyone. I understood exactly what I was getting into when I signed a contract with World Savings and the risk I willingly took has paid off in spades. As I said before, I have built equity like mad as my interest rate has gone down and my minimum bi-weekly payment has decreased from $585 to $405. I pay more than the minimum payment and at this point if I stay in the house, I will pay my 30 year mortgage off in 15 years. My interst rate won't go through the roof, it has a cap of a total of 5% that it can go up or down over the entire term of the loan. So far, it has gone down--next year it could go up.

Bottom line, information is the best defense against making a decision you may later regret. Don't rush into something as substantial as the purchase and finance of a home and read everything you are asked to sign.

I feel the need to weigh in on this issue again. It is unfortunate that not everyone understands what they are getting into when signing loan documents (or any contract for that matter). I am a more than happy customer of World Savings. I have a bi-weekly equity builder mortgage and that's exactly what I've been doing, building equity like mad on my mortgage. I knew when I signed the loan documents that the loan has a prepayment penalty--accepting that was a risk I decided to take. I knew that interest rates could go up and I might have escalating payments before I could lock into a fixed rate--another risk I was willing to take. I would be shocked to discover that any of the people who feel that they are victims of World Savings lending practices did not sign a contract before their loan was funded that spelled out all of the things they are now complaining about.

Taking out a mortgage is a big deal, read the documents, understand the terms, if you don't understand the documents, take them to an attorney. Yep, they do charge by the hour, but an investment of a few hundred dollars could save you a lot of grief in the long term. If you feel like you're being pressured to sign up for a loan you don't like--don't follow through with the purchase, obtain preapproval from a lender you are comfortable with and when you have all your ducks in a row, go out and find a house.

World Savings offers a creative loan package that may not be for everyone. I understood exactly what I was getting into when I signed a contract with World Savings and the risk I willingly took has paid off in spades. As I said before, I have built equity like mad as my interest rate has gone down and my minimum bi-weekly payment has decreased from $585 to $405. I pay more than the minimum payment and at this point if I stay in the house, I will pay my 30 year mortgage off in 15 years. My interst rate won't go through the roof, it has a cap of a total of 5% that it can go up or down over the entire term of the loan. So far, it has gone down--next year it could go up.

Bottom line, information is the best defense against making a decision you may later regret. Don't rush into something as substantial as the purchase and finance of a home and read everything you are asked to sign.

1. I understand your little QQ, PAP,I understand stated, and the various type of loans being offered, your sharp tone may be a reason someone would hang up on you. You get treated the way you treat others, but I did not hang up on you, you are an ex-employee, so chill out. Consumers deserve your respect and at the very least a smile and talked to with that respect and a manner in which they would even want to talk to you long enough to even want to do business with you.

CONSUMERS PLEASE TAKE NOTE OF THE RESPONSES AND THE TONE THAT IS CARRIED WITH THIS COMPANY'S RESPONSES, THAT IS HOW THEY, AS WELL AS OTHER LENDER'S AND MORTGAGE LENDER'S COME ACROSS, IT IS SO VERY SAD THE BREAKDOWN OF RESPECT FOR THE PEOPLE THAT ARE MAKING THEIR PAYCHECKS!

2. SO YOU ARE TELLING ME THAT YOU FALSELY STATE AN INCOME ON THE 1003, AGAINST BORROWERS REQUEST NOT TO, OR WITHOUT THE BORROWERS KNOWLEDGE.

3. Telling the Borrower to bring a Business Card, Homeowners Policy and of course the 2 pieces of ID to Closing, Be very careful, many loans have been closed that way. Right! AFTER ALL IT IS CREDIT DRIVEN LOAN!

4. I must say I talk to many people daily that I get along with and they have manners , you must get hung up on a lot, BUT NOT BY ME!

5. I checked with underwriting, they came down to business License or CPA STATEMENT OF PROFIT and LOSE to close. NOW WHAT WAS THAT INFLATED INCOME STATEMENT GOING TO DO TO THIS LOAN.

6. KEEP TALKING! CONSUMERS LISTEN!!

7. The A paper, not supposed, has a very fine loan now! Oh with a company that lives up to their word.

8. To add I did not ask for a lesson in Finance, there seems to be some reason for your sharp rebuttal

I will say by your rebuttal, you really need to maybe consider some interpersonal communication course may help.

To anyone unfamilar with the workings of large corporations they note all calls in and out on most every customer. If you hang up on them, its noted in the computer, they note good and bad and the next time you tell them someone said this and you are an active customer with a loan # it is noted in your file along with the person who spoke to you.

World Savings is among my favorite lenders and they dont have the rate add ons for things like condo, credit scores, and stated income. Prepay penalties with most lenders are 6 months interest, and its costly if not impossible to get a loan without a prepay today. I am suprised at the "experts" on this subject who really werent all that educated on their self proclaimed real estate/mortgage expertise. World Savings offers the BEST ADJUSTABLE RATE program out in the market today.
**********************************

I AM SO VERY SORRY, BUT THE ABOVE DISTURBS ME. The out right disrespect shown. The Fact that this is a Person that presumes to know my education and knowledge or even lack of.

AND THAT THE PERSON ON THEIR PHONE LINE TAKES "NOTES" AND THAT HAS A FACTOR IN HOW THEY TREAT YOUR LOAN! NOT YOUR CREDIT HISTORY AND NOT THE HARD WORK YOU HAVE DONE, THAT REFLECTS YOUR ABILITY TO FINANCE A LOAN!!

Sorry, I did not address The entire rebuttal, that is very important.

To address the 90 days, it was within the first week and a half, the loan WAS APPOVED, STATED BY THE COMPANY and I had to send them what they needed to complete everything, when all Fell apart out of the blue and the rep thought I misunderstood, the underwriter, ( I know her name)and the prepay had nothing to do with adding any rebate, do not spin this to the consumer. The Mortgage Rep knows the type of loan and gets the stipulations and rates before they can even look to see if a rebate is going to be requested. NOW WHAT A PREDATOR MAY LOOK AT FIRST, THEIR BEST INTEREST, HOWEVER, THAT IS NOT HOW I DO BUSINESS, FLAT OUT!

YOU ARE SPINNING THIS. If you are going to come back at least, do not try and deceive the consumers looking for answers. The loan was packaged and accepted without a problem! OK I am not going to let you get me off course here!

AND WHERE DOES HANGING UP A PHONE, BETWEEN A MORTGAGE CO AND A TOP FAVORED LENDER, AS YOU SAY HAVE TO DO WITH A CONSUMER'S LOAN, JEN... I AM HOPING THE CONSUMER TAKES NOTES HERE! THAT DID NOT HAPPEN TO BEGIN WITH, HOWEVER, AS YOU SPILLED the conversation between the Lender and the Mortgage Co is "NOTED" AND THEN THE CONSUMER PAYS FOR POOR PRACTICE BETWEEN THE MORTGAGE CO. AND THE LENDING CO...I NEED SAY NO MORE ON YOUR PRACTICE!

AND ONE MORE THING, THERE ARE MANY MORE COMPANIES THAT HAS BETTER OR COMPARIABLE ADJUSTIBLE RATE PROGRAMS!

Consumers I have read all the responses from this Company and they have come off Condescending, and they are just totally above being responsible for any manner in which they conduct business.

I deal with lenders all the time and this is not at all how issues are handled, by attacking the consumer or Mortgage Company. For the Most Part let me say the relationships are open and friendly and issues get resolved, not always the way we would like to picture them. But for the most part they are. THERE IS NO PERFECT LOAN!

Barbara, of Manchester, MO, is the case I am responding to. Surely an incompetent loan officer if there ever was one. Your A paper borrower declined YOU, and NOT the loan, make no mistake. You could have sacrificed your yield spread on this deal and settled for front-end fees to make your money, and gotten rid of the pre-pay. You failed yourself, your brokerage, and your World wholesale rep when you dropped that ball. I get sick to my stomache when I hear of loan officers selling products they do not even understand. Go get a job pumping gas.

The "denial letter" your borrower got was a withdrawl letter, required by the federal gov't. Something called compliance, which you know NOTHING about. The letter cited as the reason for the file becoming inactive is "withdrawn by customer".

World is an A paper lender. If you have someone who has consistently paid their bills for 2 years, then you have an A paper borrower. As long as they lend in the area in question (some areas with stagnant home values have greater foreclosure rates than others, therefore World, with the lowest foreclosure rate of ANY federally chartered lender, declines business in certain areas, by zip code) They have closed every A paper loan I have given them.

Jenn, in California, hats off to you. The Great State of California (where World is HQ'd) has been a huge fan of these loans. Spiralling housing costs lead to many families having to pay too much per month for their house, and World's pick-a-payment ARM allows people to pay $450 every 2 weeks on a $300,000 debt. Predatory my patookus.

Regarding the report of the $5700 pre-payment penalty: If you were in the loan for 2 years, then you were in the third year. Therefore, your penalty was 1% of the existing balance. That means you have a $570,000 balance, and I for one have no symapthy. The rich are truly the cheapest. By the way, it also means you loan officer at the broklerage you did business with made $11,400 on your loan, plus any broker fee you paid. I would have done it for less.

I think you will all know about the report I am about to reference, the LOAN FROM HELL. I have three words for you.

PAY YOUR BILLS. You were short of funds after Christmas. I always am too. However, I can ALWAYS pony up the $300 every 2 weeks they pull out of my checking account, including $4200 of annual escrow monies. (that's $161 every 2 weeks for the mathematically and/or financially challenged in the audience, there seem to be more than a few;)

Bottom line, I am carrying a debt of $110,000 at $140 every 2 weeks. If you can't pay that, go back to renting, and NEVER consider screwing up a bank's books by forcing them to foreclose on your broke ass.

The pick-a-payment ARM has an OPTIONAL bi-weekly amortisation schedule. If you know what that means, then you now realize World offers the only true bi-weekly in the industry. Everyone else simply wants another escrow account (you pay every 2 weeks, it pays your mortgage once per month). This lowers their COFI, or cost-of-funding index. That means they are more profitable.

For the benevolent gentleman who owns the credit counseling agency:

You people are slime. All you do negotiate with the creditors, allowing customers to skate with lower payments, and blackmail the creditors into freezing interest on their client's debts, in exchange for not haggling with them on existing balances. Of course, you get a nice chunk of the pie for yourself. Why not simply do that yourself? If I ever got in over my head, as many do today, I would simply pick up the phone and do the same damn thing you charge so much for myself, minus the fees.

Debra in Seattle is a great example of the 99.9% of World's customers who do not manage to get foreclosed upon. If you can't float the minimum payments in a World pick-a-payment ARM, you can't afford an apartment. Get a coffee cup, and start begging for spare change. You local grocery store can hook you up with a cardboard box, about the only housing that can possibly cost you less.

Somebody was ranting about undisclosed margin. That's a crock. I still have my disclosures, and the index value, FIXED margin (the only legal kind), and rate were spelled out plain as day.

Dave Cyrus rattled off the resources available to American citizens, if you want to go tell it on the mountain. That's your right. These happen to be the same people every halfway intelligent person contacts in the unfortunate event that the borrower stops paying for his or her house, the bank gets fed up, and calls in the cavalry to take the house. If he did his homework on the loan, he would know that the payment goes up by 7.5% of the initial monthly base payment every year for the first 5. i.e. $100 per month goes to $107.50 in the second year, $115.56 in year 3, etc. Carrying $100,000 in this manner will cost about $160 per month minimum. If you actually read my entire post, then you will know I could pay about half what I am paying in non-escrow payments. The first 3 times you change payment, including moving from a bi-weekly to a monthly amoprtisation, is free. Thereafter, it's $150 per.

Jacqueline of California, the notary, would have been derelict of duty if she did anything but her job, which is to show up and collect the signatures needed to close the loan. By the way, that $3900 per month loan could not have been a World deal. Theit rates are all lower, and they do not write fixed income stated loand (meaning fixed income is the only type, like a pension or SSI, and the amount is basically made up, with no proof furnished, such as award letters, stubs, or bank statements showing deposite). Novelle is the only lender I am aware of that writes those. That is definitely a predatory loan, but a bank would have to be pretty stupid to loan 100% when that little old lady has no hope of making a single payment.

In terms of making 16 points, some states have no Section 32 statute in place (a certain percentage of the total loan amount that any lender or broker is permitted to charge).

Examples: In Rhode Island, brokers and lenders may charge 6.99%. In MA and CT, it's 5%. In NY, it's also 5%, but that includes Yield Spread Premium. In Texas, it's 1%. There are similar state-by-state limits on pre-payment penalties. It's 1 year here in RI, 5 years on fixed rates in MA and CT, and 3 years on ARM notes.

If you think you are being, have been, or may be ripped off by a lender, drop me a line. Chances are, you are mistaken, and redirecting your energy towards the problem may actually help resolve it. Sorry about my venom to all offended parties, but as a traveller of the world, I have seen nothing but evidence to support my belief that Americans are fat, lazy, and quick to lay blame on just about anyone but themselves.

Just to be fair, there are abusive lenders out there, some of whom I have caught in the act of predatory lending. A black woman whom I refinanced out of a Household first and a Beneficial second took my advice and jouned a class-action lawsuit. The courts awarded her over $7000, because they gave her loans with very high rates compared to her credit profile.

Centex is also abusive, as is Aamerican Business Mortgage. Here's a good one, East West Mortgage had to pay back consumers too, in addition to a huge punitive amount. Ditech is embroiled in a legitimate class-action lawsuit, as is Ameriquest.

Chase Manhattan, which made it's fortunes by selling life insurance policies to Jews getting onto trains bound for concentration camps, has done many terrible things, and attempting to steal my friend Gary's house was just one. They added a zero to the amount due for escrows, up to $16,000 from $1600 every 6 months, when the Staten Island taxes were never that high for a residence. They attempted to foreclose on a $30,000 note when he refused to (rather, couldn't pay) a bill that went up by over $4000 in a month, with literally no notice. They lost. His uncle, the ex of his auntie who died and left the house to him, was thay lawyer eho sued, and had the entire note erased. He also forced them to fund the excrow account with an additional $32,000, and continue to service his tax and insurance payments. He is property tax and insurance free for over 5 years as a result.

You see, folks, there really are abusive lender out there, and this is America. If you really have a case, it will eventually be heard, and you will eventually win. However, pick your fights wisely, or you will simply waste your time. If you bought a finance package you do not understand, shame on you, and shame on the loan officer who failed in his or her duty to educate you. My customers know exactly what they are getting themselves into, and do so with open eyes.

Anon, from Miami, all I can say is it's a shame they'll let anyone become a real estate agent. You should also be pumping gas. World can't discriminate based on race, sex, religion, or anything else, because every customer gets the EXACT same deal!! Do your homework, SCHMUCK!

I have walked a mile in your shoes, and like finance better than real estate sales. Yes, you are totally ignorant of everything, except your right to clog the judicial arteries of Florida and the halls of HUD with your frivolous and unfounded claims.

For any readers not sensing a pattern, there are only a couple of detractors, and half a dozen supporters of World here. Keep up the good work, ranters, remove any legitimacy you once had. The document that was altered waws the 1003 (universal loan application), and that changes constantly up until the closing date. Sure, you signed one, that's required.

Oh yeah, Miami, thay are a $90 billion company, not a $65 billion company.

Edward Burke had the most legitimate complaint, but look at whom was collecting your closing costs. Of that $3,273, you have escrows, about $600 to World, and the rest are title charges. PICK YOUR OWN LAWYER!!

I can only assume the 12 hours you spent completing the paperwork was mostly spent in remedial reading classes. I signed a few documents and put it in the mail. No filling out forms, just sign here, cough up W-2s, paystubs, insurance, and mortgage statement. I spent more time finding a copy machine for my license than anything else.

Burke, you can't have a PhD in real estate, it does not exist. I think you're Anon from Miami. I also don't think you have a RE license, either, or you would know what charges are needed to fund a mortgage loan. Title serch, title exam, title insurance, closing fee, escrow fee, recording fee, wire fee, overnight fee... Sound familiar? The closing attorney charges those. Usually comes to around $1800 for an average sized loan, about TRIPLE what my "sleazy brokerage" charges.

I think I covered it all. With my luck, I have done nothing but provide entertainment to the disgruntled troll (trolling for an argument) who posted complaints under several handles. Whatever, I hate ignorance on any level, and misinformation is worse because it's deliberate.

Phew. Hi to Jacella, who will be reading this. Let me know if I missed anything.

So now that we have all had the opportunity to express our entrenched opionions about who's reponsible, who is educated, learned, intelligent, dumb, incompetent, satisfied, successful, slime, unreputable, uncreditworthy, irresponsible, idiotic, or flat out dumb, how many of us actually own the home we live in?

How many of us own our home right now?

How many of us can truthfully profess that we have the expectation to own the home in 15 years? 30 years? 40 years? At any time during our lifetime?

Over the course of those years, how many of us believe that we are immune from some unforeseen setback?

Here we are as good citizens of the United States of America, and most of us DO NOT own a single thing, or have any financial security of any kind.

Do we have nothing because we are all irresponsible?

Do we have nothing because we are all trying to get out of our financial "responsibilities"?

If we encounter hardship in our life, do we deserve to be put out on the streets, or seek shelter in the confines of a cardboard box? Do we deserve abandonment? Should we be ostracized from society?

I may be the only one that makes the argument, but, in my spiritual opinion, I don't care what the person's wrongdoings were or what were his specific shortcomings--no one deserves to be put out onto the streets.

But I know one thing for sure: World Savings will put you out to the curb if you miss 3 payments in a row. (You will get the Acceleration Warning after you are a couple of days late on 1 missed payment.)

And if you are flat broke, that puts you in a perfect position to hire a private attorney. Attorneys are not interested in charging you for their services.

It is written in the documents authored by the Founding Fathers of this nation that we are a country and a People with the inalienable rights to "life, liberty, and the pursuit of happiness."

Everyone needs to understand that there is a distintion between protecting the interests of the individual vs. the interests of Corporations.

Corporations don't need protection. They are financial pirates. How many late fees are you paying this month?

Let me be perfectly clear that the interests of the Corporations are to make the most money any way that they can. The particulars of the scheme take many forms. The objective is greed, enrichment, and making money in limitless excess.

Definitely be wary of showering your support to large Corporations that could care less about you. You are a number to them, and a profit piece. If they were not making money off you, you would not be of any interest to them.

People are not all irresponsible cheats. Life brings about many unexpected events and uncertainties. Those that believe and are impressing upon others that they know everything should be wary of the day when fortune turns on them. They may be forced to acknowledge the errors of their ways. They may have to confess that their ideas were misguided and worthy of reform.

World Savings looks for ways to take advantage of people. There are many stories and personal accounts on this site. These are real people relating their experiences. People do not come to the site to spin elaborate tails and engage in creative storytelling. This is their experience. In most cases, these were events that caused great harm and damage to their lives.

If you think they are all dumb, do not read, are fat, lazy, careless, of poor character, and any other derogatory quality, they still do not deserve to live in the gutter. They do not deserve to be relegated to the streets.

This is the wealthiest country in the world--no one should be homeless or suffer from hunger. We must not be indifferent to our brothers and sisters.

And make sure you recognize that these issues appeal to our sense of humanity and our dreams of what kind of world we want to help shape. People matter. Corporations will earn their success by conducting business with integrity, consideration, respect, and commitment for the customers that support their business.

God bless America. What you do and think matters very much.

Sincerely,

After reading the posts by Barbara of Missouri, I had to express my thanks and value for people like her that continue to stand strong in the exhibition of honesty, integrity, ethics, and empathy for others. This is an individual that conducts business with the highest standards. She maintains her values for manners and respect. I will be the first to take a page out of her book. It is nice to know that there are people in America that will stand for what is right, and can differentiate those things that are wrong.

Thank you for your contribution Barbara.

And, yes, World Savings in a money factory. Ethics and integrity have no value to the Golden West Financial Corporation.

Let's ask Jesse if he is a shareholder? What is the ticker on Golden West?

I am sure that Jesse, being a broker, has turned a pretty penny on World Savings' loans to Borrowers.

* * *

Jesse has seen it all and done it all. Now, we can all absorb the insults and live vicariously through his recommendations and rejections. His approval and his dissent.

The only thing that comes to mind is find God before it is too late for you. It is really important to show obedience to a higher power than yourself. Most mortgage brokers don't get in the business for the social contributions or civic improvement.

Jesse: Are you the Top Producer this month?

Or, are you the man with the best mortgage?

Are you spiritually committed? What God do you worship?

* * *

Barbara: I am heartened by the fact that there are people like you that still conduct their business with honesty, integrity, and respect.

Those character traits make the world a better place to live in. It makes things better for everyone.

Keep reaching for a higher standard, and serving as a model for us to learn from.

Thank you again.

Sincerely,
Credit Consultant/Consumer Advocate/American Patriot

I will not even respond to the blantant ingorance of your soapbox.

To the consumers, take what works for you. But as I said in the beginning. READ line for line and make sure you question what you are unsure of. This person above, has no clue as to who she is talking to. And now claiming she knows who you are. Very good tunnel vision at work she has there.

My consumers are happy. I have little if any closing costs, nor gouge anyone. Nor has my Company been reported. I have gotten nothing but Praise and referrals.

I came on to help if I could and share what I could. So just be careful, read and ask many questions you come across. It seems someone has, as stated, something to PROVE!

I appreciate the Kind words.

My MAIN objective here is to help the Consumer!
To LISTEN, PAY ATTENTION TO BEHAVIOR, AND READ LINE BY LINE their CLOSING DOCUMENTS. That was my issue on here.

I am in touch with the Missouri Coalition for preditory lending and have printed the consumers page that is in my office. Anyone can go to their website, dontborrowtrouble, it is excellent for consumers.

I did not expect the unprofessional behavior exhibited by certain parties. I am not defending myself, but not every Mortgage Company is going to use lenders that displays questionable behavior. Their are excellent A, and BC Lenders out there.

The Consumer needs to understand, what they are paying for and what affects the rates, if it is a variable rate.

The statement that a consumer never asks, makes my skin crawl. When I discuss a loan with someone and they don't have questions, I question them. I am saying in that, I literally question them. I don't claim and have not claimed to know it all, but I find out what I don't understand!

But I will extend myself, I am happy with the results here. It has only satisfied my own mind. And hopefully the consumers that read all this, will also see how they are thought of, spoken about, and put in writing as well. Then hopefully question the display of professionalism by the Employees or parties that use this Lending institute.

I really would not be PROUD of what has been displayed here. An everyday person does not know the ins and outs of a Lender that closely, without having VESTED INTEREST.

Why would anyone be shocked to discover that after missing 3 payments on a loan, a lender would begin foreclosure proceedings? The bank loaned you money, it didn't adopt you. What if you didn't pay your rent for 3 months? I have a feeling these complainers are the same people who were still living with mom when they were 30--having an expectation that someone else would take care of them.

I don't know of any lender who doesn't start foreclosure proceedings after 3 missed payments. I worked in the foreclosure department of a large Seattle law firm for years, the firm represented many lenders, and they all started or threatened foreclosure after 3 missed payments--standard procedure.

Yep, it is hard work to own a home. You might have to work two jobs (I have), one of those jobs might be at McDonalds (been there), you might have to put your kids in daycare (I did), your ex might not ever pay child support (mine didn't), you might not take vacations or eat out or whatever. I've owned a home since I was 19, I've had hardships of every sort, but I have always paid my mortgage payment, even if that is the only payment I was able to make that month.

Everybody knows somebody who has had hardships that made it impossible to work, make payments, etc. and sad as it is, some of those people will lose their homes. Life isn't fair and banks expect to get their money back.

Kudos to Jesse for enlightening those who aren't and go World Savings for offering amazing loan packages where we consumers can laugh all the way to the bank.

Half of the reports are in favor World and its products. It seems that the other half should go pound the door of the person who got them into a loan they didnt understand. Thats right, go tell the broker who got you this loan they better find a new loan and pay your fees too! Why should World take the brunt of the blame. They have thousands of people who are happy with the loan they have.

For the lady who thinks I had no customer service skills, I think you go through life blaming the big guy. I was only stating the fact people will call and say they havent been able to get any help, you pull up the notes on that loan and can see they had talked many others in the company and what was said by both.

Its funny you try and place a call to see if someone is having a hardship and needs to have some help, or extensions- they get nasty and hang up on you. People are not nice, and they blame everyone else when they cant pay thier bills.

Yes the bank has to do the brokers job a majority of the time. If you cant state an income that will get your clients loan approved, we are going to do it. Why should I waste time on a file that is not setup to get approved. Your wasting our time, at least we have the decency to get it approved for your client. You get the comission, and we have done your job. The fact is the mortgage industry is full of people who have jumped into it for the fast money. You think the banks have nothing better to do then hold your hand. I would be suprised if most sales reps have a license. You work under someone who actually does have one, and they take part of your comission.

CONSUMERS- in CA the DRE (department of real estate) has a place to check license status. If you loan officer isnt listed a sales agent in the office they are working out of, go somewhere else. You are working with someone who moves around alot or isnt yet licensed.

Some people enjoy the ability to make smaller payments and have security with yearly payment adjustments capped at 7.5% of your payment the prior year.

Anyone sitting on World stock is in heaven right now. The loan volume is up, and shareholders are talking about a stock split. Deposits are increasing in the World banks. That means more money to lend. As Forbes magazine says " Golden West finacial is King of the World", highest moody rating for any banking institution.

Mr I have a degree, and a background in finace. An old freind from World sent me your ignorant response and moronic comments on how people are not actually building any equity when the interest is incurring on the back end. Where did you get your degree, and where have you been practicing in the great state of CA. I see the loan as a chance to save a little that would go to pay your mortgage and apply it too a credit card with a higher rate. How about invest into something with that money and now you have a home that is increased in value and hopefully an investment paying you.

I am the Notary you called morally and ethically depraved. I CAN NOT deny any resonable request to notarize a document. If I know someone is getting into a crummy loan, I cannot say a thing. If they have a valid CDL and are willing to sign, I cannot do anything. The lady who I signed for a mortgage she could never afford, had a credit score that made it possible. Further, it was not World who lent her 100% of her home value on a refi. They dont make high risk loans that will wind up defaulting. They are not in business to take your home and sell it for a profit. You insult Notarys throughout the state, we have a duty to perform. We may not like it all the time, we may feel like someone should run now, or sign the 3 day recission while they can. Write to the people who make this rule and insult them, I just abide by laws & regulations someone else made.

My point of posting in the first place, was to say " I didnt love working at World, but since moving to a job where I deal with 20 or more other lenders, I have gained respect for World and the underwriting they use when lending money." Anyone in the mortgage business has worked long and hard, since the boom started in 2000-2001. I think anyone who purchsed a home should count your blessings, you have achieved the american dream. No one said it would be easy or cheap, someone gets you for some fees here and there. How much money have you made in equity, did the bank who you speak so badly of not allow you to capitalize by lending you money to begin with. You want to renegotiate a deal you made, and you dont want to pay!

You said you had a 7.7% rate and wanted 6% becuase rates had dropped. Then you went to refinace and had to pay a fax fee,& a prepayment penalty. Dont you think maybe they are a little smarter and figure when rates are drop, people are going to refinace. You think a prepay is bad, I think your 7.7% rate is what upset you most about WSL. World does very little fixed rate lending, they have bad fixed rates so you will go somewhere else. I hardly feel symapthy for you, at least some of the posts are becuase people did not understand the complexity of the loan program they were given. Including the bi-weekly payments that in a 12 month period withraw 26 loan payments, instead of 2x a month.

You continue to Shift your focus from the Topic! I unlike you LISTEN to my clients. I followed THEIR instructions on the cap of Stated Income, HIS CHOICE, not mine. That is who I represent. And , NO you do not do my job, I do not GOUGE, I DO PRACTICE PREDITORY LENDING PRACTICES, I do my job and I am not a practicing gypsy Lender...LOL. You have actually became very amusing. We will readdress this in about 6 months! I will still be here and so will my clients. You need to reread the nasty post about the phone practice...Here I will make it easy for you.

"To anyone unfamilar with the workings of large corporations they note all calls in and out on most every customer. If you hang up on them, its noted in the computer, they note good and bad and the next time you tell them someone said this and you are an active customer with a loan # it is noted in your file along with the person who spoke to you.

Those I believe are your rebuttal words, and that says enough even out of context. It has nothing to do with my loans, I WOULD NOT USE YOUR COMPANY, however if they are upset with you , still has nothing to do with your conduct as a Professional and not a thing to do with a Loan.

Now I Stand to the CONSUMERS, READ, LINE FOR LINE, QUESTION what you do not understand. I have a set of their closing Documents and I allow anyone interested to read them. And I do this with all lenders Documents. I disclose all. That is a fair and honest commitment I have made.

As far as placing BLAME, haven't done that. Expressed my experience with your Lender, without being crude and telling everyone that runs into problems in their life, indeed that happens, that they are Fat, Lazy oh I am not going there, that was the most unprofessional post I have read. I am sure that World Savings made that person, Employee on the Month.

You are telling me you KNOW ME, I have gone through Life placing Blame on the BIG GUY! In fact you are so far from the truth, you are placing your own beliefs on me, and I will tell you this. Do not presume to know how I feel, what I think. Because you would probably like me very much if you met me. I am a very fair person, and I believe if you reread my post, I have not wrote them with the venom that has been placed on here.

And I would Like to correct you on one thing, I was a in a very good Career. College Educated, 6 years in fact, I have excellent people skills and care very much about my community. I happened into this industry, because I do like working with people and I am good with numbers, have an extensive background in both. My numbers had to be exact, and rechecked every couple hours, and sometimes adjusted related to other numbers. Health issues changed my career. That is what made me look at this industry. Had not a thing to do with fast money. I believe I mentioned my contact and participation under, The Missouri Coalition for preditory lending , dontborrowtrouble.com. So save your assumptions. Thank You. AND CONSUMERS READ, GO TO THE WEB SITE, determine for yourself. If you are unsure, ask questions.

God Bless All!

So Good Luck to all,

Jacqueline,
First of all, it is not the banks business, or anyone else's, what a person has earned in their equity unless they are working with a bank at that moment.

Does your bank go to your commercial accounts and tell them that because they made so much money off of what you leant them that they need to be grateful?

"Allowing to capitalize by lending money to begin with?" You make this sound as if the bank is doing the people a service out of the goodness of their hearts! This isn't the case. Banks (regardless of their advertising) do this as a business... otherwise they wouldn't have a business.

Why do I make this point? Because, instead of treating a client as a relationship that is beneficial to both partners, making it sound like they are doing the customer a "favor" changes the moral equation... instead of what each side is entitled to, it becomses a matter of someone being "gratefful or ungrateful." It takes it out of the mutually beneficial realm.

Also, as a business, refinancing can be good for the consumer/homeowner as well as the bank. If I have a loan at 7.7% with bank "A" then Bank "B" does not have a loan with me. Bank "B" would much rather have me as a customer at 6% so they can make money that they normally wouldn't be making. This is at the expense of bank "A"... but heck, bank "A" is doing it to bank "B"s customers too!

Churning loans from one bank to another. It can definitely benefit the customer but it also benefits the banks too.

I don't think that a homeowner who is refinancing has objections to paying a fee. It is just that it would be nice to have it laid out in clear language, fully explained as to what their benefits are for dealing with your bank. They know that nothing is free.

If it is complex, then as professionals it is expected that you all make it not complex. After all, that is why people use professionals. We can't all be completely knowledgable about all aspects in life. Isn't that why you make the big bucks?

Thanks,

Darren,
I sometimes just come to this board waiting to see a post where I could give someone a suggestion. Since I know the in's and out's of this bank. I do feel for those who have automatic withdrawls that cant get them stopped. Others have obviosly had problems with the loan servicing and customer retention departments. I dont mean to attack those, I look for the ones I could offer suggestions too. I wish I could everyday spend time helping people, and sometimes a person falls in my lap. I see bad things banks do to people everyday, I see brokers charging them the maximum without cause.

I now assist a broker who almost does 100% repeat clients in addition to my regular job. Her selflessness amazes me, she kicks in money and often makes less then 1%. So the big money I am not making, but the rewards of talking to her clients and hearing the praise from them is almost as good as money. I see the people who have had a bad experience with this lenders' loan programs. World has been speciaizing in an adjustable loans for years. Just as police become hardened from the job they do, so do people in the mortgage industry. When I statred dealing with subprime lenders I realized how fortunate some are to go through World. The reasons are countless.

I do understand trying to get a lower rate, but the remark I speak of was from 2 seperate reports on here. This guy wanted World to recast his loan to meet the new lenders offer. When they wouldnt he started ranting about prepays, payoff demands, escrow accounts and fees. I am looking for that person who has a problem I can help with. I just see complaints, that bash the bank. What did the broker provide them with prior to submitting them at World? My opinion is, a good broker will help get the client a different mortgage. He may need to work on it for 6 months, but if repeat business and refferals are at all important they will do whatever it takes.

To all who have actually worked directly for World Savings, and I don't mean independent brokers, do they treat their employees well? I am currently in line for an Account Exec position and want to get some feedback on what others think of the company.

As a loan officer I have had nothing but success sending my clients through them. They are fast and efficient to deal with. In stark contrast to my other wholesale lenders all of the employees I've come into contact with are happy with their jobs. This says a lot about the company itself and it is why I chose them over any other lender.

Thoughts on the prior posts:

I still don't understand how Barb from Missouri thinks that it is unethical to bump the income on a 1003? If you think you are doing your clients a favor by going through every detail with a fine tooth comb then you are mistaken. Why don't you take a moment and think about why lenders even offer a stated income loan.

It seems to me that anytime you don't read the fine print on a contract or you fail to pay your mortgage payments you are going to experience difficulties. You can't cry predatory lending for a fire that you set.

Thanks to anyone that can provide feedback on World's work environment.

V You seem to be reading selectively, Now by what you are saying to me is, when a customer ask me to explain a loan program to them, I do not tell them what the details of that loan is, the advantage of this type of loan is, of course I did. Because as you well know they are structured to meet individual needs , whose now that depends, don't it. I did not go into a FINE TOOTH DEFINITION of the loan.

But I AS INSTRUCTED BY THE CONSUMER put in the amount that the CONSUMER stated to not go above. I believe that to be a very LEGAL way of conducting business. With his Credit Score, and FLAWLESS HISTORY, I had no concerns, The WORLD REP was present that was the reason I even used World, he said he could "slam dunk this and get it closed" I wasn't going to use World to start, it was a slam DUNK LOAN. WAS APPROVED BY WORLD, HAD EVERYTHING AND CLOSING DATE SET. HAD EVERYTHING WORLD WANTED FOR CLOSING.

I stated in one of my entry's on here, That the REP from World was confused to the out come of this. When I showed him he was on his phone to the underwriters and was furious and he has been with World 30 years, or close to that. There was no reason what so ever , even with the income stated was fine, but he( the Rep) had made the remark for future loans to increase the Income on future submissions, his statement was while this loan was going to closing??? , it had nothing to do with the loan that the consumer turned down!

I set no FIRE V. Whatever you don't seem to understand that loan is long gone and the consumer is happy. You are not reading what I am saying, I found the closing Doc's stuck between my screen door and front door, with instructions to read them, He was uncomfortable with the TIL stated, It clearly stated a prepayment fee for the lifetime of the loan, and before anything is said this was a FIXED RATE Loan. He took these closing Doc's to other Financial Advisers.

Do NOT come back at me with all this BS due to the fact, I talk with my clients throughout the loan, they can contact me at anytime. I am not going to go into a big debate over, as I did not follow the loan reps advice, as I said I know how stated works and why, his remarks had nothing to do with the loan I reported on here, reread above, what else was stated it was well within 90 days...LOL, I disclosed my charges to the penny, as I do with all, My client TURNED DOWN WORLD, not me, I closed that loan.

Do I know everything about the Mortgage industry, Does anyone...LOL, that's a given for all NO. It just seems that someone on here doesn't want to believe there are Mortgage LO's that don't squeeze the fruit until it is dry. I don't want a dryed up pipeline, I believe in keeping it as full as possible. The others that practice that way won't last long. It is happening all over.

I am sure you have seen this as well. World rates are based on the COSI( COST OF SAVINGS) not COFI( Cost of Funds Index) which is a good thing since the rates are rising, example GDW is the ticker However, I will say I have not come on here and insulted people, lied, boosted about my knowledge and thrown out a bunch of slanderous remarks, I think before I speak, I read carefully what is written and try to be fair, But I will report a problem when it arises, and I am not targeting World, I will also report on any other lender. However let me make it clear, I came on in the first place mainly to tell people to Read and Ask Questions. Leave the Closing Table go out and Jump for Joy, but treat the Closing as it should be, BUSINESS. There is more that I could say, But my objective is to get Borrowers to be Responsible in the Process. It is a Business, the whole process should be considered as that. I remember the first house I bought, it was like closing was forever and it lasted maybe 10 minutes.

I stand by what I have posted, I am not judging anyone. I posted an incident, gave what I thought to be very good advice, I do my business the way I would like to treated if I was sitting in the other seat, I do not believe I have ever put anyone in a loan any lender would up in a cardboard box. So sad to say; however it is the result of some Big Industry's that has put decent men, women, and children in the street's. Nor do I look at people and judge them by there race, hereditarity, creed, you see where I am here. I may take a second look in regard to the manner in which they conduct themselves if they come across in an usually harsh, crude or other behavior that maybe I might not be in a safe invironment.

Whether it be my office, or if I go to their work place or home. I pumped gas 30 years ago, what an awful smell that was and that was back when we checked the oil too. Brings back fond memories, but I believe I will continue to do the job I am. I don't have problems with my clients, nor complaints, and I have worked on loans for 4-6 months, I have a whole list of people that I won't be starting their loans from 6 months to a year that are rebuilding credit, finishing college, saving money. Some so they don't wind up in a cardboard box.

[DELETED]Here is where I would send anyone who continues to have problems.

[Place your comments below and be sure to include your FULL contact information so Rip-off Report can contact you.]

Hi Jacqueline,

Thank you very much for the reasoned response. I too like to browse through the board here but sometimes it just turns into a vindictive shouting match.

I do understand that a lot of rip-offs cause serious hurts and people are very upset. To them, I try to give the benefit of the doubt, as long as there are some facts provided other than just feeling hurt.

It does seem though that too many people and companies are out there sacraficing long term growth for short term profit. The personal relationship between two people making a mutually beneficial agreement has seemed to turn into more predatory practices.

Somtimes here the forrest gets lost with the focus on the trees. If this company does something that is illegal or unethical then it is important for consumers to know. If it is a case of a bad office in a large company then I would hope that the representatives of the company use it as a tool to remedy situations and clean up any messes.

Most people that come on here that think they are helping their company do much more damage than the original reporter. Sure, some of it does have entertainment value... but that isn't what ultimately is needed. It would be better if the problems were forwarded to those that can legtimately respond to the report.

My previously reply has to do with the large number of "professionals" that blame the customer for not knowing as much as they do. That really is impossible and it also shows that the person has lost that "something" that makes them look at the person on the other side of the desk as a customer utilizing their expertise so all my win.

If the office you work for is as you say, then you can be sure that word gets around and it will be long term.

Thank you very much!

World's Industry Rankings by Fortune Magazine:

Quality of Management: #1
Financial Soundness: #1
Quality of products and services: #1
Employee talent: #1
Use of Corporate Assets: #1
Social Responsibility: #1
Innovativeness: #1

World just celebrated its $100 billion dollar birthday. It is one of the only companies that does not use credit scores (which are can be dragged down by fraud, or other means beyond control of the consumer) to qualify borrowers.

***It has the LOWEST forclosure rate in the entire industry (.05%).

It offers fixed rates and adjustable rates.

The margin IS disclosed.

The only reason a pre-payment penalty is atttached is if the BROKER charges the customer points on the back by raising the margin!!!

The index by which the Adjustable Rate Mortgages is attached to IS the most stable in the industry (COSI INDEX).

I appreciate many of you which are real estate agents, but most agents do not understand finance. Many people pretend to, but there knoweledge is based upon experience and the conversation among others who have no financial education.

World does 90% of its origination by broker. If you had a bad experience its probably with a uneducated broker who would rip you off regardless of what lender they used.

You may believe my comments are putting down people who are not educated. I don't mean organized education exclusively, independent education is sometimes even better. But don't lecture people on ARM's if you don't know exactly how they are comprised. DON'T educate people on the intricies of a product if you are ignorant. DON'T talk about things you DON"T understand. AND don't put down an entire company because of the actions of a few brokers.

Read and learn, don't think that just because you are a expert in real-estate you are a financial wizard.

J.S. an M.B.A. and 22 years of experience in finance.

I hear people from all over complaining about that which they think they know. I am a mortgage broker as well as a home owner financed with World Savings. The problem with all you people is that everyone has a concept of what a loan should be like based on their experiences with lenders that sell there loans to the secondary market. In reality, when someone like me tries to tell them about this loan, the only thing they hear is what is my payment and I don't want any closing costs.

I hear people talking about not getting a fixed rate after 2 years. Maybe thats because the fixed rate option is after 3 years. They also talk about the pre-payment penalty. That is also 3 years. Again, not listening.

I hear everyone talking about how they are not being fair with the borrower because they are not doing things that they said they were going to do. Since I have been in the business, I have never seen World Savings change their policies. Now I have seen a lot of people try to taylor the loan and make it be what they want it to be. Everyone needs to keep in mind the bank doesn't owe you anything. You borrowed money from them. You owe them. I heard someone complain about how World Bank got on to them whem they missed a payment. Well, I tell you what, if you owed me money and you missed a payment even with a very low minimum payment due...IE 1.5%, I'd come after you to. If you can't make the minimum, you have no business owning a home.

In evey loan, everyone has different opinions of what is important to them. That is a fact. It is also a fact that with every action there is an equal and opposite reaction. What goes up must gome down. There are a hundred other sayings like this and yet people still want to walk through life hearing what they want to hear and still think they have a good beed on things. Sooner or later they get a rude awakening and they find out that the fairytail world they are living in does not exist and start balling like a baby to anyone who will listen. Hell, my son took it better when I told him there is no Santa Clause and hes 7!!

If you have any doubt in what I am saying, why don't you do your own research. Take any company out there. Try to think of all the companies you love to do business with and try searching for web sites bashing these companies. No matter how good the company is, there are going to be several idiots out there that are still thinking they have a good beed on things and that what they think is right and everyone else out there are idiots. Before you type anything bad on this site, I want you to do yourself a favor and look up these other sites and when you find them, remember that you are simply pissed of just like they people in these other sites. If you truely have been wronged, you will get your justice. At least then at least you will be stating fact on this site rather than a pissed off OPINION!

Just so you know that I don't really get riled up about a lot of things. There are few things that I am passionate about, but I am passionate about money. There are those in this world that are content with simply paying there bills and thinking they are going to be ok in the future. Most of those people are in for a rude awakening. If you are that person, then this loan probably isn't for you but if you know that prices are going to continually go up and that retirement plans and social security are not only going to be enough to simply get you by you need to do what you can while your young enough to do it. From an investment stand point, I can't see any reason why everyone shouldn't have this loan. Do your homework an d wise up. If you don't know what you are doing, then start doing what other people who do know are doing and stop complaining about the mistakes you make due to poor discision and lack of attention.

Only last month did I start a refi for a friend, even though I try to stay out of loan origination. Perfect borrower- if there ever was one, paying of a World Loan. The new lender took 16 days to fund, and the only PTF condition was submitted before docs were drawn. WSL would have table funded this loan, without the docs being returned. If WSL had better fixed rates I would have never sent him to a different lender, his current WSL was closed a few years ago when we locked him in @6%. Even he has mentioned how much easier it was when I did the loan through WSL the first time.

Now onto a example of why the ADJ rate loan is not so bad if you understand the difference between set interest rates and ADJ rates.
In June my mom purchased a home that was over the guidelines for WSL, unless she put 30% downpayment.
A current customer of WSL, they would not lend her $750K even with 5 years perfect mortgage history with them. They charged her a prepay, when compared to the $400K she made on the home she sold the prepay was a drop in the bucket. (2months and she would have been out of the prepay period) In June she closed on a fixed rate Jumbo with Wells Fargo @ 5.9% and her payment is $4448. Today her property is worth 100k more then it was in June, putting her within the WSL guidlines. By refinacing into a fully indexed adjustable rate (marm 12)her payment will drop to $3667. If you think this means her payment can jump anytime the bank raises rates, it wont. The yearly payment cap means until next Decmeber her payment stays the same and if it does go up the payment cannot go more $3942 for another year. This is a savings of THOUSANDS of dollars from the fixed rate she has at the moment, it would take almost 4 years for her ADJ loan to reach the payment she has today. If she uses the money she is saving and applied to her principal she would pay down her mortgage almost $10,000 the first year. On a fixed rate loan you would not pay down anymore principal, the $10K would go towards the interest.
This is just an example of why so many industry professionals are on this site, standing up for WSL. They know how to make this mortgage work in thier favor. You have to understand, aside from the servicing of customers loans...no one has complained that they are saving money.
By the way, my grandparents in their 80s also have this loan. It allows them to keep the home they have lived in for almost 45 years. On a traditional fixed rate, they could not afford a mortgage, prescriptions and unforseen increase in healthcare. I am always amazed when I see the posts that have accumulated in favor of WSL. The company is obviously doing something right.