We applied for a refinance loan to obtain equity on our home in order to put on a roof and do a few other minor repairs to our home in order to use a special adaptive grant to have our house handicap modified in order to remain in our home a lifetime. My husband is a totally disabled veteran and we explained and provided all our documentation supporting our case to Citifinance.
Our loan agent expressed we could consolidate our debt and home all into one loan, we were reluctant but agreed if we had enough equity we would do such a thing. We also were explicite that our benefits for our children were to not be included in our household income as we knew it was going to be coming to an end.
Loan was obtained with numbers that indicated we were approved for quite a bit more than we knew our house to be worth, the loan agent told us that is because they could do 125% loans.
We needed the work done on our house for accessibility so we went with it not realizing the laws and not realizing the "appraiser" would state he walked through our home and around our property to verify it was worth $138,000 a figure we never ever saw before January 2011.
After working for 3 years to get the grant going and things in place to have our house modified, we came to realize we were upside down in our mortgage (no where near enough of our payment going to the principle) and that we were unable to use our grant without a right down on our mortgage, thus began the beginning of unfolding the various lending issues that were predatory at best.
We requested a right down, denied. We started to miss payments on our mortgage to leverage them to work with us, foreclosure started. We met with a court mediator who agreed our request was valid, Citifinancials attorney stated it paid them to take our home. Our attorney advised us to file for bankruptcy which we didn't financially qualify for but would get us out of our house.
We filed in early 2011, August it was discharged and Citifinancial aka Citimortgage, Citibank requested a relief of stay on foreclosure in order to proceed on a judgement which to the best our knowledge has never been granted. The home was sold on April 4, 2012 for $52,000 back to Citigroup and to this date has yet to have the deed transferred. No one seems to be able to tell us anything other than the bank will not transfer the deed until they are able to sell the house and that may be up to three years before they even do anything because they know as long as the deed remains in our name we are unable to purchase another home.
My husband is a totally disabled war veteran and we have moved from the home although we are able to still live there, because it is inaccessible for my husband at this time. We live in a home 1/3 the size and want to move to a larger home and purchase again. We had no significant debt when we filed bankruptcy (less than $6500 in other debt beyond mortgage) and our lives have been completely ruined by this companies unethical practices. We owned our home more than 15 years and planned to make it a lifetime home. We did everything right up to withholding our mortgage payments to leverage the Citifinance company to right down so we could stay in the home.
We have since found out the appraiser stated our home was worth $138,000 even though he/she never came to our home. They also used all our household income, ignoring our request to not use the benefits our children received. the company did lend us 125% value of the home and then didn't apply our payments accordingly to which when we asked why we were told our mortgage was not a mortgage but a secured simple interest loan! Holy Cow! Utterly disgusted with this organization and I do believe they violated the law.
At this point I simply want them to get the deed changed out of our name and eliminate our responsibility. We currently maintain the property and pay the city storm sewer fees as we are considered the current owners. If we purchased a home via sheriffs sale we would have had to have the deed changed within 90 days, Citimortgage seems to be eliminated from following the law as it is going on 6 months and it doesn't appear there is an end in sight. We just need to move on to a larger home and clean up our credit report to reflect the home is no longer in our name.
Stay away from this organization, especially if you are military or veteran. They take advantage of you knowing you have guaranteed income and they can take advantage of you.