Initially I was very happy with the manner that my mortgage application was handled. The response time was quick. However every time my agent or myself questioned closing related fees, we never got a straight answer. Although the fees appeared high, I decided to proceed with the mortgage due to seemingly honest communication with the lending officer.
When it came time for closing, I noticed a $500 fee that was not originally on the good faith estimate and was being added as a discount fee even though the discount fee was 1% and was clearly already there.
At that point, I refuse to hand over any money until I had a chance to speak to lending officer. In the meantime, my agent was communicating with closing officer regarding the mystery fee. The closing officer sent emails to the person in charge of the closing with Shore Mortgage. That person responded by stating that the fee was something the lending officer came up with.
When I contacted lending officer, Rudy Mcdowell he stated he had nothing to do with it and that the mortgage company had just developed a new fee for what he called at-risk loans. Even though, he forgot he had already told us we were getting a higher interest rate so closing fees would be low. He assured me he could do something post-closing and to proceed as planned.
A week after closing, I sent an email asking about the refund. At that time, he went on and on how it was part of the mortgage because it was a difficult mortgage but would go ahead and refund from his own pocket. It is now one month post closing, and I have not received a penny. I have saved all communication emails with him, realtor, closing agent and Shore Mortgage closing personnel.
I will gladly retract everything I have stated if the refund in the amount of $500 is made in a timely manner. Hopefully it got crossed in the mail.
If not, be wary as this is a very shaded practice and consumers could stand to pay more money than anticipated. This mystery fee I was told could not be listed as a line item because FHA would not allow such fee....Obviously there is a reason for that.