Countrywide Home Loans ripoff Full Spectrum Division Lies Crooks Bad Business Rosemead California

Thank you for your input, but I already know most of the stuff you have posted here about mortgage loans (that was not the point of the complaint) I am aware of my 'subprime' status and how that works. After talking with a competent countrywide home loan agent/supervisor we have found that the agent we were working with was indeed at fault. He out and out lied to us to get us on the hook... the $300 deposit is being refunded to us.

While I appreciate you opinion, you are a little harsh and missed the point a bit. The 'last $300' comment was to reiterate to our loan agent that we had been 'jerked' around before and can not afford to go through the whole process again (he assured us that what we discussed that first day would be what the loan would be at closing if we gave them $300 appraisal fee that day). I do not know many people that have $300 available on a whim and we are a very strict budget.

The point of my complaint was that our agent did not communicate with us he did not tell us what was going on and we were only able to speak with him after talking to his supervisor. Whether he personally has '1000s' of other customers or not, He should be able to manage the amount of customers assigned to him or not be in that business. He lied to us for the get go. If he could not work the loan the way he said he should have communicated that to us as soon as he found out. He didn't update us with the change in terms when our house value was lower than expected (we would have stopped the whole process then) and we only found out about our change in terms when we got to closing (2 weeks after the appraisal came in) and had to find out about it from the notary who could do nothing about it.

I understand paying non-refundable deposits when I make certain transactions and I am made aware of the non-refundable status. But, that is not what we were told (that again being my point we were lied to).

And I don't know about countrywide 'losing' when we pay only a $300 fee when our home loan was supposed to be for $15,000 more then the pay off amount on our original loan, $7000 would have when to our original mortgage co. (in pre-pay penalties) and $8000 left would go to countrywide in fees and closing costs.

Welcome to the world of being a sub prime borrower. You have bad credit because throughout your credit history or maybe just recently due to unforeseen circumstances you've neglected to pay your bills on-time. This adversely affected your credit score and given your poor track record has assigned you a "high risk" grade. Due to the considerably higher risk of giving you a loan (remember, you don't pay your debts?) you're paying a higher rate to offset this.

Here is the probable reason your rate shot up past 9% - The appraised value of your home came in lower then expected; much lower. The loan itself with the value you provided to the loan officer was approved, however when the appraisal came in with the true value it changed your loan to value (LTV). The higher the LTV the higher the risk and therefore the higher the interest rate.

Now, granted your loan officer should have informed you of the change prior to closing but honestly he was probably busy helping the thousands of borrowers pounding down Countrywide's doors trying to get a mortgage since so many other lenders have gone under or ceased their mortgage business; or maybe he just didn't want to tell you the good news, I don't know.

The $300 deposit is not refundable; this is because it pays a portion of the appraisal. The appraisal is a cost that Countrywide incurs to obtain the value of your home and is actually higher then $300 ($345-500+). The appraisal was performed, this is what you paid for and Countrywide now has to eat the remaining cost along with the many man-hours put into your loan. Countrywide is the real loser in this situation. They paid the full cost of your appraisal and long with the many man-hours that went into your loan with now no way to recoop those cost.

But let's be honest here; if the $300 was your "last $300" and means the difference between feeding your children and paying your utilities bills then you are clearly not in the financial position to own a home. Home ownership is a privilege, not a right. I realize this probably sounds harsh but if you can't afford the refinance, can't pay your bills and have over-extended yourself to the point where you can't part with a few hundred dollars then you do not deserve to own a home or at least a home of the cost you choose.

Here's my constructive suggestion.

1) Pay your bills on time
2) Reduce your debt
3) Research your area and the comparable sells in the area.
4) Sell your house and buy something smaller or rent
5) Try again once you have redeemed your credit.

Of course, all of this is my own opinion and does not reflect the opinion of Countrywide.