I signed a contract as Branch Maanager, with Platinum Capital Group of Irvine, CA, in February, 2001. I spent thousands of dollars out of my own pocket setting up the new branch for Platinum. I started with 65 loans, many of them were Purchase Loans with Realtors and were a result of long-time relationships. Immediately I found out that Platinum Capital did not pay the bills such as phones, appraisals, credit reports, copier rental, radio broadcast, and office funiture rental, etc...
My experience with Platinum did not get any better. I hired an underwriter who was staffed in my Branch, but she was hired to underwrite for other branches located in Las Vegas as well. Platinum split this underwriter's bonus of $1500 and charged me for $750 when other Branches were to use her services also. Why not split her bonus with all of the Branches that she was going to underwrite for? This underwriter performed her duties on only four loans and decided not to underwrite any more files. For two weeks, she found problems with all the files, complained about furniture and additional items she needed for her office, including a lock on her door, so she could lock up the files. She constantly reminded me that she did not work for me, only for Platinum Capital. It did not matter that she was housed inside of my Branch. I contacted the Corporate Office many times regarding her attitude with no avail.
While trying to accommodate her, there were no loans out of my Branch that were underwritten. So finally I dediced to attack the problem head-on. I asked her to underwrite my files and she continued to work on other files that were not mine. I then asked the underwriter to leave the premises. She refused and the local police were called in. The Corporate Office was contacted and I was told that I should not have asked her to leave or call the police.
After the police were called in, I started having more problems with Platinum Capital. I have 19 loans as of this date that have been funded and closed. Platinum Capital has not paid anyof my bills and have not released any of the money back to my Branch. So I contacted the president of corporate services. He stopped calling me. Then I contacted the general council and he stopped calling me. I called and E-Mailed everyone that I could at Platinum Capital and have not heard from any of them.
Platinum Capital has not fulfilled their obligation to pay all approved expenses incurred by my Branch as stated in the Contract. The vendors are calling us everyday for their money and we cannot get any responses from Platinum Capital. My parents are investors in my Mortgage Company with me as Branch Manager. Although the bills are in the mortgage company's name, our credit and social security numbers were used to obtain the telephones, furniture, a three-year rental lease on building, radio broadcast, copier etc... We are responsible for paying all of these bills. Our names are out in the community and business world and our credit is being affected by these bills not getting paid. My mom is a licensed Realtor and she and my father had FICO scores at 700 & 800. This has changed since Platinum Capital has not paid any of the bills for only two months.
With 19 loans, there should be enough money to pay the bills, and the balance left be sent back to my Branch. As of June 12, 2001, none of the bills have been paid and I have not received any money to keep my Branch up and going.
We are three African American people who are first time business owners, trying to make a decent living for ourselves and our family. Platinum Capital is a large corporation who is ripping of my branch as a result of these very bad business practices. This company seems to be very deceptive and is trying to take over or shut down little small time first-time business owners.
I am currently FILING COMPLAINTS WITH HUD, THE FINANCIAL INSTITUTION DIVISON, LABOR BOARD, NAACP, BETTER BUISINESS BUREAU, CONSUMERS AFFAIRS, EQUAL RIGHTS COMMISSION AND THE ATTORNEY GENERAL'S OFFICE.
I sent in my cancellation notice to discontinue doing business with Platinum Capital and I would also like to be included in the Class Action Lawsuit against Platinum Capital.