Beneficial Finance HSBC, Household Insurance increased interest without reason; refusal to honor life-insurance  Internet

 Our initial mortgage interest rate in 2005 was 8% and we were told the rate would drop 1/4 of 1% each year as long as payments were never late.  We also took out life insurance on the mortgage. If the insured died AFTER 2 years, no documentation would be needed - it would be paid.

My husband died 5 DAYS before the 2-year anniversary.  I provided all the information they asked for and they used it to deny my claim.  His cause of death was unrelated to ANY doctor visits in the previous several years, but they denied it anyway - even after I appealed.

I recently contacted them to get my loan refinanced.  They're no longer in the mortgage business so they will not refinance.  I also found that my interest rate is 8.8%.  It should be 6% based on what we were told in 2005.  No one I have spoken to can help me - they're all in India.  They're also all worthless.

This company is unscrupulous.  It would be wonderful to see a class-action done, but I won't hold my breath waiting for it to happen.  Here's my take on this:  Beneficial is owned by HSBC.  HSBC is one of the richest corporations in the world.  Seriously.  To the tune of 4 trillion.  They don't care how many complaints they get.  They don't finance ordinary mortgages anymore so who cares about bad publicity.  If a law firm files a class action, HSBC can send an army of their own attorneys.  Price will be no object to them.  It would be Daniel fighting Goliath.