AMC Mortgage Services Predatory Lending Practices ripoff Orange California

Back in May 2004, we got a loan to purchase our home with Ocwen, the loan was subsequently refinanced by AMC. Since our credit was not good the loan was a variable rate loan, with the hope of fixing our credit and refinancing. In January of 2006, we were able to get our credit score to the point that we could get a descent fixed rate, knowing that our rate with AMC will be going up by August 2007.

The loan was approved and a closing date was to be set, pending a final pay off quote from AMC and a credit report. The moment AMC received the request from the mortgage company they have been pushing to foreclose on our home. First they reported to the credit bureau that we were late by 60 days. In the process of proving that this was not the case, they demanded that we make 2 months payment before they would state that the mortgage was current. We went into a forbearance agreement to catch up with the 2 late months they were insisting on.

Finally we borrowed from our 401K and sent them the money and they still refused to correct the 60 day notice from the credit bureau, saying that the payment was received late. Needless to say the loan did not go thru. At the end of this they filed foreclosure papers on us that we failed to meet the agreement of the forbearance. When we received the papers we contacted them and asked to be reinstated. AMC said the only way the we could become current on our mortgage was to pay $13,000 in fees and charges. We borrowed from our 401K again, but could only get $11,000.00, which we sent to AMC. AMC returned this payment and insisted that they will only take $13,000 within 10 days or proceed with foreclosure.

In the process of us trying to come up with the difference, AMC filed for foreclosure. We spoke to them and they would only agree to another forbearance if we paid the $13,000 and pay $2139.00/mo. To stop the foreclosure we sent them $13,000 and have been
pay $2139 since April. We received our rate increase from $2139/mo to $2468 yesterday.

AMC is still reporting to the credit bureau that we are 90 days past due and only making partial payments on our loan. Plus they will not dismiss the foreclosure case. So far they have reported us 7 times 90 days late. We cannot get refinancing from anyone when they seen the 90 days late. We have a gem of a home, within the last 3 year the value of the property has increased from $197,000 to $295000.

PLEASE HELP!
Henry

Atsor
Wyoming, Ohio
U.S.A.