Mortgage refinance RANT!! (again!)

[Charade]

Just closed on my refinance. It was from a broker and not a lender. Turns out the lender who bought the new note is the same as my old lender (Countrywide)!! I hated Countrywide! Ugh!

I think it's kinda shady that Countrywide can buy their own mortgage from themselves and charge me all those BS closing fees again. I'm writing their customer service and voicing my displeasure.

I do have 3 days to cancel but it would cost me $550.


When I originally got the refinance from Countrywide they told me I could just call and lock the rate (it was an adjustable). Turns out that's not true. They wanted to sell me another mortgage. I told them that they weren't getting any more money from me.

 

[Christine]

My friend has Countrywide and they do seem YUCKY!!

Last time I refinanced, I also went through a broker. Mine was immediately sold to ABN AMRO and, I gotta say, they are wonderful. I hope I never get sold!

 

[ducklite]

Just closed on my refinance. It was from a broker and not a lender. Turns out the lender who bought the new note is the same as my old lender (Countrywide)!! I hated Countrywide! Ugh!

I think it's kinda shady that Countrywide can buy their own mortgage from themselves and charge me all those BS closing fees again. I'm writing their customer service and voicing my displeasure.

A little education about mortgages.

The broker very likely sold the loan to an intermediary who sold the loan in a bundle through FNMA/FHLMC to a long term institutional investor. The SERVICING of the loan was sold to Countrywide, who gets a small fee on each loan to collect the payments and disburse them as required.

Countrywide doens't own paper. They only keep the servicing. As the largest mortgage servicer in the US, it's not surprising that you ended up with them. But they do NOT own your loan.

Frankly I've had them servicing my loans several times now, and haven't had any problems with them at all. I'm intersted in knowing what types of issues you've had?

I do have 3 days to cancel but it would cost me $550.

Not neccesarily. In many states if you rescind a re-fi, every dime you paid into it through the lender must be refunded, including appriasal and credit report fees. They just don't ever tell you that.

When I originally got the refinance from Countrywide they told me I could just call and lock the rate (it was an adjustable). Turns out that's not true. They wanted to sell me another mortgage. I told them that they weren't getting any more money from me.

Often that rate lock-in is only available during the first "X" number of months, and varies by state. If you ahve it in writing that you were supposed to be allowed to lock the rate, and have a request to do so that was denied also in writing, go to the State Banking Department. If it's not in writing, it's not enforcable. Caveat Emptor.

Anne