Warning

 

Close

Confirm Action

Are you sure you wish to do this?

Confirm Cancel
Member Login

Site Notices
Posted: 9/30/2011 4:36:44 AM EST
Sold a house on the 23rd. Asked for payoff amount based on the 27th. Mortage company acknowledged receipt of payoff on the 26th.

Emailed them to ask when they would be refunding the extra $5K they charged for 'tax escrows and additional fees" since the taxes were already paid and we had the proof frmo the assessor's office faxed to them.

They call today to tell us their will be additional charges because they won't get around to processing the payoff until next week so we are responsible for the extra interest, fees, etc., and they can't determine if there will be a refund.

One more thing to tell the lawyer about. This experience has been quite the clusterfuck.
Link Posted: 9/30/2011 4:40:51 AM EST
Originally Posted By DavidC:
Sold a house on the 23rd. Asked for payoff amount based on the 27th. Mortage company acknowledged receipt of payoff on the 26th.

Emailed them to ask when they would be refunding the extra $5K they charged for 'tax escrows and additional fees" since the taxes were already paid and we had the proof frmo the assessor's office faxed to them.

They call today to tell us their will be additional charges because they won't get around to processing the payoff until next week so we are responsible for the extra interest, fees, etc., and they can't determine if there will be a refund.

One more thing to tell the lawyer about. This experience has been quite the clusterfuck.


Shady as shit, don't think it's legal for them to hold the payment until they decide to "process" it. I'm assuming it was an escrow situation so the title co. paid them? Can you verify if it was electronic or a physical check? What mortgage co?
Link Posted: 9/30/2011 4:44:47 AM EST
That sucks. You sold the bug-out lair?
Link Posted: 9/30/2011 4:45:16 AM EST
Link Posted: 9/30/2011 4:47:49 AM EST
[Last Edit: 9/30/2011 4:48:54 AM EST by DavidC]
Check from the escrow company (house was sold for cash); don't know if it was paper or electronic..

Select Portfolio Servicing - mega crooks in an industry full of shady operators.

Sold the cabin - looking for property in the WV, TN, KY area starting in a few months. Wife said 'let's find a hundred acres and build a house we like", who am I to argue?
Link Posted: 9/30/2011 4:51:09 AM EST
Originally Posted By DavidC:
Wife said 'let's find a hundred acres and build a house we like", who am I to argue?


Ya, you don't argue with that. Depending on the discrepancy in the amount, it may not even be worth it to try and fight it. They know that.
Link Posted: 9/30/2011 4:51:56 AM EST
Originally Posted By DavidC:
Check from the escrow company (house was sold for cash); don't know if it was paper or electronic..

Select Portfolio Servicing - mega crooks in an industry full of shady operators.

Sold the cabin - looking for property in the WV, TN, KY area starting in a few months. Wife said 'let's find a hundred acres and build a house we like", who am I to argue?








j/k


Lucky You.
Link Posted: 9/30/2011 4:56:21 AM EST
Originally Posted By Aimless:

Originally Posted By DavidC:
Sold a house on the 23rd. Asked for payoff amount based on the 27th. Mortage company acknowledged receipt of payoff on the 26th.

Emailed them to ask when they would be refunding the extra $5K they charged for 'tax escrows and additional fees" since the taxes were already paid and we had the proof frmo the assessor's office faxed to them.

They call today to tell us their will be additional charges because they won't get around to processing the payoff until next week so we are responsible for the extra interest, fees, etc., and they can't determine if there will be a refund.

One more thing to tell the lawyer about. This experience has been quite the clusterfuck.
Bullshit, pay off amount is good through the date in their pay off letter.



Sure, but hiring you to tell them that might be more than the difference.
Link Posted: 9/30/2011 4:59:00 AM EST
Link Posted: 9/30/2011 5:02:20 AM EST
Originally Posted By Aimless:
Reasonable rates, work for ammo


I had to put more than half a ton into storage; you might be hearing from me

Link Posted: 9/30/2011 5:03:57 AM EST
Originally Posted By DavidC:
Sold a house on the 23rd. Asked for payoff amount based on the 27th. Mortage company acknowledged receipt of payoff on the 26th.

Emailed them to ask when they would be refunding the extra $5K they charged for 'tax escrows and additional fees" since the taxes were already paid and we had the proof frmo the assessor's office faxed to them.

They call today to tell us their will be additional charges because they won't get around to processing the payoff until next week so we are responsible for the extra interest, fees, etc., and they can't determine if there will be a refund.

One more thing to tell the lawyer about. This experience has been quite the clusterfuck.


This is why when you are financing your home you NEVER, repeat NEVER allow the company to set up an escrow account to pay for your taxes, insurance and other stuff. Pay it yourself! And yes, for the record, I have no escrow account.
Link Posted: 9/30/2011 5:06:00 AM EST
On a side note TN has no state income taxes and there is land available all over the state. Let us know where you might consider for any further considerations.

po-po
Link Posted: 9/30/2011 5:23:13 AM EST
Check your closing docs. If there isn't mention of these "fees" then they can't charge them.

If they assumed the loan, they are under the rules of the original loan at closing.

They will make it sound like they can charge these fees, but will back down if you make enough noise. I once had a lender try to charge fees for a payoff letter than I didn't even request (re-fi). They backed down.

Charging interest after a full payoff is received outright illegal––can't imagine they would even try to do that. I've heard that you should add a few hundred to the payoff to account for any potential error. If they give you $x and it turns out they are off, they will try and charge more interest.

They are allowed to hold escrow for a certain timeframe after settlement. In my state, I believe it is 60 days or so. Not sure about your state.
Link Posted: 9/30/2011 5:28:54 AM EST
Originally Posted By TexasSmooth:

This is why when you are financing your home you NEVER, repeat NEVER allow the company to set up an escrow account to pay for your taxes, insurance and other stuff. Pay it yourself! And yes, for the record, I have no escrow account.


This isn't about an escrow account they already had; they had a line item in the payoff amount that included escrowing funds for that purpose.
Link Posted: 9/30/2011 5:30:39 AM EST
I feel ya, If we could refinance with someone to get away from Wells Fargo Im all for it... Seems like their fuck ups cost ME all the time... Its always some bullshit to handle and deal with...
Link Posted: 9/30/2011 5:30:45 AM EST
Originally Posted By policeman:
On a side note TN has no state income taxes and there is land available all over the state. Let us know where you might consider for any further considerations.

po-po


Somewhere I can find a hundred acres, reasonable road access, and no neighbors.

And a good hospital within a reasonable drive (we're looking to retire to the property in a decade or so)
Link Posted: 9/30/2011 5:34:42 AM EST
Lawsuit waiting to happen , unless you closed past 5pm or so , the money is always wired same-day to the bank to be paid off.
Link Posted: 9/30/2011 5:36:35 AM EST
Originally Posted By DavidC:
Check from the escrow company (house was sold for cash); don't know if it was paper or electronic..

Select Portfolio Servicing - mega crooks in an industry full of shady operators.

Sold the cabin - looking for property in the WV, TN, KY area starting in a few months. Wife said 'let's find a hundred acres and build a house we like", who am I to argue?


I had SPS for a loan once, they suck royally!
Link Posted: 9/30/2011 6:13:50 AM EST


Title insurance is a scam.
Link Posted: 9/30/2011 7:05:25 AM EST
Originally Posted By _DR:


Title insurance is a scam.


Totally unrelated, but you are wrong about that.
Link Posted: 9/30/2011 7:14:23 AM EST
Originally Posted By TexasSmooth:
Originally Posted By DavidC:
Sold a house on the 23rd. Asked for payoff amount based on the 27th. Mortage company acknowledged receipt of payoff on the 26th.

Emailed them to ask when they would be refunding the extra $5K they charged for 'tax escrows and additional fees" since the taxes were already paid and we had the proof frmo the assessor's office faxed to them.

They call today to tell us their will be additional charges because they won't get around to processing the payoff until next week so we are responsible for the extra interest, fees, etc., and they can't determine if there will be a refund.

One more thing to tell the lawyer about. This experience has been quite the clusterfuck.


This is why when you are financing your home you NEVER, repeat NEVER allow the company to set up an escrow account to pay for your taxes, insurance and other stuff. Pay it yourself! And yes, for the record, I have no escrow account.


im pretty ignorant then. i didnt even know you could do that unless the house was paid in full.
Link Posted: 9/30/2011 7:22:26 AM EST
[Last Edit: 9/30/2011 7:23:32 AM EST by Zcwilkins]
Originally Posted By landlord:
Originally Posted By TexasSmooth:
Originally Posted By DavidC:
Sold a house on the 23rd. Asked for payoff amount based on the 27th. Mortage company acknowledged receipt of payoff on the 26th.

Emailed them to ask when they would be refunding the extra $5K they charged for 'tax escrows and additional fees" since the taxes were already paid and we had the proof frmo the assessor's office faxed to them.

They call today to tell us their will be additional charges because they won't get around to processing the payoff until next week so we are responsible for the extra interest, fees, etc., and they can't determine if there will be a refund.

One more thing to tell the lawyer about. This experience has been quite the clusterfuck.


This is why when you are financing your home you NEVER, repeat NEVER allow the company to set up an escrow account to pay for your taxes, insurance and other stuff. Pay it yourself! And yes, for the record, I have no escrow account.


im pretty ignorant then. i didnt even know you could do that unless the house was paid in full.


You have to be under 80% LTV for a lender to ok it. The place I used to work at required proof of assets to cover the next installments and no indication of delinquency on either of them in the last year or two as well.

ETA - To clarify that above 80% LTV you're required to escrow, so a lot of people don't have a choice when they buy/refi. Especially after the values have dropped like they have.
Link Posted: 9/30/2011 7:29:18 AM EST
Thank you Frank-Dodd Act. The big banks are now holding all the cards. good luck suing someone with a team of 8700 lawyers...
Link Posted: 9/30/2011 7:31:01 AM EST
Originally Posted By Zcwilkins:
Originally Posted By landlord:
Originally Posted By TexasSmooth:
Originally Posted By DavidC:
Sold a house on the 23rd. Asked for payoff amount based on the 27th. Mortage company acknowledged receipt of payoff on the 26th.

Emailed them to ask when they would be refunding the extra $5K they charged for 'tax escrows and additional fees" since the taxes were already paid and we had the proof frmo the assessor's office faxed to them.

They call today to tell us their will be additional charges because they won't get around to processing the payoff until next week so we are responsible for the extra interest, fees, etc., and they can't determine if there will be a refund.

One more thing to tell the lawyer about. This experience has been quite the clusterfuck.


This is why when you are financing your home you NEVER, repeat NEVER allow the company to set up an escrow account to pay for your taxes, insurance and other stuff. Pay it yourself! And yes, for the record, I have no escrow account.


im pretty ignorant then. i didnt even know you could do that unless the house was paid in full.


You have to be under 80% LTV for a lender to ok it. The place I used to work at required proof of assets to cover the next installments and no indication of delinquency on either of them in the last year or two as well.

ETA - To clarify that above 80% LTV you're required to escrow, so a lot of people don't have a choice when they buy/refi. Especially after the values have dropped like they have.



sweet. thats good to know. about this time next year i'll be hitting that mark.

cant wait to get rid of that pmi too.
Link Posted: 9/30/2011 7:38:57 AM EST
Originally Posted By landlord:

cant wait to get rid of that pmi too.


Thought PMI went away when you had 20% equity?
Link Posted: 9/30/2011 7:44:48 AM EST

Originally Posted By DavidC:
Originally Posted By _DR:


Title insurance is a scam.


Totally unrelated, but you are wrong about that.

My understanding is the title insurance you are required to purchase protects the lender, not you.

Link Posted: 9/30/2011 7:45:57 AM EST
[Last Edit: 9/30/2011 7:47:06 AM EST by makintrax73]
Originally Posted By _DR:

Title insurance is a scam.


<–––– real estate lawyer.

If you want to go around spending tens or hundreds of thousands of dollars on real estate with no guarantee of good title be my guest. I've been representing people buying property for a dozen years I can tell you that I would not even consider buying real estate without it.

It may be overpriced, but you are free to shop around.

ETA: There is a mortgage policy, and an owner's policy. The first protects the bank's lien interest, and the second protects your title. You won't get a loan without the first.
Link Posted: 9/30/2011 7:50:32 AM EST
Originally Posted By DavidC:
Originally Posted By landlord:
cant wait to get rid of that pmi too.

Thought PMI went away when you had 20% equity?

It can, but it's not automatic. You have to request that it be done.
Link Posted: 9/30/2011 7:51:18 AM EST
Originally Posted By DavidC:
Originally Posted By policeman:
On a side note TN has no state income taxes and there is land available all over the state. Let us know where you might consider for any further considerations.

po-po


Somewhere I can find a hundred acres, reasonable road access, and no neighbors.

And a good hospital within a reasonable drive (we're looking to retire to the property in a decade or so)


Any where here. FMV for ag-zoned land is right around $3-$4k/acre and much less if you're buying tracts of 100 acres.

One thing we have an abundance of NWTN is cheap land, low taxes, and "ruralness". Henry County/Kentucky Lake area is booming with retirees. Carroll County has finished their Carroll Lake project and there would be plenty of land to buy there with lake access.

Link Posted: 9/30/2011 7:57:52 AM EST
Link Posted: 9/30/2011 7:58:03 AM EST
Originally Posted By DavidC:
Sold a house on the 23rd. Asked for payoff amount based on the 27th. Mortage company acknowledged receipt of payoff on the 26th.

Emailed them to ask when they would be refunding the extra $5K they charged for 'tax escrows and additional fees" since the taxes were already paid and we had the proof frmo the assessor's office faxed to them.

They call today to tell us their will be additional charges because they won't get around to processing the payoff until next week so we are responsible for the extra interest, fees, etc., and they can't determine if there will be a refund.

One more thing to tell the lawyer about. This experience has been quite the clusterfuck.


I know I am a cash person paid cash for all my homes.

But I got to ask why would anyone have a escrow account, pay the taxes and insurance yourself why start to give it to the bank a year in advance. and on top of this you would not be in this problem right now

Link Posted: 9/30/2011 7:58:10 AM EST
Originally Posted By TexasSmooth:
Originally Posted By DavidC:
Sold a house on the 23rd. Asked for payoff amount based on the 27th. Mortage company acknowledged receipt of payoff on the 26th.

Emailed them to ask when they would be refunding the extra $5K they charged for 'tax escrows and additional fees" since the taxes were already paid and we had the proof frmo the assessor's office faxed to them.

They call today to tell us their will be additional charges because they won't get around to processing the payoff until next week so we are responsible for the extra interest, fees, etc., and they can't determine if there will be a refund.

One more thing to tell the lawyer about. This experience has been quite the clusterfuck.


This is why when you are financing your home you NEVER, repeat NEVER allow the company to set up an escrow account to pay for your taxes, insurance and other stuff. Pay it yourself! And yes, for the record, I have no escrow account.

Impound accounts may be required per Regulation Z in which case you do NOT have a choice.
Link Posted: 9/30/2011 8:07:51 AM EST
Originally Posted By makintrax73:
Originally Posted By _DR:

Title insurance is a scam.


<–––– real estate lawyer.

If you want to go around spending tens or hundreds of thousands of dollars on real estate with no guarantee of good title be my guest. I've been representing people buying property for a dozen years I can tell you that I would not even consider buying real estate without it.

It may be overpriced, but you are free to shop around.

ETA: There is a mortgage policy, and an owner's policy. The first protects the bank's lien interest, and the second protects your title. You won't get a loan without the first.


Title insurance is a good thing, and cheap.

But what they don't tell you is the insurance only covers things that are part of the public record, and only that are part of the record for the period searched. So, if your title company is like most, they only go back 40-50 years. If there's some doc in the courthouse from 1900 that confers 50% interest in the property to Injun Joe, you're fucked.

Title insurance really only protects you (the lender, really) from the the para that did the title work. If they miss something in the courthouse then it's covered. If it was never in the courthouse, or it predates the period searched, then you're fucked.
Link Posted: 9/30/2011 8:16:34 AM EST
[Last Edit: 9/30/2011 8:16:59 AM EST by DavidC]
Originally Posted By FredMan:
Originally Posted By makintrax73:
Originally Posted By _DR:

Title insurance is a scam.


<–––– real estate lawyer.

If you want to go around spending tens or hundreds of thousands of dollars on real estate with no guarantee of good title be my guest. I've been representing people buying property for a dozen years I can tell you that I would not even consider buying real estate without it.

It may be overpriced, but you are free to shop around.

ETA: There is a mortgage policy, and an owner's policy. The first protects the bank's lien interest, and the second protects your title. You won't get a loan without the first.


Title insurance is a good thing, and cheap.

But what they don't tell you is the insurance only covers things that are part of the public record, and only that are part of the record for the period searched. So, if your title company is like most, they only go back 40-50 years. If there's some doc in the courthouse from 1900 that confers 50% interest in the property to Injun Joe, you're fucked.

Title insurance really only protects you (the lender, really) from the the para that did the title work. If they miss something in the courthouse then it's covered. If it was never in the courthouse, or it predates the period searched, then you're fucked.


I'm in the middle of a huge title insurance fight over the property I just sold. Sufice to say that the title company admitted responsibility and that our claim was valid (they missed a 50% encumbrance on the mineral rights when we bought the property) and all we are doing now is arguing about how much they owe us. Might end up in court with the underwriter, but our case is rock solid and all they can do is delay the inevitable.
Link Posted: 9/30/2011 9:22:16 AM EST
Top Top