Can you imagine a scenario where a homeowner pays to lock in a great rate, rates go up and the loan gets dumped when the underwriter thinks the lender can get a better rate out of you? Read on.
As a borrower and homeowner, we’ve always appreciated Countrywide Home Loans. They seemed to have integrity and a great business ethic. Has that changed?
You see, we locked in a good rate (4.6% fixed 25 year) the Friday before the 2009 presidential inauguration. Because of our high credit score, the loan officer offered an unstated income loan. We declined the unstated income option and opted to verify income to save a few hundred dollars. After all, our income is well over the DTI ratio for the very small PITI.
Should we have trusted Countrywide?
Rates have only gone up since that day, and we figured, at worst, Countrywide might really pour on the verification requirements to see if they could lose the loan.
But it could also be daunting for Countrywide to reject the loan.
- Our FICO Score (790) came out higher than we estimated (760) .
- Our verified income was two to three times higher than required for DTI. In one year it was verified higher than the loan principle!
- We have no other debt. Period.
- The home appraised FAR higher than initially estimated (by Countrywide or by us)
Wow. How do you throw out a loan when the diligence is that clean? We’re really interested to see if Countrywide will have integrity, or if they will find some bizarre reason to reject the loan.
We’ll keep you posted!
Posted under Credit Counseling
This post was written by admin on February 20, 2009
Seen this before. Report them to the FTC and the FBI. It’s fraud. Beware this lender!