ING Direct
Capital One 360 Mortgage offer bait — switch

Completed a mortgage refi application with ING Direct on 12/12. Following routine credit check, they made me an offer of 3.00% 7/1 ARM with LTV of 80% subject to asset and income verification and appraisal.

Appraisal came back and a value that supported the 80% LTV requested. However, now three weeks into the process, they contacted me to say that they required 70% LTV on condos. The type of residence (SFR, Condo, Townhouse) is part of the application and was known to them prior to their original loan offer.

Until recently, I was not aware of ING offering 80% LTV (as I recall, they typically requested 70%). Recently, though, they have updated all of their marketing collateral to indicate that they offer 80% LTV. Every piece of information I received from throughout this process indicated 80% LTV. You will not see any mention of 70% LTV anywhere in advertisements for their mortgage products and if you apply for financing on a condo, you will not be informed of this requirement prior to appraisal.

Appearances are that they are engaged in a shell game. I remain in discussions with them but am pursuing refi with another lender in parallel. Should I have to refi with another lender who clearly discloses rates at LTVs, ING Direct's potential liability in my case is substantial.

Company: ING Direct
Country: USA
Site: ingdirect.com

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