Litton Loan Servicing LP
High interest loans, pre-payment penalty, payments applied on time

I refinanced my house in Jan. Through Own IT Mortgage Services, who than sold my loan to Litton Loan. My house was appraised at $164,000 at that time. I know going in that Litton Loan was going to stick me with a pre-payment penalty. I was given an 80/20 split loan.

Loan 1 was for $123,000 at 8.12% interest only. Making this payment $855.17 a month (pre-payment ends on 1/31/09) After the intial 3 years this payment than balloons to $1142.81. Loan 2 was for $36,000 at 12.12% making that payment $372.80 again interest only (pre-payment ends 1/31/08). All this for a home worth $164,000. That is insane they are ripping me all over the place.

Unfortunately for me when we decided to try and sell our house. We are imformed that we have a 6 month interest pre-payment penalty. For both loans totalling $6200.00. With the modifications we did to our home we figured the value had gone up and that we could figure in the penalty and it would be fine.

Wow were we surprised when after the appraisal of our home (with adding a deck, storage shed, and landscaping) that our home came in at $160,000, $4000 less than our refinance laon with litton loan 4 months after signing our papers. Now we are at $167,187.00 with the penalty. So we can't list our home with a realtor since with agent fee's and closing costs there is no way we can afford to sell our home. Of course they also added that we can't refinance or sell the home without the pre-payment penalty.

I have 2 kids and a wife who stays home, so on 1 income this has become impossible to pay for a house that I can't sell since I was cheated into a loan that was not worth what my house was for. This is BS and to top it off I try and pay my payments online (Since mailing them seems to be a bad idea) they won't let me pay anymore towards my loan, just the amount of each loan. To top it off if I can't get my payment made by the 5th they charge a $9.99 fee to pay after the 5th. They call it speed pay which I call BS. Since no late fee's are assessed until the 15th or so they say.

Does anyone else have this kind of issue with this company. We want to get out of this house, but with these guys its impossible.

Company: Litton Loan Servicing LP
Country: USA
State: Texas
City: Houston
Address: 4828 Loop Central Drive
Phone: 8002479727

  <     >