Well, I apologize first for the book below but there is a lot to my story regarding the crooks of Litton Loan.
In early 2005 we were late on two house payments to Litton Loan (about 12 days for each) due to my husband being out of work. Yes they were late but I made the payments! So a whole year goes by things seem fine, my statements read normal. Feb comes and I was late once more but only by 5 days, and paid it online. I start seeing statments saying I owe like $2,200 in addition to my mortgage payment, each time I call they would tell me that it was some type of error and no one could explain it and was told it should be corrected that next statement.
Well it was my first mortgage, I had a great supposed friend who was our broker and we ended up with and Adjustable rate. My next statement shows this amount that keeps going up, and my payments are on time. Well our 2 year arm was about to expire in July of 06, so all of a sudden I start getting foreclosure notices sent to me, and we were current so I was freaking out.
Well those of you who have dealt with Litton know how they responded! The first three people supposed mgrs could not tell me what this money was or why I was getting these notices. So another notice comes and it is now May I called and raised hell until someone could show me what this is about I went thru probably 15 people, they would hang up on me, transfer me and no one would answer.
I was on hold for 90 min at a time waiting for someone to get on and explain my account. Finally one person after all this time told me "oh well it looks like a forebearance acct was set up last year when your payment was late" I had no idea what that was or meant! I found out you have to be notified or agree to a forebearance writing or verbally recorded something to that affect! No statment EVER said anything about it I was never contacted or anything.
She said even thought my payments were made that in 05 when the first payment was late they thru our acct into that forebearance and I owed those forebearance charges from Feb 05 up to at that time May 06! I made her break it down to me that every time I sent my payment in they would skim their $238 off of the top and then apply the rest of my $758 payment to my account showing I had basicly not made a full payment and it accrued interest, and penalties for a year and a half!
I asked why this was the first I am hearing of it! I told her they need to show me in writing my signature for this, and or a Voice recording or where they notified me because I had my statments and they were all normal other than the one that started in March 06! She could not provide anything! She acknowledged that they should have had something in writing but did not know where it all was! Well our ARM was about to expire in July so we started proceedings to just refinace and get away from these scam artists!
Well once I quit calling the threats almost weekly came about foreclosing for this now $3,100 owed and my house payments were still being made every month they would just not apply them, they showed them as incomplete because they took money off first! Long story short they knew we were about to refinance, and it was honestly a race if I could close my refi first or they would foreclose!
We finally got it closed Aug 06 I had to pay one month at the INSANE rate! Only to find out our so called Broker friend came to the Title Company with antoher ARM DEAL! We had not seen the paperwork becasue he was STILL working to get a better rate! So the first time we find out about this because we were refiancing to get a FIXED RATE! So as we are at the Title Company going over the docs she says, your Adjust Rate mort! And our jaws dropped! What? She obiously saw there was a problem and left the room and we went off as to what the heck this was about!
Our Broker (who was a supposed friend and a neighbor) just kept saying "Guys you needed the lowest rate, this a good deal, you can refi in two years, don't make any late payments and besides Litton is going to foreclose on you if you don't pay them the $3400 they are fighting for so there are not many options here! We were so distraught! I was almost in tears and could not beleive this was happening again.
We were trapped, we signed it paid Litton off their $3400 (that was OUR MONEY!) and our great friend got another $5,000 out of us on this loan and we have to refi again in two years. Oh did i mention we also now have a prepayment penalty, so we are stuck for two years! We walk out thinking, it was at it worst. But we calmed down thinking ok that was a lesson learned it was a bad one but we will be ok.
Well our little Star Mortgage whom again our Broker Friend put us thru, GUESS what our 2nd house payment had to be made to Litton Loan! Oh yeah within 60 days of getting out of HELL, we were sent right back our loan was sold to Litton. I now have made every payment on time if not early, because I know what this company is and I pray everyday to protect our jobs and finances so we don't go thru this again. I can't wait for Aug 08!
God Bless and good luck to the rest of you who are fighting or have gone thru this battle, its truly sad!
0 comments