First Franklin
First Franklin Adjustable Rate Loans and Class Action

I purchased a home in 2004 and it was financed with First Franklin Bank. During the closing of the house, I tried to read as much as possible all the forms me and my wife had to sign. I didn't see anything disclosed about the rate going up 3 percent. This was not explained by the mortgage broker who sold us the loan. This information should have been explained more clearly, and now after 3 years we get a letter saying our rate is going up 3 percent. We were quite shocked that it could go up that much.

I have been told that mortgage brokers get more commission to sell adjustable rate loans, than selling fixed loans. This would explain why so many people have been sold these particular loans. The problem is that they aren't explained in detail and we were told that we could always re-finance very easily, which is not the case now with the credit crisis going on today.

I feel like we were misled and not given accurate disclosure of the loan in detail, so we could make an intelligent decision. I think that this is a form of fraud, since we really didn't understand what type of loan we had and the specific terms of the loan.

While I was signing the loan documents at the closing attorney's office, I was going slow and trying to read the paperwork. The para-legal laughed and said that I should just sign everything, because I would have to pay it anyway. Even though you sign the forms, if you don't understand them completely then it should not be binding. That is why it is so important for the company to properly and clearly disclose all terms of a loan and make sure the people obtaining the loan understand how their loan operates and the risk involved.

Now we are having trouble making the payments and the bank is doing nothing to help us. We have called and tried to make payment arrangements and they just tell us to make the payment or else they will ruin our credit.

Company: First Franklin
Country: USA
State: Pennsylvania
City: Pittsburgh
Phone: 8003466437
Site: www.viewmyloan.com

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