PHH Mortgage
Defrauds through PMI by discrimination and terrorist tactics

I was cooerced into obtaining a mortgage through PHH Mortgage as my local bank was getting a kickback from this company to farm home loans to them.

Two days prior to closing I received my good faith statement on a $48,000 30 year fixed rate conventional mortgage and since I was putting 5% down, I was going to pay $42.00/mo in PMI. At closing 48 hours later the paperwork stated a PMI of $160.62/mo. I refused to sign and stopped the closing. The closing agent said either I sign or get billed $1500 in "processing fees" plus legal fees of about $10,000 and they would be keeping the downpayment. Since I was in a new state and had no where else to go, I had to sign.

After a year and a half of paying this rediculous fee, I was finally able to get ahold of someone at PHH to terminate the PMI as my property value had gone up to twice what I had financed. I was told the PMI was going to be on my mortgage for 20 years and if I attemped to refinance or sue the company, they would start foreclosure proceedings the moment they got indication I was going to do either. A year later I learned that my PMI coverage was NOT held my PHH but by GE Financial Services.

At closing, I was not informed how to cancel or terminate PMI, that it would be done by the mortgage lender at the end of the 20th year of payments (240 payments at $160.62/month). Only the would I be allowed to refinance and terminate the PMI. I attempted to get the PMI re-written by another company, but GE refused to cooperate.

I got ahold of the PMI underwriting department and learned from them that the increase was "due to your being a single female with no male co-signer and you're a high risk client due to your credit rating between the time of the good faith statement and the closing (48 hours)." My credit rating at the time of the good faith statement and closing was the same: 550. I informed the woman that I had been a mortgage closer for 5 years and knew exactly how the mortgage business worked and credit rating had nothing to do with determining PMI, it was based soley on downpayment. She told me I was stupid. She then stated that my insurance rating was an A not an A rating, therefore I was subjected to the higher rate, but if I'd had a husband or male relative co-sign, I wouldn't be subjected to the PMI. I was then told not to call them again.

PHH Mortgage has refused to return phone calls, answer correspondence, or accept a new property appraisal to drop the PMI. Every attempt to refinance has been blocked by them. They refuse to discuss the issue or admit they were wrong in what they did.

Allison
FORT FAIRFIELD, Maine
U.S.A.

Company: PHH Mortgage
Country: USA
State: New Jersey
City: Mount Lauren

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