This company took my loan application but did not provide any of the required Truth in Lending documents, including the "Good Faith" estimate. They then denied me for the fixed rate mortgage I applied for, but told me over the phone I was "approved" for a loan they wanted to deduct twice montly out of my checking account. No loan terms or paperwork was provided. Even after directly requesting the documentation, nothing was provided. This is in violation of Truth in Lending/RESPA laws, consumers are required to receive the Good Faith Estimate either at the time of making the loan application, or within 3 business days.
I moved on to another bank and reported them to HUD. HUD accepted the case based on gender and race discrimination. HUD has referred the case to the Florida Commission on Human Rights, the agency currently investigating the case.
This company proved to be extremely sleazy. My credit score is over 750, I had 20% to put down toward the downpayment and they took my fixed rate application and tried to stick me with a negative amoritization loan. They, of course, did not admit to the "new" loan being a negative amoritization loan, since those are extremely unfavorable to consumers. They way they peddle it is to focus on the "low payments". Don't buy it—insist on getting full disclosures on the true cost of any loan. (A legitimate bank will provide it without your request). Please, if you have been a victim of World Savings—in any state—notify HUD and file a complaint.
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