Please beware of this company. We had taken out a loan in the year 2000 and its the biggest mistake we have ever done. We were financially in a pinch at the time. We had gotten a quote over the phone and then at the time of the closing, the payments had rose to over $200 more than quoted. But we at that time, did not have any other alternative, so we signed the papers. Biggest mistake ever.
The employee who closed the loan never did order an appraisal, come by the house or anything. He just wrote the loan for what he thought we needed. The interest rate they attached to this loan was 23%. We have been attempting to get this loan refinanced but the trouble is we still owe Household too much money. We had received a pay-off and the pay-off showed the pay-off to be over $11,000 more than what the original loan was for and we had been paying for over 3 years.
So I called and got our payment history sheet. It showed payments totalling $9548.70 and after calculating the payments we had made, this amount was half of that amount. So basically, of the $19,097 payments and the $11,000 incurred interest and regular interest, we at this time if we decided to refinance, would have paid the original loan of $31,000 plus the extra $11,000 for interest for a total of $42,000. None of our payments have even been applied to the principal. I just cannot figure out where our payments have gone.
So basically for this $31,000 loan we will have to pay $11,000 interest and the payments in the amount of $19,097 are just gone to interest. Makes no sense to me. I've contacted them and all they can say is they can go over the payment history sheet of paper with me but they don't have a better version to see how things were applied. A lot of good that does. I can't make heads or tails of their sheet. They expect me to know what all their codes mean I guess.
The really bad thing is that when we started to get behind on our payments, they called the house every day, 4 or 5 times. We have even talked to them and tried to get them to rewrite our loan with a cheaper interest rate but they will not. To make it even better, they have listed theirselves as a 3rd mortgagee on our property. How can they do this without an appraisal or any documentation whatsoever?
Now we can't get anyone to refinance us because after they tacked themselves on, the loan balance for all 3 loans is $21,000 more than the appraisal that was finally done. We probably will have to file bankruptcy on this or just let the house go back.
I guess in the end, they are going to be the ones who will suffer like they have made us suffer when the first 2 mortgage companies get their balance and they get what's left which will be nothing. That's exactly what I think they deserve. So please don't be taken in by this company. It will only bring you stress and headaches.
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