August of 2007, while refinancing my home Loan, I approached IndyMac Bank at its representative agents’ location (Old Republic National Title Insurance Co. Mesa Arizona) reinforcing the fact I was looking to take advantage of the new low interest rate and specifically asking for a 30 years Fix Rate straight amortization type of loan. In 2009 for the first time I submitted a Loan Modification application with IndyMac, the request which was quickly dismissed, excusing an incomplete file that I knew was complete and insufficient proof of income.
This year my income situation has changed; following the revamping of the Government Program called Making Home Affordable Program (HAMP V2) designed to help American Families to avoid losing their homes, I decided to submit a new request for a Loan Modification thinking the banks would have a much stronger incentive to process the requests since the Federal Government is now ready to subsidize 63 cents per dollar on a Principal Reduction versus 18 cents in the first version of the program. This time though I took the assistance of a third party in my locality empowered by the Federal Government to help Home Owners negotiate with banks in order to take advantage of the HAMP Program. While preparing the file with my advisor, we noticed that the loan IndyMac gave me in 2007 was different than what I was originally requested, which was a 30 years Fix interest straight amortization; this loan to my surprise was in fact an ARM (Adjustable Rate Mortgage) with Interest Only for the first 10 Years of the loan, with a high interest of 7.6% and a Balloon Payment at the end. This loan clearly designs to put me in a position to default on my payments and aiming at eventually repossessing my property. The only element IndyMac did not foresee was that the interest rate went downward instead of upward, which is the only reason I still live in my home today. Every single element of this Hybrid loan are in clear violation of the anti-predatory loan guidelines that were already in effect back in 2007.
bank of america class action, chase class action, gmac class action, ally class action, goldman sachs class action, citi class action, mortgage class action, citimortgage class action, pnc class action, BBT class action, BB&T class action
