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New Mortgage reporting on Equifax....

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frugalQ
Valued Contributor

New Mortgage reporting on Equifax....

We closed April 9th.  I got an alert on Monday of the mortgage account reporting on Equifax.

 

Now, I use Equifax monitoring service...pulled the report and their FAKO score....that score jumped 17 points.  In the past my Equifax FAKO score and my Beacon 5 score have always been no more than 2 points different....i hope that's still the case.  Haven't decided if i want to purchase my FICO scores yet.  I may wait until the mortgage reports to all 3 bureaus.

 

FYI...i have 3 mortgages (our current house is a 1st/2nd mortgage) and 2 other installments on my report.

AmEx Green NPSL | Amex BCP 16K | Citi Simplicity 10k | Discover IT 9K | Chase Slate 7.5K | Amex Hilton HHonors Surpass 7K | Capital One QuickSilver 6K | Home Depot 5k | Chase Freedom 4.5K | LOC 2.5K
Message 1 of 9
8 REPLIES 8
StartingOver10
Moderator Emerita

Re: New Mortgage reporting on Equifax....

Yea! At least you are closed now. Did you post a thread about your closing nightmare? I must have missed it - if you have can you link it here. I know there were delays due to some lender mess ups. If you didn't, I have been very courious to know ....if you feel up to posting about it. Smiley Embarassed 

Message 2 of 9
Revelate
Moderator Emeritus

Re: New Mortgage reporting on Equifax....


@frugalQ wrote:

We closed April 9th.  I got an alert on Monday of the mortgage account reporting on Equifax.

 

Now, I use Equifax monitoring service...pulled the report and their FAKO score....that score jumped 17 points.  In the past my Equifax FAKO score and my Beacon 5 score have always been no more than 2 points different....i hope that's still the case.  Haven't decided if i want to purchase my FICO scores yet.  I may wait until the mortgage reports to all 3 bureaus.

 

FYI...i have 3 mortgages (our current house is a 1st/2nd mortgage) and 2 other installments on my report.


Nice Frugal!  

 

For pretty much everyone makes sense to wait till it's all 3.  I will probably do two pulls, one when it's isolated to one report, and another when it's on all 3... but that's only because I'm looking for an explicit data point and most people realistically shouldn't care that much... I'm sure it's not healthy in my case heh.




        
Message 3 of 9
frugalQ
Valued Contributor

Re: New Mortgage reporting on Equifax....

SO10,

 

i totally forgot about posting my nightmare.  I will do it today.

AmEx Green NPSL | Amex BCP 16K | Citi Simplicity 10k | Discover IT 9K | Chase Slate 7.5K | Amex Hilton HHonors Surpass 7K | Capital One QuickSilver 6K | Home Depot 5k | Chase Freedom 4.5K | LOC 2.5K
Message 4 of 9
StartingOver10
Moderator Emerita

Re: New Mortgage reporting on Equifax....

Thanks! I am interested in hearing about it....that's how we all learn

Message 5 of 9
Anonymous
Not applicable

Re: New Mortgage reporting on Equifax....

I wanna hear it too!

Message 6 of 9
frugalQ
Valued Contributor

Re: New Mortgage reporting on Equifax....

I thought about making a new thread, but i'll just keep it here.

 

We were scheduled to close 3/19.  On 2/16 or 2/17, we received our conditional approval and on 2/18, i had provided the processor will all of the documents requested to clear the conditions.  The processor sat on my stuff for 3 weeks before doing anything.  Now, our loan is a 1st/2nd loan, and my LO did not provide the documents to the second lender until the afternoon of 3/6 (which was a friday).  The following week, I spoke to the 2nd lender processor.  She told me that they were quoting a 14-day delay (from the date that the documents were sent to them) due to the workload...so, i begin to stress.  I told my LO about the timing (floored that she wasn't aware of the fact that there was a delay).  After that, the 2nd lender's processor just goes MIA...no communication, no follow-up, nothing.  My LO had her manager contact one of the 2nd lender's directors...and that's when she started back responding with questions (we answer her questions without delay).  I mean, we were asking if she was out ill or had left the company.  then on the day before we were scheduled to close, she responds to my LO (still no communicating with me) and says that she was denying the loan at 5% down...we needed to put 10% down instead...i'm like WTH.  She tells us this the day before we are scheduled to close.  So, at this point, i'm frantic because it was a complete blindside.  me, my realtor and my LO are scrambling to come up witih a plan B (either another lender or the additional 5%). *this is where paying off my DH's car came to bite us in the but....we were under 700 score and that severly limited our options*  We had 2 lenders in waiting (had reviewed the files from my LO and repulled our credit), but time was not on our side because the builder was charging us $100 for each day of closing delays.  Well, we come up with the 5%...and for 5 straight days, the processor would not respond to anyone.  I was contacting her (her voice mailbox was always full), so was my LO, my LO's manager, and their district manager.  

 

Well, she finally responds and says that she was denying our loan again at 10% and she said something about my husband's hours not being a full 80 hours on his check (which we had a reason for) and past credit issues.....we haven't had one negative mark on our credit reports since February 2010.  We were convinced that she never looked at our file the second time (and probably not the first)....that she was overwhelmed already she didn't take kindly to the fact that we had the whole financial community looking for her.  My LO at that point was saying that there was nothing she could do and that she couldn't force them on look at the loan...but, I am not one to sit back and accept what someone tells me without getting a clear understanding of why.  So, I took to social media and put a message on the company's FB timeline asking for the contact info of the person where I could in a formal complaint regarding their mortgage approval practices.  I also called their corporate office and left a message on the Sr VP of Lending's voicemail.  My LO sent an email to the processor asking for her manager's name and contact info.  I got the director of mortgage lending's email address and sent her a nice, concise and determined complaint...complete with emails from myself and my LO pleading with the processor to respond to our emails...and the email where she told us that she would approve with 10% down.

 

About an hour later I got a response from the director asking if we could set up a meeting.  I had a 20 min conf call with her where she told me that she would personally oversee re-review of our loan...and an hour after that call, we had a formal pre-approval.  Then the issue was that the processor and already closed the original loan..and by law, we had to wait 8 business days after that date before we could close.  Through all of this, it was costing us $100/day to just sit and twiddle our thumbs.  At this point, I was barely speaking to my LO...i felt like her waiting until the last minute to get my file to the 2nd lender is what started all of this.  But, in hindsight, although she was last minute, it was the failures of the 2nd lender that caused my issues.

 

then, once we got the final approval from the 2nd lender, we had to jump through the builder's hoops because we didn't use their preferred lender...there were additional 'wait' times from a wired funds standpoint....just a bunch of crap.  But, at that point, they were no longer charging the 100/day fee.

 

when it was all said and done, the 1st lender had given us additional credits (without an interest rate increase), the 2nd lender waived their origination fee and gave us a credit for the appraisal review.  the builder did negotiate, and only charged us for half of the true penalty cost....but, that was still $2k.  It all worked out, but the addiitonal funds we had for savings were wiped out because of the additional 5% we needed to put down.

 

I still have not filed the complaint with the cfpb and bbb, but i plan to.  In my heart, i feel like that processor never reviewed our file...that she was overwhelmed and it was just easier to say no than to review for approval.  And, I also believe that she's done this to others...and they've just taken the denial and moved on.  When i was looking at the comments on their FB page, i came across a post by someone complaining how the company waited until 2 days before they were scheduled to close to deny their loan.  his plight was eerily similar to mine.

 

So, that is my story of mortgage hell week that lasted 3 weeks longer than it should have.  I got stressed just writing about it.  Smiley Very Happy

AmEx Green NPSL | Amex BCP 16K | Citi Simplicity 10k | Discover IT 9K | Chase Slate 7.5K | Amex Hilton HHonors Surpass 7K | Capital One QuickSilver 6K | Home Depot 5k | Chase Freedom 4.5K | LOC 2.5K
Message 7 of 9
frugalQ
Valued Contributor

Re: New Mortgage reporting on Equifax....

oh yeah...before the first denial, she said that they could not count our rental income in our DTI..and that put us at 44% or something like that.  The limit for the 5% loan program was 40%.  So, I immediately refinanced my car and we got down to 38%....the rental problem solved.

 

the lender for our 1st mortgage counted our rental income in DTI, but the 2nd did not.

 

outside of the rental income, our file was fairly straight forward.  no lates since february 2010, no collections on either of our reports.  my DH does have a judgement on his report from 2009, but that was paid back then and shows as satified. we are both W2..no business deductions or anything.

 

My LO did tell us to not file our taxes until after we closed.  she said that if we had, then the 30% equity rule would come into play with the rental income (and we don't have any equity in the rental property as it was previously our primary residence and underwater).  we moved out of our previous home back in July 2014 into a rental property so that we could start generating rental income.  in july 2014, we had a renter for our home with a signed lease agreement.

 

my LO did say what helped was the fact that we kept our rental property transactions in a separate account and they could clearly see rent coming in and only the mortage payment coming out.

AmEx Green NPSL | Amex BCP 16K | Citi Simplicity 10k | Discover IT 9K | Chase Slate 7.5K | Amex Hilton HHonors Surpass 7K | Capital One QuickSilver 6K | Home Depot 5k | Chase Freedom 4.5K | LOC 2.5K
Message 8 of 9
Anonymous
Not applicable

Re: New Mortgage reporting on Equifax....


@frugalQ wrote:

I thought about making a new thread, but i'll just keep it here.

 

We were scheduled to close 3/19.  On 2/16 or 2/17, we received our conditional approval and on 2/18, i had provided the processor will all of the documents requested to clear the conditions.  The processor sat on my stuff for 3 weeks before doing anything.  Now, our loan is a 1st/2nd loan, and my LO did not provide the documents to the second lender until the afternoon of 3/6 (which was a friday).  The following week, I spoke to the 2nd lender processor.  She told me that they were quoting a 14-day delay (from the date that the documents were sent to them) due to the workload...so, i begin to stress.  I told my LO about the timing (floored that she wasn't aware of the fact that there was a delay).  After that, the 2nd lender's processor just goes MIA...no communication, no follow-up, nothing.  My LO had her manager contact one of the 2nd lender's directors...and that's when she started back responding with questions (we answer her questions without delay).  I mean, we were asking if she was out ill or had left the company.  then on the day before we were scheduled to close, she responds to my LO (still no communicating with me) and says that she was denying the loan at 5% down...we needed to put 10% down instead...i'm like WTH.  She tells us this the day before we are scheduled to close.  So, at this point, i'm frantic because it was a complete blindside.  me, my realtor and my LO are scrambling to come up witih a plan B (either another lender or the additional 5%). *this is where paying off my DH's car came to bite us in the but....we were under 700 score and that severly limited our options*  We had 2 lenders in waiting (had reviewed the files from my LO and repulled our credit), but time was not on our side because the builder was charging us $100 for each day of closing delays.  Well, we come up with the 5%...and for 5 straight days, the processor would not respond to anyone.  I was contacting her (her voice mailbox was always full), so was my LO, my LO's manager, and their district manager.  

 

Well, she finally responds and says that she was denying our loan again at 10% and she said something about my husband's hours not being a full 80 hours on his check (which we had a reason for) and past credit issues.....we haven't had one negative mark on our credit reports since February 2010.  We were convinced that she never looked at our file the second time (and probably not the first)....that she was overwhelmed already she didn't take kindly to the fact that we had the whole financial community looking for her.  My LO at that point was saying that there was nothing she could do and that she couldn't force them on look at the loan...but, I am not one to sit back and accept what someone tells me without getting a clear understanding of why.  So, I took to social media and put a message on the company's FB timeline asking for the contact info of the person where I could in a formal complaint regarding their mortgage approval practices.  I also called their corporate office and left a message on the Sr VP of Lending's voicemail.  My LO sent an email to the processor asking for her manager's name and contact info.  I got the director of mortgage lending's email address and sent her a nice, concise and determined complaint...complete with emails from myself and my LO pleading with the processor to respond to our emails...and the email where she told us that she would approve with 10% down.

 

About an hour later I got a response from the director asking if we could set up a meeting.  I had a 20 min conf call with her where she told me that she would personally oversee re-review of our loan...and an hour after that call, we had a formal pre-approval.  Then the issue was that the processor and already closed the original loan..and by law, we had to wait 8 business days after that date before we could close.  Through all of this, it was costing us $100/day to just sit and twiddle our thumbs.  At this point, I was barely speaking to my LO...i felt like her waiting until the last minute to get my file to the 2nd lender is what started all of this.  But, in hindsight, although she was last minute, it was the failures of the 2nd lender that caused my issues.

 

then, once we got the final approval from the 2nd lender, we had to jump through the builder's hoops because we didn't use their preferred lender...there were additional 'wait' times from a wired funds standpoint....just a bunch of crap.  But, at that point, they were no longer charging the 100/day fee.

 

when it was all said and done, the 1st lender had given us additional credits (without an interest rate increase), the 2nd lender waived their origination fee and gave us a credit for the appraisal review.  the builder did negotiate, and only charged us for half of the true penalty cost....but, that was still $2k.  It all worked out, but the addiitonal funds we had for savings were wiped out because of the additional 5% we needed to put down.

 

I still have not filed the complaint with the cfpb and bbb, but i plan to.  In my heart, i feel like that processor never reviewed our file...that she was overwhelmed and it was just easier to say no than to review for approval.  And, I also believe that she's done this to others...and they've just taken the denial and moved on.  When i was looking at the comments on their FB page, i came across a post by someone complaining how the company waited until 2 days before they were scheduled to close to deny their loan.  his plight was eerily similar to mine.

 

So, that is my story of mortgage hell week that lasted 3 weeks longer than it should have.  I got stressed just writing about it.  Smiley Very Happy


Holy Moly!! How did you survive it all...but glad you did! Smiley Happy

 

Mine hasn't reported to any of my CR. I closed a few days/weeks prior to you.

Message 9 of 9
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