GMAC Mortgage is the worst!!!!!!

11/25/2009 07:32:23 AM · #1

When my wife and I purchased our house three years ago we ended up with GMAC Mortgage as our lender. In January we started shopping around for a refi. After two failed attempts at refinancing with other companies (one of the lenders that we applied to simply stopped offering mortgages, the other refused to handle any refinances involving loans with PMI). we contacted GMAC, GMAC told us about this great wonderful refinance program they had- four weeks later they informed us that even though they had pre-qualified us, and assured us we fit the program "perfectly," we didn't actually meet the requirements- it had nothing to do with income, assets or credit. They discovered their program didn't apply to people who still owned their first, and only, home- even though we had been homeowners for nearly three years and had never been even a day late on a payment.

A month later we're contacted by GMAC and told they have a new program that is perfect for us. Once again we go through the process of applying and verification. Two days after we apply GMAC contacts us and says- you're approved. We need to have you sign some documents. No problem they Fed Ex them to us, we Fed Ex them back the next day. This was September 24th. GMAC receives the documents and tells us everything is in order for closing and they'll notify us of the exact time and date of closing. When we ask about when it will close we're told, it will definitely be before October 20th. Okay Great!!!

We hear nothing from GMAC. On October 15th we contact GMAC and are told our loan hasn't been assigned to a processor yet, but not to worry, we'll definetly close before October 30th. On October 29th Kristen, our processor, contacts us and says she needs to send us a rate lock agreement to sign. Okay. We ask her about closing. "Early November." She replys. We ask what happened to closing before October 30th. "That's tomorrow and I haven't even submitted this to underwriting and underwriting takes 7-14 days." Again time passes, we leave messages for Kristen on November 2nd, November 5th and November 10th. Finally she calls us on November 12th to tell us she has submitted it for underwriting and she'll know if any additional work needs to be done, by the 23rd at the latest. "Wait. I thought you said we'd close in Early November." I said. "Well, I have TEN files on my desk." She replied. I think to myself- I have 57 on mine, does she want to trade? "When do you think we can close?" I say, knowing from past experience how much can go wrong. "Oh, definetly before the end of November." We hear nothing from Kristen. We get a call from Tom, who originally took our loan application. He says: "looks like we'll be closing on the 25th." So, yesterday, the 24th, Kristen calls and says. "I just got your loan back from underwriting, I need to do some more work on it and resubmit it. But don't worry its all things I need to do, we can probably close before Christmas, definetly New Years." This morning I check my email and have an email from GMAC that says "UPDATED LOAN DOCUMENTS AND LOCK AGREEMENT." When we were qualified the documents we signed showed the loan was at 5.37%- no points, fixed rate, no PMI. The new documents show 5.37% 2.5 points, fixed rate, PMI at $385 per month. After they throw in tons of fees the payment is $275 per month more than we're paying now. And we were told closing costs would not exceed $3,600. Estimated closing costs $9,600.

TCGuru

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11/25/2009 07:59:38 AM · #2

OUCH! That SUUUUUUUUUCKS!! I'm sorry to hear that, especially so close to the holidays. They need to find a new processor and stop with the shady business practices.

Flash

Nikon D700

11/25/2009 12:12:19 PM · #3

Had GMAC for years with zero problems. Refinanced with them as well - no problems. My last refi was with Guardian Mortgage and they are great. Until you lock in your rate - it can change - daily. I can't imagine going 3-4 months with no locked in rate guaranteed on contract. Even at the height of the refi last year it took me less than 24 hours to lock in my rate.

Sorry to read of your bad experience.

11/25/2009 12:27:37 PM · #4

Souds like you might have a bad mortgage rep. I would see if you can get in contact with a manager, and get reassigned to another rep. I'd also push them hard to honor the original terms they quoted you, since the delays were on your end and not theirs, and neither the lock-in you signed or the subsequent paperwork you signed was not processed in a timely manner. You could make a really good argument that they had no intention to honor the terms they quoted you.

~Terry

11/25/2009 02:18:56 PM · #5

Spoke with Tom again. He pretty much said he shows my loan is to be structured structured 5.37%- no points, fixed rate, no PMI. He has no idea why the points and the PMI are showing up. I then spoke with Kristen's manager (his name starts with a B, but thats about all I got) who informed me that I must be looking at "preliminary" loan paperwork, because his information clearly shows 5.37% 2.5 points, fixed rate, PMI at $385 per month. I then ask him if this is the same information that "sales" people would see. He says it is. I then tell him, that's interesting because ten minutes ago Tom told me my numbers were correct. B then mumbles something about sales people not understanding how to read documents. He then asks me if my numbers came from the packet Fed Ex'd to me on November 2nd. I told him I never received any documents on November 2nd. He then tells me that his records show I signed for this packet on November 2nd at 1:15 PM (according to my work call log that is when I phoned Kristen). I asked him what the delivery address was and he said it was my home- which is very interesting since that call was made from my office- 35 miles from my house, and I have my work call log that even tells me which wireless hub the call was routed through. He then says "Well, I'll get to the bottom of this."

Edit to add... I am now waiting for a call from B's boss.

Message edited by author 2009-11-25 14:23:36.

glad2badad

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Lensbaby Sweet 35 Optic

11/25/2009 02:35:13 PM · #6

How's the Fed Ex service out your way? Reputable?

ETA - Not that that really matters...you would've just screamed a little earlier about the paperwork rewrite.

Message edited by author 2009-11-25 14:36:17.

11/25/2009 02:37:07 PM · #7

Did you get a tracking number for the FedEx package? If not, ask for it.

glad2badad

Apple iPhone 16 Pro

Lensbaby Sweet 35 Optic

11/25/2009 02:40:06 PM · #8

Originally posted by ClubJuggle:

Did you get a tracking number for the FedEx package? If not, ask for it.

Good point. Based on the rep's earlier bumbling of things, who knows if they even really sent anything?!

11/25/2009 02:45:03 PM · #9

Originally posted by glad2badad:

Originally posted by ClubJuggle:
Did you get a tracking number for the FedEx package? If not, ask for it.

Good point. Based on the rep's earlier bumbling of things, who knows if they even really sent anything?!

Or if they did, where they sent it. If the information was sent by the bank (not mis-delivered by FedEx) to someone other then you and it contained nonpublic personal information, your rights under the Graham-Leach-Bliley Act (GLBA) may have been violated.

glad2badad

Apple iPhone 16 Pro

Lensbaby Sweet 35 Optic

11/25/2009 02:49:49 PM · #10

Originally posted by ClubJuggle:

Originally posted by glad2badad:

Originally posted by ClubJuggle:
Did you get a tracking number for the FedEx package? If not, ask for it.

Good point. Based on the rep's earlier bumbling of things, who knows if they even really sent anything?!

Or if they did, where they sent it. If the information was sent by the bank (not mis-delivered by FedEx) to someone other then you and it contained nonpublic personal information, your rights under the Graham-Leach-Bliley Act (GLBA) may have been violated.

Ohhhh....you're GOOD!

11/25/2009 02:51:55 PM · #11

Originally posted by glad2badad:

Originally posted by ClubJuggle:

Originally posted by glad2badad:

Originally posted by ClubJuggle:
Did you get a tracking number for the FedEx package? If not, ask for it.

Good point. Based on the rep's earlier bumbling of things, who knows if they even really sent anything?!

Or if they did, where they sent it. If the information was sent by the bank (not mis-delivered by FedEx) to someone other then you and it contained nonpublic personal information, your rights under the Graham-Leach-Bliley Act (GLBA) may have been violated.

Ohhhh....you're GOOD!

I work in banking. I'm an IT guy, but 11 years in the banking industry, you're bound to learn a few regs, no matter what your job.

~Terry

Message edited by author 2009-11-25 14:53:11.

11/25/2009 03:27:33 PM · #12

The tracking number is apparently part of the "getting to the bottom of thing"

I've known my FedEx guy for about twelve years. He's reliable and he's not going to get fired over signing for a "SIGNATURE REQUIRED" package. My step-father-in-law works for Fed-Ex, he suggested I contact the local Fed Ex manager and have them pull a delivery record for my property, he said they're more likely to do it here because we're a small office whereas in bigger cities you pretty much have to lawyer beat them to get any results.

Still waiting on the call from B's boss.

Thanks for the advice, it is much appreciated.

Since I work as a mortgage auditor , I suspect the underwriting department or the processing department felt I was getting too good of a deal and decided to alter the terms and dropped the ball at some stage in the paperwork. There's also a real possibility that they decided the mortgage I was offered would not be readily sellable. About six months ago in our (my employers) monthly brief there was a notice that GMAC is moving much more into brokered loans rather than servicing loans- I could write paragraphs about how this tends to change a companies lending practices and if anyone is suffering insomnia let me know, it'll put you to sleep in fifteen seconds. Now they're in CYA mode.