Answers (3)
- Kelly Lacey, "kellylacey"
- Contributions:797
You state they do not charge the card unless the loan is denied or cancelled and it is to cover expenses. If you don't need an appraisal it's kind of high at $415. You also stated they will charge a processing fee of $415...again, a bit high if no appraisal has to be done.
Attain clarification that they will only charge the card if the loan doesn't close for any reason and it will only be charged for costs incurred by them. If they are going to charge you $415 flat then I would tread carefully.
Attain clarification that they will only charge the card if the loan doesn't close for any reason and it will only be charged for costs incurred by them. If they are going to charge you $415 flat then I would tread carefully.
- Mitchell Mallahan, "Money Man Mallahan"
- Contributions:51
Some banks do ask for that. I know that when I was with SunTrust Mortgage, we were required to ask for the upfront fee. I wouldn't change lenders just because of this, but if you have any fear that your loan won't close (other than just nerves) I would suggest reconsidering your lender. This was one of the reasons I switched to Bank of America.
- sunnyview
- Contributions:26916
I think that my mortgage company also asked for deposit when they accepted all my verification paperwork. It was to be applied to my costs at closing. However, I do not remember them planning to keep it if they denied my application. They would have only kept it if I had dumped the application after locking my rate.
I only know my experience, but I do not think that it is standard to keep the fee if you find out through no fault of yours that you didn't qualify. Hopefully, a Zillow lender will be able to help.
I only know my experience, but I do not think that it is standard to keep the fee if you find out through no fault of yours that you didn't qualify. Hopefully, a Zillow lender will be able to help.
credit card deposit to process a mortgage
Can anyone explain why a credit card deposit is needed to process my mortgage. There is no need for an appraisal since it's a Homepath loan. However if my application get denied for any reason they are going to charge me a processing fee of $ 415.
Here's what the Loan Consultant reply when ask about my credit card info.
"To start any loan we require a guarantee of $415 with a credit card. We do not charge the card this as a fee upfront. It is only used to cover expenses related to a cancellation (you pull out) or decline of the loan."
Should I move on or stay with ERA mortgage?
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