Wilmington Finance Mortgage

Wilmington Finance Mortgage

November 6, 2005

Our experience with Wilmington Finance has been very disturbing. They apparently lied and misinformed/ failed to inform us of closing costs, prepayment riders and interest rates. We applied for a loan though them for a home purchase. Our loan officer, Steve Werner, appeared very helpful at the beginning of the process, however, as closing time drew near, he was harder and harder to reach. As a matter of fact as I was attempting to close, he was not available to discuss terms. We were initially quoted rates on a single 30 year fixed mortgage at 7.5% with the promise that some of the closing costs could be rolled into the loan and had good faith estimates to show this. At closing (9:00 am) we were presented with an 80/20 loan at 8.65 (80) and 8.99(20) at the offer price. Also, something that was NEVER motioned throughout the entire process and even lied about was a prepayment rider. The prepayment riders asses a 5% loan value fee if more than 10% is paid in less than 60 months. A direct answer to my prepayment question was "No, there are no penalties for prepayment." , yet at closing there was a rider on BOTH mortgages. So, In addition to a completely different loan and higher interest rates we now have to carry the loan for a minimum of five years. We called at the closing table and were unable to reach him. We therefore halted closing until he could be reached and these issued discussed. After several hours he informed us that 1: Interest rates have gone up is why ours is higher. This was over a 5 day period and he never locked our rate in. 2: He "forgot" to mention the rider and 3: Our credit score made the 80/20 the only loan he could get us though he know out credit score and history for well over a month. We, unfortunately, did not have time to work with another lender or we would have lost our earnest deposit so we went with what we were offered. They did make one concession. They shortened the rider on the second mortgage to 12 months. I am not sure what constitutes "Bait and Switch" but it sure seems like they have pulled it on us. We finally closed at 4:00 pm local (they are 1 hour ahead of us) but he was again unreachable to finalize the paperwork and authorize the release of funds. Therefore we had to wait another weekend to take possession of our home and lost valuable time to move our things from the house we were renting. I assume that on a Friday night, he had more important things on his mind than his customers that generate hundreds of thousands of dollars for their business.

All in all, I am completely dissatisfied with Wilmington finance and will never use them or their parent company American General again.

Sincerely,

Robert Click this link to e-mail the message author: Email User