Just got royally screwed by Bank of America

[DrDawkinstein]

first off, i can not stress enough, if you know anyone looking to buy a home DO NOT let them go to Bank of America for a mortgage. Their entire operation is a mess right now. Plus, it doesn't help that there is no one left that even cares anymore.

 

Long story short:

 

I went under contract on a place in early-April. Had my entire loan package submitted by early-May.

 

BoA sat on it for weeks with all sorts of excuses. Worse yet, my BoA Loan Officer provided no help. She just made up excuses why it wasn't being underwritten.

 

I finally had to start banging heads on desks as we entered June as the cutoff date to close and still get the $8000 tax rebate was today, 6/30.

 

For weeks I heard promises that we would close in time "no problem". I blew up everyone's phone on a daily basis, pushing my loan through. Anything they asked for, I turned around and sent in within 24 hours.

 

We got all of our final conditions in Monday (they didnt send conditions until last Friday). Had the closing scheduled for this afternoon.

 

While we were sitting at the attorney's office, waiting for the closing package, they called and said underwriting found a discrepancy in my income records (which isn't true), and that we would not be able to close today.

 

At that point, the Seller backed out.

 

I'm now homeless and out $8000 thanks to Bank of America.

 

 

sorry about the LAMP, but I have to get this out before I tear someones head off.

[PushthePile]

Ouch dude, that is horrible. I wish I had some sort of answer.

 

Sorry to hear that Dankenstein.

[Magox]

first off, i can not stress enough, if you know anyone looking to buy a home DO NOT let them go to Bank of America for a mortgage. Their entire operation is a mess right now. Plus, it doesn't help that there is no one left that even cares anymore.

 

Long story short:

 

I went under contract on a place in early-April. Had my entire loan package submitted by early-May.

 

BoA sat on it for weeks with all sorts of excuses. Worse yet, my BoA Loan Officer provided no help. She just made up excuses why it wasn't being underwritten.

 

I finally had to start banging heads on desks as we entered June as the cutoff date to close and still get the $8000 tax rebate was today, 6/30.

 

For weeks I heard promises that we would close in time "no problem". I blew up everyone's phone on a daily basis, pushing my loan through. Anything they asked for, I turned around and sent in within 24 hours.

 

We got all of our final conditions in Monday (they didnt send conditions until last Friday). Had the closing scheduled for this afternoon.

 

While we were sitting at the attorney's office, waiting for the closing package, they called and said underwriting found a discrepancy in my income records (which isn't true), and that we would not be able to close today.

 

At that point, the Seller backed out.

 

I'm now homeless and out $8000 thanks to Bank of America.

 

 

sorry about the LAMP, but I have to get this out before I tear someones head off.

 

When was the last time you tried talking with them?

 

Congress just passed an extension yesterday. Anyone who signed a contract before April 31st qualifies.

 

http://news.yahoo.com/s/nm/20100629/pl_nm/us_usa_housing

 

The House of Representatives on Tuesday approved giving extra time to homebuyers trying to get a popular federal tax credit by the end of the month.

The House backed by a vote of 409-5 a measure to extend the closing deadline to September 30 for buyers who met the April 30 deadline to have a signed contract. The current deadline requires those buyers to close the transaction by June 30 to receive the $8,000 tax credit for first-time homebuyers.

 

The Senate must still approve the measure before President Barack Obama can sign it into law.

 

Its not the law yet, but stay tuned, the senate at some point will probably pass this, and then the $8000 tax credit will be available.

 

Sorry to hear about the seller backing out, butmaybe he hasnt sold the home yet, and he may reconsider.

 

Good luck

[Booster4324]

When was the last time you tried talking with them?

 

Congress just passed an extension yesterday. Anyone who signed a contract before April 31st qualifies.

 

http://news.yahoo.com/s/nm/20100629/pl_nm/us_usa_housing

 

 

 

 

Its not the law yet, but stay tuned, the senate at some point will probably pass this, and then the $8000 tax credit will be available.

 

Sorry to hear about the seller backing out, butmaybe he hasnt sold the home yet, and he may reconsider.

 

Good luck

 

I hope you are right, if so, helluva a post. Talk about being the hero.

[DrDawkinstein]

i had heard that they were trying to extend it. believe me, ive been following that news everyday hoping to hear something.

 

the seller hasnt completely killed the deal yet, i dont think he wants to have to put a condo back on the market.

 

at this point though, im NOT letting anyone at BoA make any money off this, and i'm not sure we have time to restart the whole financing game all over again.

 

the worst part is that BoA has gone completely off the grid at this point. my LO wont answer or return calls/email. her boss wont answer or return calls/emails. my processor wont return calls/emails. the underwriting team lead wont return calls or emails... im just kinda drained and done at this point. ive had to work hard at being really annoying just to get anything done, on top of my actual job (and my fulltime TBD posting career).

 

thanks for the sympathy and the helpful posts, guys!

[Just Jack]

My sale finally got done yesterday afternoon. I was prepared to tell Citibank if they kept stalling and lost the sale, the house was theirs. I have already moved out, quit paying the mortage/taxes/power/insurance. There was no way I was moving back in while waiting for it to be sold again.

[Magox]

i had heard that they were trying to extend it. believe me, ive been following that news everyday hoping to hear something.

 

the seller hasnt completely killed the deal yet, i dont think he wants to have to put a condo back on the market.

 

at this point though, im NOT letting anyone at BoA make any money off this, and i'm not sure we have time to restart the whole financing game all over again.

 

the worst part is that BoA has gone completely off the grid at this point. my LO wont answer or return calls/email. her boss wont answer or return calls/emails. my processor wont return calls/emails. the underwriting team lead wont return calls or emails... im just kinda drained and done at this point. ive had to work hard at being really annoying just to get anything done, on top of my actual job (and my fulltime TBD posting career).

 

thanks for the sympathy and the helpful posts, guys!

It really may not have been BoA's fault, they may have handled it poorly, but there may have been a hold up. Supposedly there were over 75,000 loans that couldnt get processed because of the availability of funds and timing, so maybe they were stalling. Obviously I am speculating, but that may have been the case. Either way, it probably is worth looking into. However, I wouldnt try anything until it is passed, because until then, you will still most likely get the run around.

[DrDawkinstein]

It really may not have been BoA's fault, they may have handled it poorly, but there may have been a hold up. Supposedly there were over 75,000 loans that couldnt get processed because of the availability of funds and timing, so maybe they were stalling. Obviously I am speculating, but that may have been the case. Either way, it probably is worth looking into. However, I wouldnt try anything until it is passed, because until then, you will still most likely get the run around.

 

it's supposedly been through underwriting a few times over the past week, and just today they say that the numbers on my VoE, tax returns, and pay stubs dont match up. which they do.

 

furthermore, if i had just submitted this in mid-June, I could understand. They had it since the beginning of May.

 

They gave me an excuse that their entire system was down for 2 weeks because of the Countrywide merger. Ok, that was during the end of May/beginning of June. What happened the rest of the month? Know what I'm saying?

 

funny part is this fell through while i was at the attorney's office for the closing. within minutes of it being known that BoA sunk the deal, they had a lawsuit prepared. i hate frivolous law suits, but im not only out $8000, i also have to rush to find a new place to live. like right now. might just have to hit up BoA for some pain and suffering, haha. we'll see...

[BUFFALOTONE]

it's supposedly been through underwriting a few times over the past week, and just today they say that the numbers on my VoE, tax returns, and pay stubs dont match up. which they do.

 

furthermore, if i had just submitted this in mid-June, I could understand. They had it since the beginning of May.

 

They gave me an excuse that their entire system was down for 2 weeks because of the Countrywide merger. Ok, that was during the end of May/beginning of June. What happened the rest of the month? Know what I'm saying?

 

funny part is this fell through while i was at the attorney's office for the closing. within minutes of it being known that BoA sunk the deal, they had a lawsuit prepared. i hate frivolous law suits, but im not only out $8000, i also have to rush to find a new place to live. like right now. might just have to hit up BoA for some pain and suffering, haha. we'll see...

Stop whining on a message board and go find a house!!!

 

Sucks though man, I was supposed to move into my new place in May......only to find out the place has mold! Good new is the insurance pays for everything, bad news is it won't be till mid July till we can move in. But they do the painting and floors int he affected areas so that will save me some labor pains.

[DrDawkinstein]

Stop whining on a message board and go find a house!!!

 

Sucks though man, I was supposed to move into my new place in May......only to find out the place has mold! Good new is the insurance pays for everything, bad news is it won't be till mid July till we can move in. But they do the painting and floors int he affected areas so that will save me some labor pains.

 

glad you found it before you moved in at least!

 

welp, the good news is that the deadline has been extended by 3 MONTHS to September 30th. I spent half of last night convincing my landlord to reschedule his contractors, and I can stay in my current place for at least July. The Seller is in no rush to put the place back on the market so we've convinced him to stick with us for a little longer.

 

NOW, I just need to weigh my options on whether to stay with BoA, or jump ship to a more reliable lender.

 

I know the banks were overwhelmed, and that there were all sorts of uncontrollable issues, but I think a lot of my problems stem from the fact that I ended up with a REALLY crappy Loan Officer. not sure how i got myself in that position considering I know hundreds of LOs that are close customers of mine. but this woman at BoA could not care less. half the time it seems like she doesnt even want the loan to go through. I've had to go through her boss to get anything done.

 

I sent her a ****ty email this morning, outlining a list of things I need from her, bolding every instance of the words detailed and truthful. I also let her know that I will be using that report in deciding whether to find financing elsewhere.

 

we'll see...

 

thanks to everyone who has replied

[stuckincincy]

sorry about the LAMP, but I have to get this out before I tear someones head off.

 

How much did you offer as a down payment? 20%+ hard cash laid down on the table usually expedites things.

[Chilly]

Hey Dank,

 

Try hitting up Bank of America on twitter. @BofA_Help.

 

I had a banking problem that I couldn't get solved with normal Bank of America help, and they got it fixed for me in 24-hours. They were fast, courteous, and actually cared. They did a great job when I couldn't get the other departments to help me.

[DrDawkinstein]

How much did you offer as a down payment? 20%+ hard cash laid down on the table usually expedites things.

 

wish i could, but not even close.

 

this was kind of a rush job from my perspective. back in March my landlord of 4+ years let me know that he wanted to completely remodel the apartment this summer and asked that I be out asap (but without a lot of pressure). We had about a month to find a place and get under contract so I could qualify for the tax rebate.

 

with that little amount of time, i was only able to come up with the 3.5% needed for an FHA loan.

 

if i could put more down, i would. unfortunately, that's just not the case here.

 

luckily, my landlord is being very cool about this mess, even going so far as to pro-rate my rent on a daily basis for as long as im here. just sent him a check for July since i thought we'd be out by now, and he said if we do move out this month, he'll refund me what wasnt used. and if we have to stay longer, we'll just keep on rolling.

[DrDawkinstein]

Hey Dank,

 

Try hitting up Bank of America on twitter. @BofA_Help.

 

I had a banking problem that I couldn't get solved with normal Bank of America help, and they got it fixed for me in 24-hours. They were fast, courteous, and actually cared. They did a great job when I couldn't get the other departments to help me.

 

thanks for the tip. id hate to have to create a twitter account just for this but it's good to know.

 

i just got off the phone with a loan officer from Wells Fargo who specializes in FHA loans and she said they have a 7 day turn around right now. she'd even send someone over to the BoA offices to pick up all my paperwork. i might just jump ship.

 

i know Wells Fargo had it's share of problems recently as well, but the communication ive received in just this preliminary stage goes above and beyond EVERYTHING ive gotten from BoA to this point.

[Chilly]

You're not the first person that I've heard have problems with BoA's loan department. They seem to have some issues.

 

I still like them for checking, but my loan business goes to my credit union, and my credit card goes to Citibank.

[BB27]

Stay away from the big banks, they are a royal pain in the ass and don't really want to loan money (they are more interested in investing) and we know where that got us. And they charge way to many fees / closing costs.

 

Go with a smaller bank, or a credit union that is open to you through your employment. We bought our house 1 year ago, and the bank (small federal credit union - you have to be a federal employee to join) was quite friendly and easy to use. We had no problems and got the deal done in a little over 30 days.

[KD in CA]

Real estate people, lawyers, etc. all say that the banks are creating problems with virtually every sale. I closed on the sale of my late mother's house last week and breathed a HUGE sigh of relief. It took the buyers' bank a month longer than expected to get the final mortgage approval (these are people with no outstanding debt on their existing house and they were putting down about 30%). It finally came in 3 days before closing.

[DC Tom]

You're not the first person that I've heard have problems with BoA's loan department. They seem to have some issues.

 

I still like them for checking, but my loan business goes to my credit union, and my credit card goes to Citibank.

 

Wifey has nothing but problems with their mortgage department; I can pretty much guarantee she has more dealings with their mortgage department than anyone here. B of A's mortgage department is really screwed up.

 

 

Real estate people, lawyers, etc. all say that the banks are creating problems with virtually every sale. I closed on the sale of my late mother's house last week and breathed a HUGE sigh of relief. It took the buyers' bank a month longer than expected to get the final mortgage approval (these are people with no outstanding debt on their existing house and they were putting down about 30%). It finally came in 3 days before closing.

 

HUD changed their reporting form (the HUD-1) early in the year. The new HUD-1 is a nightmare, and HUD's new RESPA rules are completely !@#$ed sideways (get this: parts of the new RESPA regulations violate long-standing Treasury regulations for lenders. Banks are now literally violating SOME regulation every time they write a mortgage. ) The new RESPA regs require lenders to make binding good faith estimates on costs they aren't even responsible for (like recordation fees) which, though intended to reduce corruption in the lending industry, actually INCREASES it.

 

The law, quite simply, is an ungodly hash (and Congress knows it, and when HUD pointed it out they were told by Sen. Bill Nelson "We can't fix it, we have to concentrate on health care now.") The lenders - who I have almost no respect for even in the best of times - are largely innocent in this case, as they have to deal with a ridiculously unworkable and unrealistic set of regulations.

[Fezmid]

I still like them for checking

 

I hear that they have really good fraud protection for all debit card purchases...

[stuckincincy]

thanks for the tip. id hate to have to create a twitter account just for this but it's good to know.

 

i just got off the phone with a loan officer from Wells Fargo who specializes in FHA loans and she said they have a 7 day turn around right now. she'd even send someone over to the BoA offices to pick up all my paperwork. i might just jump ship.

 

i know Wells Fargo had it's share of problems recently as well, but the communication ive received in just this preliminary stage goes above and beyond EVERYTHING ive gotten from BoA to this point.

 

Dr. D - seems as if your bacon may be saved:

 

 

Homebuyer credit deadline extended

GARNER ROBERTS Abilene Reporter-News Posted July 1, 2010 at 10:01 p.m.

 

 

"Congress has given homebuyer who signed a contract by April 30 another 90 days to qualify for up to $8,000 in federal tax credits.

 

The House of Representatives approved the measure Tuesday, and the Senate gave its unanimous consent Wednesday night for an extension of the benefits in the Homebuyer Assistance and Improvement Act. The original deadline for closing was April 30 to qualify for the tax credit and June 30 to finish the deal. But homebuyers now have until Sept. 30 to complete their purchases.

 

“This is only good news for people who were under contract by April 30 but haven’t been able to close, maybe through no fault of their own,” Robert Calk of Sentor Realtors and president of the Abilene Board of Realtors said Thursday."...

 

 

http://www.reporternews.com/news/2010/jul/...dline-extended/