NetNews Usenet Archive 1992 #19/NN_1992_19.iso/spool/misc/consumer/16125

Internet Message Format | 1992-09-04 | 1.7 KB

Path: sparky!uunet!cs.utexas.edu!sun-barr!olivea!decwrl!csus.edu!netcom.com!netcomsv!iscnvx!news
From: [e-mail]
Newsgroups: misc.consumers
Subject: Re: Mortgage Scam??
Message-ID: <[e-mail]>
Date: 4 Sep 92 13:07:33 GMT
Sender: [e-mail] (News)
Organization: Lockheed Missiles & Space Company, Inc.
Lines: 25

I apologize for not requoting you but the newsreader/poster is quite cumbersome
(like DOS's edlin) and I just don't have the time to mess with it.

You stated your finance company wants you to pay a full month's interest even
though you paid the loan off on the 3rd.

1. There is a form you may have signed when you obtained the loan having to do
with the _Truth in Lending Act_.  Another name for it that makes lenders cringe
is _Regulation Z_.  Check your truth in lending statement against the accumula-
ted P&I paid on the mortgage.  If the interest paid on the mortgage is greater
than the TiLS then you may be entitled to have all previous interest paid cre-
dited to principal, and anything paid over and above the original loan amount
refunded (see an attorney, this can be complicated).

2. A lot of mortgage companies charge you after the fact.  Your September pmt
may include interest accrued through the month of August.  Check your original
loan documents to see how it is billed.  A lot of times at close of escrow,
you will make your first payment, then not have to make another one for 2
months.  Did this happen in your case?  Then they are billing you P&I a month
late and are entitled to the interest.

Both of these are very complicated issues and you should seek a professional's
help.  I hope this gives you a brief synopsis of what to look for.

Chris