HSBC Watch News Release Forum Index
Forum Name: - HSBC Mortgages
Topic Title: Padded Payoff Quote Is Too High
Fri Jan 27, 2006 11:56 am
AC in Texas reports:
I am refinancing my predatory loan of 12+% with a -8% loan. HSBC is quoting a $74,000+ payoff figure on a balance of $65,002.61. We just came out of a 42 month Chapter 13 Bankruptcy, paid in full including a small amount to HSBC. They are stating that we are several months behind in our payments tho there has been no indication of a default. We got behind a couple of times but they forced us to make it up at the time. There is no way HSBC or the Bankruptcy court would have allowed that much deliquency. Trying to get a payment history or straight answers from this company is near to impossible.
I would like my States Attorney General's office of consumer protection to audit this account for all the "corporate advances and fees" and other interest on interest charges. There is something very wrong. Someone please help us. We have the same situation with SPS (aka Fairbanks) on another piece of property. Does no one police these companies while the stockholders make zillions of dollars on the back of the poor? Help, we cannot afford to take a hit like this.
Mon May 01, 2006 11:48 am
One should look out for mortgage fraud, especially if HSBC - through its predatory Houseshold International HSBC Finance division, stalls on answering your questions. Case in point:
Last year, a mortgage broker in the Tacoma area filed a false second lien against a property as it was headed to closing. The man planned to take advantage of an unsuspecting couple and quietly pocket $24,000 into his own account when the loan eventually came through.
Until recently, prosecutors at Pierce County and elsewhere - already deluged with other major crimes - faced a difficult decision: Should they place other compelling cases on the back burner and go after a mortgage fraud case?
The Tacoma case was investigated and prosecuted, thanks to a special pool of funds earmarked for mortgage fraud. Washington state's Mortgage Lending Fraud Prosecution Account, approved by the Legislature for the next five years, is collected from a $1 surcharge from every recorded deed of trust in the state.
According to the state office of the attorney general, this fund - about $1 million annually - allows authorities to more readily field complaints and scrutinize every step made by every player in the mortgage lending process.
Chuck Cross, director of consumer services for the Washington state Department of Financial Institutions and a key player in the highly publicized cases against Ameriquest and Household International, said the fund made eight mortgage fraud convictions possible in 2005 with another 35 ready to go.
Everyone should write their state attorney general, informing them of the Washing State model, while asking for implementation in their state.
You cannot post new topics in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot vote in polls in this forum
You cannot reply to topics in this forum
You cannot edit your posts in this forum
You cannot delete your posts in this forum
You cannot vote in polls in this forum
Thinking of making a debt settlement offer? See common 
We monitor customer trends for possible violations of Regulation Z and other possible illegal actions.