BNC Mortgage / OptionOne Mortgage/Chase Home Finance aka Chase Home Loans / Unable to obtain unfunded note secured by mortgage!
On 1-06-06 I agreed to a commitment from a "mortgage broker" in SLC to refinance my house to provided my portion of funding in cooperation with Salt Lake City and the Utah Department of Transportation for improvements and to beautify the access and adjacent public property (approximately 10% of the total costs) for capital improvements. The loan was a "variable rate" because that approach was far lest costly than taking out a construction loan during construction and "closed" on March 3, 2006.
The matching funds were to be transferred by the lender, BNC Mortgage, to a trust account. When I discovered that less than half of the certified closing disbursement weeks later had been wired, I also learned that the loan had been assigned to Option One at closing, and BNC was never responsible. BNC was going or had gone out of business, apparently.
Contemporaneously with the first payment due date, I was informed that the loan had been purchased by Chase; a couple of weeks later I received a brief letter from Option One stating that they saw nothing wrong with the closing. [It turns out that they had received a noted "copy" of the certified closing statement which reduced my portion by $10,600.] Certified letters were sent to all 3 lenders and assignees. Acceptance was explicitly refused by Option One and subsequently ignored by Chase, although in the latter case I followed up three times at Chase's request that I fax my request for documents relating to the financial arrangements, deeds or assignment of interest and documents by which they became the party in interest. I have done so both in writing and to anyone who would listen at the Customer Service.
I have been forced to incrementally pay and/or make excuses for delaying my share of the improvements to the the property, but it is now crunch time, and I have received nothing! Customer Service--except on one occasion-- has been very polite, but I am now against the wall to fulfill the commitments for which the loan was taken out. Chase certainly has been efficient in calling for the full monthly payment which I have made, but all under protest. I am now facing a presumable interest rate increase which, I fear, they may be hoping for.