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CIBC Mortgages / Mortgage Arrears

1 Toronto, Ontario, Canada Review updated:

I am in arrears with CIBC mortgages to the tune of about $11, 000. CIBC have instructed Lawyers and commenced Power of Sale Proceedings.

I have offered to pay half the arrears now and requested that they capitalize the rest of the arrears and costs which will create a new mortgage balance. In an effort to ensure continued payments I have asked that they take interest only payments for the next 12 months.

My mortgage is less than 50% of the appraissed value (as at Nov 2008), however the lawyers have refused my offer and advised that POwer of Sale will proceed and I will be repossessed if the mortgage is not brough up to date by Jan 14th 2009.

I am told that part payments are not an option.

In these times I surprised that Banks are not flexible. There is no real danger that they wil lose money when they are sitting at less than 50% loan to value. In the meantime they are happy to write down billions for the US mortgage industry where there is ZERO prospect of any returns.

I am not a new borrower, I have had the mortgage for over 5 years !

If these Banks are truly committed to helping their borrowers through tough times, they need to listen to realistic proposals.

Js
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Comments

  • Ta
      18th of Apr, 2009
    +1 Votes

    I recently also had a problem with CIBC over their mortgages. I have decided to move, and before I went to the realtor to list my house for sale I went to CIBC to inform them of my intentions, and to confirm that I would be able to re-finance my mortgage for a higher amount, or at the very least port it to a new residence. I was told that it would be no problem whatsoever to attain an increase of up to %100 of my current mortgage. I listed my house for sale, and it sold, so when I went back to the bank and talked to the same person to get real numbers for what amount I qualified for, she told me that, and I quote her exact words "you can't make enough money for me to give you any increases to your mortgage, or allow you to port your existing mortgage, and I am going to require you to pay all pre-payment costs on your current mortgage, as well as extra fees to release your mortgage". I have never once been late for or missed a payment, my house sold for double the mortgage amount, she did not check my credit rating, and she "renegotiated" my PLC to double the previous contracted interest rate without any approval or notification to me. If that wasn't enough, she then proceeded to make alterations to my other accounts without any consent from me. I sent a complaint to their "customer service" and they informed me that the bank account changes must of been a minor typing error, and that she was within company policy to do everything else, and that they stand by and protect their employees.


    I truly hope that CIBC goes out of business, they should not be permitted to operate in such a fraudulent manner.

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