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Flagstar Bank / fraud and scam

1 United States Review updated:
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I recently tried to get a home loan with FLAGSTAR BANK to purchase a house. I had good credit, 20% down, full document loan. All was going well the first 10 days but then once my option period expired on my contract, all *** broke loose. To make a long story short, the customer service was terrible, turnarounds on just about everything was bad with very little communication. They said I was approved and all was well but it wasn't. I ended up going with another bank who did a great job. WARNING TO ALL READING THIS; FLAGSTAR BANK TALKS A MEAN GAME BUT DOES NOT COME THROUGH!!! STAY AWAY FROM FLAGSTAR BANK!!!

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  • Su
      17th of Oct, 2009
    0 Votes

    Flagstar's loss mitigation -aka Sterling home is a total fraudlent joke.

    In the 6 months, this is what has happened.Now we're into month 7, new mortgage company gave us an foreclosure notice after 15 days.

    We were told we qualified for their program due to "hardship" because of my brain damage and severe health issues and our note would be lower.I paid March's note and tried to pay others but flag Star refused payments and said I had to deal with Stearling.
    Out of 6 months, 100's of documents faxed, 100's of documented long distance phone calls and 9 agents, 1 actually called.She told us based on our mortgage, my husbands wages and my disability (not received even after 3 yrs) our notes would be substancially lowered to under $300.

    We received the "package" around the 3 month mark, to have a note right at a $1000, almost our original note.We called, talked to a supervisor and she told us to reject the offer in writing and explain and they would send another package.

    Never another call, response or email- no acknowledgement we existed.We were placed on hold forever, our supposed agents never once contacted us other than the one mentioned.We continued to call daily.

    We received a letter Sept 28th informing us our mortgage was sold to another company, due Oct.1st.
    The new company has in less than 15 days never sent an actual note, just a letter demanding close to $11, 000 stated we never paid earlier payments (which we have proof they were paid ) and they would consider "maybe" working with us.
    Today Oct.15th, we got a foreclosure letter from the new company.

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