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Primerica Mortgages / rip off

1 United States Review updated:

So I have been watching the news and found out that what is causing the current financial crisis is mortgage backed securities. I was wondering where I heard that saying before. Then it hit me. My mortgage company!!! You see I have a Primerica Mortgage (through CitiMortgage, was CitiTrust Bank).

I got a month behind on my mortgage because I was laid off, however I have paid faithfully ever since. However, there are 2 problems that are unique with a Primerica Mortgage I am told. One, I am only paying interest now (So it has essentially become an interest only loan) and two, it is a security backed mortgage so it can not be reworked. Every time CitiMortgage calls me, they let me know they can help me with my payments then the customer service rep finds out it is a “special” loan. After hearing this for months I asked what “special” meant – you guessed it security backed mortgage. If is kind of funny now when they call, I have to explain to the rep that it is security backed mortgage when they call trying to help, they all then say “Oh, yeah... I see your right... Well keep paying hopefully you can get it caught up sooner or later”. One guy said “I can’t believe they sell these loans, not allowing you any wiggle room.”

If it was any other loan they would have given me a month reprieve and added the payment to the end of my mortgage and I would be paying down principle instead of only interest.

The second suggestion they always give me is refinance. Little hard because I am a month behind and because the Primerica Loan was 100% Loan To Value. So now I am stuck with only paying interest payment even though I make a full payments every time, until I can come up with an almost triple payment now because the interest is accruing.

I am not blaming my Primerica rep because I signed the mortgage. But I am definitely not happy with the rep or Primerica because the rep did not know this could happen (which shows ignorance) or did not tell me about the possibility of this happening (which shows he did not care). All he pointed out was I would pay it off faster then a normal mortgage. At this rate I will never pay it off. A different loan would have given me some forgiveness; the Primerica Mortgage has me trapped after I made one bad move.

I also have a high interest rate. I am at 10.75%. Of course I was told interest rate does not matter. Trust me, interest matters when it is accruing. If I had known the full story and ramifications I would have signed a different mortgage, one that would have given me more leeway when a bad time hit. Because when I came to Primerica for help, to rework the loan, they weren’t there. I am now trying to educate others before they make the mistake I did.

Va
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Comments

Ra
  24th of Nov, 2008
Agree Disagree 0 Votes

I have been with Primerica for over 15 years and I have never seen them do any loan over 80% LTV. Your LTV makes me wonder about the rest of your comments.

St
  4th of Feb, 2009
Agree Disagree +1 Votes

I was taken also. When my friends (thought they were my friends) told me they were going to get me out of debt, by consolidating all my bills into my home (big mistake) and charged me a higher interest rate, I was told - don't look at the interest rate. Primerica is a RIP-OFF. That's all there is to it! Stay clear.

Eg
  16th of Mar, 2009
Agree Disagree -1 Votes

I have to agree with the first response Primerica doesn't do 100% LTV loans, max 90% in Louisiana, so it leads me to believe that there is something missing in the posters comments, like the truth.

Il
  29th of Jun, 2009
Agree Disagree +1 Votes

Primerica sold me a S.M.A.R.T. loan that is now managed exclusively by CitiMortgage. I have been set up with automatic withdrawls from my checking account from the beginning. Citi missed pulling one payment in June 2008, and now their collections department is calling asking for the payment AND late fees! I created a dispute case with them 6/2/09. I received another collection call, so I called again, found out that the first case was closed with NO ACTION TAKEN, and they have created a new case number. The date I am supposed to call them back for followup is July 4th, which makes me wonder if the heavily-accented voice was even a rep in the USA.

If you want to spend your precious time fighting a large, multi-national, uncaring, behemoth corporation, go ahead and get a mortgage through Primerica. Trust me, once the rep has his commission fee, he'll quit being your friend, and will tell you he can't help you. It is all in Citi's hands now.

In
  8th of Dec, 2009
Agree Disagree +1 Votes

I was a mortgage broker for Primerica for over 5 years and I can tell you not only did they do 100% LTV (until the market fell) they even promoted the fact that they didn't require PMI on loans for more than 80% LTV. Furthermore, we were told that as the largest corporation in the world (then) Citi didn't have to sell their loans and used their own money. In fact, I believe the loan docs indicated they would not be sold.

In November, 2008, when Citi got all that TARP money to try and get banks lending again, we were told they would no longer do mortgages for the purchase of a home, only re-financing., and that made me start looking around. With lots of homes needing to be sold and couldn't be sold without getting a mortgage, I ddn't think this was helping our country.

At Primerica, I was a captive agent, which means I could only sell their products. I thought they were good, but didn't have the ability to compare them to other companies. Now, as an independent agent with access to many companies in the financial services industry, I can truly offer my clients what's best for them, not try to fit them into one company's product. I've learned that their rates are high You do pay for PMI, it's just not called that It's a higher interest rate that doesn't go away when you get the LTV below 80%. I replaced my wife's insurance and saved $85, 000 over the term of the new policy for the same amount of coverage. Now that I know better, I'd never become a captive agent again.

Tr
  9th of Aug, 2010
Agree Disagree 0 Votes

I absolutely rescent this company, I started a blog to help spread the word about them please post your complaints go here> primericacomplaints.blogspot.com

Li
  16th of Aug, 2011
Agree Disagree 0 Votes

In late 2006, I made the HUGE mistake of letting a Primerica Rep into my house for a "training demonstration". It all looked so wonderful on paper: debt free in 7 years, retirement in place, life insurance, savings, a portfolio, and even a new job...all backed by the largest, most trusted bank in the world-- Citi. I was doing okay, had been in my house over 10 years, until I let Citi in. They foreclosed a week ago, after 2 years of run around in a 2 seperate modification programs that were destined to fail from the beginning. My loan was sold into a pool of high risk securites before the ink on the original note dried. (Check out the CRSMI REMIC. ) If you refinanced with Primerica, your loan is probably long gone. I am seeing an attorney tomorrow to try to stop the 5 day eviction notice that followed foreclosure by one day. Wish me luck. I'm headed straight into the dragon's lair.

Na
  6th of Oct, 2011
Agree Disagree 0 Votes

I think you are all missing the point. PRIMERICA is NOT for EVERYONE!! It is only for the 10 percent of people that have a desire to be something great, and to do something special. trying to convince someone that Primerica is not a pyramid, is like trying to tell someone the sky is blue when they believe it is orange, if they think it is a pyramid than they probably don’t belong in Primerica, (or as a business owner anywhere else for that matter). Primerica is for people that have vision, desire, and determination. If anyone says to me that they heard Primerica is a scam. I politely explain what a scam, or pyramid is and ask if they understand the difference if they don’t "nice to meet you, but it looks like you are not a good fit".
Primericans DON'T try to hire everyone, most of the people in the world don’t want or deserve what we have to offer. Just look for the people that are worthy of greatness, and the mediocre will just start showing up. It is impossible for followers not to follow so GO GET THE LEADERS
Hope that this help you prospective employees to decide, do I want to be something better than everyone else or do I want to just make 60k a year for the rest of my life. It is your decision if you have any questions call any Primerica office in the Phone book you will probably find someone who can explain it to you.
All the best

Jo
  18th of Sep, 2015
Agree Disagree 0 Votes

I blamed Primerica for many years for the stupid, stupid decision i made to refinancse all my debt back into the house and use one of citis equity builder programs. The truth is that if you go into any type of an agreement and do not fully, totally understand what is going on. Get a Lawyer. Its your right. Always keep in mind that even though they say that they are out to help you, they wouldnt do it if they didnt make money off of you. I didnt do any of this and instead of being just 5 years away from being paid off, i am still getting hammered with a high interest rate and will still be paying for another 15 years. Like i said, i dont blame them anymore because i went with it. i made the decision. soooooo, i would recommend avoiding any of their services like the plague. Their life insurance is stupid useless, but mainly just make sure you get a lawyer involved. Take care and God Bless you Primerica.

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