Comments on: Mortgage Refinance: Closing Process Explained

By: TFB

TFB — Sun, 15 Nov 2009 17:20:21 +0000

Glen – Sounds like the title company seriously dropped the ball. You shouldn't have let the new lender fund the new loan on a Friday to begin with. Even that, if you trace the little calendar in the post, your old loan should've been paid off on Tuesday Nov. 10 at the latest. Complain to the title company. Don't take no for an answer. See how ManInTrouble got a refund in comment #7 above.

By: Glen Furumizo

Glen Furumizo — Sun, 15 Nov 2009 02:07:17 +0000

The Title co is Escrowpoint, Inc.
23282 Mill Creek Dr., Ste. 340
Laguna Hills, CA 92653
The old loan is BOA.
When the loan funded on Fri after noon they said 48hrs but tues came then they said Weds was a holiday so thurs. Then thurs came and they said it will be paid off on the following monday 11/16. I explained it was unacceptable and they said it is no fault of their own and they will turn it over to a manager to look into.

By: ManInTrouble

ManInTrouble — Fri, 13 Nov 2009 23:44:20 +0000

Glen,
Who are "they"? The title company or the old lender? How did "they" explain to you about the discrepency between the closing date and the paid off date?

By: Glen Furumizo

Glen Furumizo — Fri, 13 Nov 2009 22:45:41 +0000

I signed on 11/2, closed and funded to escrow on 11/6 they are now telling me my old loan will be paid off on 11/16. 10+ days of overlap interest. Can they do this?

By: suzanne lustgarten

suzanne lustgarten — Thu, 29 Oct 2009 15:06:02 +0000

confused on interest due on estimated closing statement

On my estimated closing statement which was due to close 10/26
they charged me interest on old loan 10/1 to 11/1 (interest for whole month)
even though I made october 1 payment on old loan which I know pays interest for september. The interest i am charged on new loan is 10/26 thru 10/31.
So on old loan shouldn't i just be charged 10/1 thru 10/26?

1.On old loan aren't you just charged interest up until the date the loan funds?

2. Is it normal procedure on a closing statement to make the borrower pay a full month interest on the old loan for the month the loan closes? Do you get a credit back when they receive funds paying off old loan since you paid interest for the whole month on old loan at closing?

By: TFB

TFB — Sat, 10 Oct 2009 16:52:17 +0000

Shirley - If I have a choice, I would prefer to close it in a local settlement agent's office and face a real settlement agent. A traveling notary can make some explanation but they don't know all the answers. See my experience in Mortgage Refinance Completed.

By: Shirley Siegrist

Shirley Siegrist — Sat, 10 Oct 2009 16:40:31 +0000

What do you think of closing on a refinance by notary? Lender said they will send a notary to the house. Who is responsible to explain the terms and legalities of the forms signed? Somehow it does not seem like the best practice.

By: Danny

Danny — Thu, 02 Jul 2009 18:41:14 +0000

My situation is this: I closed 6/23, funds were suppose to disburse 6/30 and for some reason they are delaying. What is my recourse?

By: ManInTrouble

ManInTrouble — Thu, 18 Jun 2009 22:11:14 +0000

I finally got the issue resolved, but it ain't easy.

I asked the settlement agent about the overlap interest – no response at all. I escalated the issue to the branch manager. She said she needed some time to investigate. Three weeks later, she still could not provide the details of the closing date to explain the excessive overlap interest. I finally have to talk to the regional manager to get it resolved. No details was given, but they offered me a refund check.

Once again, I want to thank you for your comments and support. Double thumbs-up for the refinancing event calendar.
Bravo!

By: TFB

TFB — Sat, 06 Jun 2009 07:29:09 +0000

@ManInTrouble – (1) Yes, because typically the loan is funded the day before the closing date. (2) You should ask your settlement agent how and when they did your payoff. If they sent a wire, your old lender should've received it on Tuesday 5/12. If they FedEx'd a check, your old lender should've received it on Wednesday 5/13. If your settlement agent didn't send payoff on time, they should pay you the extra interest. I had this happen to me once. I complained to the settlement agent. They paid me the extra interest because they caused the delay. On the other hand, if your settlement agent did the payoff on time, you should get the wire or FedEx tracking number and complain to your old lender for crediting you too late.