[Ledeen]

I have been asking the same questions and no one so far has answered me, (except for the referrals to attorneys, which of course they want a retainer to answer my question)


I have an Option ARM mortgage through Downey Savings. The broker who sold this loan to me lied both to me and the bank .

First he told me my interest only payment option would be 2,900. It was 4200!

On the Loan Documents ONLY the MINIMUM Payment option was listed. It listed the rate, what the rate was based off of (MTA) and the points . BUT NO WHERE did it make any mention of any of the other 3 optional payment amounts.

So unless I would have jumped online and searched for a mortgage calculator, which I did not. I had no way to know the Broker completely misled me.

The minimum payment was correct, although he promised me it was a NO Prepay, and the loan docs said "there MAY be a pre pay". When I asked about that, he stated "they are required to state it, but if there WAS a prepay, then the little box next to , THERE IS A PRE PAY, would be checked.

So that was also wrong.

I want to know if not listing the other 3 optional payments on these Option ARM Loans is legal.

Is it legal to simply document the interest rate, but not estimate or list what those payments are?

To me it seems ridiculous they would not have to list them since it would, and has led to allot of us homeowners being misled and put into loans we can never afford.

Also, he put me into a loan where the P&I payment was more than 70% of my gross. I think more like 75%.

Anyway, if anyone can answer this one question I would greatly appreciate it.