Indymac E Loan first mortgage

[Skeptic]

Indymac bank first mortgage.
In 2004 we bought a house a priced at 239,900. I got a combined first and second mortgage loans from E Loan. The first is a 5/1 Liborio termed for 360 months for 191,920.00 at 5.625%, or 899.63 interest only monthly payments for the first 60 months after which they will go to 1094.17 for the remainder 300 months. The second was a Home Equity line of credit for 47,980.00.
Soon after I made some payments to E Loan, they informed me that my first mortgage was sold to Indymac, and the second to E-Trade. After one year, I refinance the second mortgage with GMAC into a fixed 25-year loan. It was around this time that house prices in my neighborhood started to go south and eventually putting my house value under 239k. Therefore, I became stuck with the first mortgage. So here, I am with a mortgage that will be adjusting in Dec 09 to 1094.17, plus a variable rate feature, that I did not understand the true implications of until recently.
The Adjustment details are as follows:
First adjustment 60 months
Index type: 1 year Libor
Index value: 2.542%
Margin: 2.250%
Periodic cap: 2.00
First adjustment cap: 5.00%
Lifetime cap: 10.626%
Negative Amortization: No
The truth in Lending Disclosure statement says the following
Annual Percentage rate the cost of your credit as a yearly rate 5.090%
Finance Charge the dollar amount the credit will cost you 190,773.77
Amount financed the amount of credit provided to you or on your behalf 191,455.03
Total of Payments the amount you will have paid after you have made all payments 382,228.80
What am I looking at here?
Are all my payments Interest only?
Will I owe more than the 382,228.80 if I make all the payments as scheduled?
The monthly payments of 899.63X60 plus 1094.17X300 adds up to 382,228.80 yet Indymac says that the variable rate feature will mean that my first adjusted monthly payment will be more than 1094.17 is this true?
If true, why can’t they tell me what the Dec payment will be?
I have no idea what I have gotten myself into, and no idea what to expect on Dec 01-09. I am current on both mortgages

[Skeptic]

I have learnt so much from reading this forum. I have learnt the difference between "loan servicer" and "Investor/owner" of a mortgage, I have learnt about TILA, and that the Loan documents with your signature on it matters more than the unsigned copies that you may have or received after the fact from the servicer. I want to say thankyou very much.

I had called Indymac on two previous occasions seeking information on my 5/1 ARM and got nothing. Armed with information from this site I called on Saturday and asked specific questions

Who is the Owner\Investor of my mortgage loan?
Why does my TILA document have total payments that does include the amount I will be asked to pay for the 61st adjusted payment? Yet my monthly statement says that the 61st payment is undetermined?

To my surprise i was told that my loan is owned by Fannie Mae. It was a nice surprise to say the least. I am sure there is an explanation of how I got a loand from E loan, that i thought was now owned by Indymac, but is not. At any rate, for the first time I felt I was in the driver seat of these conversations with Indymac. Indymac told me that Fannie Mae pays them to service my loan and that i should not called them. I told them that such will depend on how my calls are dealt with, going forward.

As it stands now. Because I am current, a refinance is the only option availabe to me, and may not be a good option with regards to obtaining a lower interest rate (currently 5.625%), but allows for a refi to a fixed rate. I am going to argue for a refi fixed rate at the Dec 09 first adjusted monthy payment, which, if i meet the remainder 300 payments would see the Investor making 194k on top of the 191k loan principle amount. What more can they want? If they don't, I will be contracting Moe to look over my loan documents.

[Dan Bailey]

Skeptic,
Glad you found the forum and posted.

Sounds like a plan!