Toxic loan broker is a "friend." What to do?

[scbrvt]

Good morning.
So I am researching what to do, and I've written my QWR. I am going to send it out on Monday when I am off work.
I plan to send it to at least 3 of the addresses and people on te Counrtywide list, including Mr. Mozilo, my sentators, my congresswoman, Governor Schwarzenegger, Dick Cheney, Obama, Clinton, CNN, and the local news consumer watchdog guy. Do I also send it to RESPA or is that only for after I receive the documents and want to file a complaint? Is there anyone else who needs it? (Escrow company, Title insurance, Broker?)

Which brings me to my main question:
The broker who sold me this piece of crap loan is a family friend. I am pretty certain he charged me exorbitant fees for processing, origination, etc. But the thing is, I don't think he really knew what he was doing. I know for absolute certain that he has these exact same loans on his own properties, and wrote them for his son, daughter, sister, and brother. (I worked in his office for some extra cash for a while a few years ago, so I compared my loan and fees to theirs to make sure that I wasn't getting jacked. They are precisely the same.) He wouldn't have deliberately tried to screw himself, so I thought that my loans were on the level. So when I told him I was going to be in trouble soon with my loan, he said he was in the same boat, and I wasn't surprised. He is the one who suggested investigating what can be done to modify the loan, and to document the process so that he could do it on the family's loans. So I told him about the QWR, and that I would need to send it to him, and not to think I'm after him, but just trying to get the documents I requested. He said I can get the documents from him and from escrow, but I emphasized that I wanted them from Countrywide. I told him that the product I applied for might be different from what I signed, which might be different from what I'm actually PAYING for. He acted shocked that the lender might switch the loan terms after signing, and he also got offended that I was doing this, as he "would never try to hurt" me becasue I'm "like a daughter" to him. I told him I didn't assume he was trying to hurt me, but I want to make sure that the documents all match. He thinks that just by requesting the QWR, that "they" will automatically come after him first. I said I didn't think that was true, but if after having the documents reviewed, it seems that there were improprieties on his part, I ould discuss it with him before taking any action against him.
Now- I know I have to look out for myself first, but I don't want him to get hurt in all of this, either. (Unless it can be PROVEN that he was deliberately malicious towards me.) So, other than saying "why do YOU care what happens to HIM?" and "you've got to look out for #1" does anyone have any ideas on this? Are "they" going to go after him just by me sending the QWR?
He is suggesting to go forward with a short sale, having someone I know make an offer, and then doing a quit-claim on the deed once they buy it, so that I get to keep my house. That seems so full of problems, but I don't know enough to say for sure.

-Stephanie

[scbrvt]

So he just called me and he's freaking out. He wants me to come to the office on Monday to go over the papers that I have, plus what he has, and what's at escrow. He says we can work it out without lawyers, and that he'll give me a check for whatever I think he overcharged for. HELP!!

[Moe Bedard]

Hi Stephanie,
First thing just by asking for your documents with a QWR will not get the broker into trouble. The only way that can happen is if you file a RESPA complaint against him if you find that he was in violation of RESPA.
I would be more concerned over why he is freaking out if he did nothing wrong.....IMO.
For right now I would probably not go meet him until you have a chance to look over your documents and see what is what.
Keep us updated as soon as you receive them.....

See my response on the other Thread, that guy has some issues and they are serious. He is scared, must have reasons.

[Moe Bedard]

Stephanie you either need to hire and attorney right away or at the very least, have your loan documents reviewed by an expert on fraud and predatory lending. We have services on this site for a reason and this is a a legitimate 110% reason to have an audit done.

I wouldn't meet with him. He can easily manipulate you or these documents to his advantage.

You need an independent third party review, FAST!