Refinance or Scam?

[jtussing]

What is the name of your state?What is the name of your state?Washington
Private realestate contract; June 2002
Behind $7,500.00 in monthly payments and will forfeit all rights on Sept 21, 2004. Delinquentcy is due to work related accident on April 29, 2004 causing total disability for projected 52 week recovery. I have heard of a Chapter 13 (hardship discharge) that might apply? I am applying for Re-financing, BUT, (bad credit rating, disability = little income). Only one lender has offered a loan package and being in my spot I would be happy to take it but I'm not sure if it is legitimate or a scam. LENDER; BOLD FUNDING INC. (Fair Market Value $120,000.00, Balance $59,000.00). BOLD FUNDING OFFER: No credit check, no income check, offer to loan payoff + BOLD FUNDING fee(10% of FMV) + up to $20,000. cash back. $60,000. + $12,000.(fee) + $20,000. cashback = $92,000.00
TERMS: $92,000.00 for 30 years at 6%fixed, P/I monthly payment aprx. $650.00
REQUIRE 10% of fee ($1,200.00), up front to begin processing. I realize they ask a lot, but I would agree if I knew it was for real / for sure. How do I find out? They quote 21 days. I'll lose $50+k in 31 days if I don't make the correct choice. A lot to swallow! Any help is appreciated.

 

[amortgageman]

First off anything over 7.99% fees to lender is considered Predatory Lending.

Second, there was a thread titled "has anyone heard of Bold Funding?" a couple of weeks back. Use the search option and read all about it.

Another note, read over their website, I think in the lower left corner, it is searching for investors.

Do your homework, before you sign (you have been warned).

 

[BriantheBanker]

Bail Out

Depending on how the company is disclosing their company, and how they plan to get you the money for your payoff; they may be breaking several RESPA guidlines.
Hard Money Lenders invest their own (or private) money normally for forclosure bail-outs and horrible credit borrowers at sky high terms.

as far as charging >7.99%...
Predatory Lending is a general, non-specific term. Predatory could be used to describe a mortgage company refinancing (cash-out) the same borrower/address 3-6 times in one year. Loans where fees exceed 7.99% are called Section 32 Loans and require a 6 day recession (o/o) and Sec. 32 documents be signed.
Semantics.

The Company could be completly ligit. If you can't sell your house, and you have ONE option, your out in 30 days now; Do a bit more LOCAL research and hope that it all works out.
Forclosures are occurring more frequently and are getting tougher to finance.
Good luck,

BriantheBanker