Refinanced-lender overpaid previous lender

[Wartrace]

What is the name of your state?Tennessee.

I refinanced with Dietech.com. It was done long distance and I signed the closing papers 4 days before the checks arrived. When I signed the figures were correct.
I recieved the final papers and checks and they did not reflect the papers I signed. I called the lender and informed them the evening I recieved the paperwork. The person I talked to said the closing dept. had two sets of figures- one if I had closed in September (as they had planned) and one for the actual date in October. They used the September payment figures that did not reflect my September payment. The woman said she would contact the previous mortgage holder to arrange a payment to me for the difference. She DID NOT do anything other than promise. I called back (two weeks later) and she said she didn't call.
The holder of my previous mortgage was a private individual. I called Dietech again and asked if they could help me recover the missing money. They responded they couldn't help me because the check was cashed. I informed them of the error before the check was cashed and they delayed any action until it was too late They told me I have to try to get the money myself.
It seems to me that the error they made was beyond my control yet I have to clean up the mess.
Is it on me or on them to clean up the error?

 

[MortgageGuru]

Be more specific. Did they overpay your previous mortgage holder?

 

[Ciarraine]

What is the name of your state?Tennessee.

I refinanced with Dietech.com. It was done long distance and I signed the closing papers 4 days before the checks arrived. When I signed the figures were correct.
I recieved the final papers and checks and they did not reflect the papers I signed. I called the lender and informed them the evening I recieved the paperwork. The person I talked to said the closing dept. had two sets of figures- one if I had closed in September (as they had planned) and one for the actual date in October. They used the September payment figures that did not reflect my September payment. The woman said she would contact the previous mortgage holder to arrange a payment to me for the difference. She DID NOT do anything other than promise. I called back (two weeks later) and she said she didn't call.
The holder of my previous mortgage was a private individual. I called Dietech again and asked if they could help me recover the missing money. They responded they couldn't help me because the check was cashed. I informed them of the error before the check was cashed and they delayed any action until it was too late They told me I have to try to get the money myself.
It seems to me that the error they made was beyond my control yet I have to clean up the mess.
Is it on me or on them to clean up the error?

Ditech was its own settlement agent?

 

[Wartrace]

Be more specific. Did they overpay your previous mortgage holder?

Thats the ticket! I need a wise&ss to help guide me through this one.Thanks Big Guy!

 

[MortgageGuru]

Throw some numbers up here so we can figure out if it's you or the title company that is screwed up.

 

[Ciarraine]

If it's your title company, they violated the Closing Instructions and the lender has recourse to the Insured Closing Letter to recover the loss.

 

[Wartrace]

Throw some numbers up here so we can figure out if it's you or the title company that is screwed up.

Sorry for my answer to your post- I am stressed out.
If it helps, the papers I signed with the estimate on October 4th was 13,594 going to the mortgage holder. He was also entitled to 3.05 per day interest from the last payment which was made/Due on September 23rd. The loan closed on October 19th. That works out to 79.30 in interest added to the 13,594. A total of 13,673.30 owed at closing.
The company sent him a check for 13,921.05 plus 118.95 for the interest. A total of 14,040. I was shorted 366.70. This figure matches the ammoritization schedual and the 3.05 interest per day owed.
The person I talked with the day the final documents arrived agreed they did not close using the right figures.
I just don't like the attitude that they can't do anything. All I am asking is they send him a letter or phone him and HELP me recover from the mistake they made.

 

[MortgageGuru]

It sounds like the payoff amount assumed that no payment was made on Sep. 23. What you will need to do is contact your previous lender and find out when they will be sending you the balance check from where it was overpaid. Typical turnaround time is anywhere from 1-6 weeks. Hope this helps.

 

[Wartrace]

The problem is the previous lender is the previous owner of the house I bought. He is a private individual and is confused about what he should send to me. What I need Dietech to do is to contact him with a specfic amount so he can be sure he isn't being taken. All he knows is I am claiming he owes me money with no third party verification of this fact. Dietech has yet to do this even though I followed their instructions to the letter.

 

[MortgageGuru]

I just reread everything. I think I understand now exactly what happened. Your mortgage payment is due on the 23rd of every month correct? If so, then the title company sent a full principle and interest payment, not a per diem interest amount. The amount they sent should match up with the amortization schedule of your mortgage because the funding date would have been on Oct. 23. Plus an 2 extra days for travel time for the funds to reach him, $6.10. Take that figure subtracted from the actual amount sent to the previous lien holder and that should be the amount over paid.