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Fairbanks Capital

Fairbanks Capital • Complaints News • Fairbanks To Refund $40 Million To Consumers • Company May Settle Charges for $55 Million

Amanda of Bonita Springs FL (9/15/03):
I have had problems since June 2003 when Fairbanks was first named "servicer" of my mortgage, resulting in erroneous & excessive fee's ($4700+), forced placement of (duplicate) insurance, non-existant communication by company. Fairbanks Capital has not complied w/RESPA, REG Z & a variety of other Federal Laws since they took over servicing of my account in June 2002.

In addition to $4700 (& counting) in bogus fees, I am unable to refinance because Fairbanks has reported negatively to credit agencies & has DEMANDED I pay those disputed fees prior to releasing my property. They filed foreclosure & attempted to sell my property w/out EVER informing me & AFTER I had filed proper RESPA documentation to prevent this action. The result has been my inability to sell this property or refinance when market conditions are favorable.

The "trickle down" effect over my finances has been widespread & includes my still living in a property I have desired to sell for a year. My life is on hold while this company continues to flounder & not answer for their mistakes.

Zora of Franklinville NJ (8/25/03):
Upon resolving a dispute with our mortgage, my husband and I were quoted different amounts in order to rectify the situation. At first we were told we needed $2,600.00 and then they doubled that amount. Since last week and upon recieving a bill in the mail they now want $9,606.76. In the time it took for them to to send this new bill I had come up with the amount I previously discussed with them.

I would not have gotten to this point, however, they kept sending my motgage payments back. Everytime I sent them money they sent it back to me. When I spoke to another loan consultant today and disputed the new bill they loan consultant told me any money I send them they will send back. I have been in the process over the last month trying to refinance my home, I have a wonderful company that is willing to work with me but Fairbanks keeps giving both sides a different figure as to what we need to pay to go through with the new mortgage.

I am in serious danger of losing my home, that my husband built, in which we have resided for the past 41 years. We have done everything possible to meet the terms that Fairbanks has set forth, however, they are denying us our rights.

Kelly of Wilson LA (7/4/03):
Fairbanks Capital purchased my mortgage of many years (without my knowledge) in April 2002. That is when the calls started. I was told they now owned my mortgage and had not received my monthly payment and demanded that I pay over the phone or they would start foreclosure. I know that I HAD in fact made my payment but authorized a payment anyway until it was proven. That is how it all started.

Weekly (sometimes daily) calls, several payments a month at times. Payments were held until late then issued "fees," forced placed insurance (when I HAD insurance) etc. Then one day a knock on my door from a local sheriff serving me with foreclosure papers. NO NOTICE!! They claimed that I was several months behind. I had cancelled checks proving payment. State Attorney general would do nothing as they said that Fairbanks was a "Loan Servicer" and did not fall under the Federal guidelines.

Current status..they STILL send back my payments, I have a lawsuit against them, and the foreclosure has been stopped (for now). Problem is,they are STILL doing their dirty deeds. People are losing their homes to fraud! Consumers need to be warned. There is so much more to the big picture.

Patricia of Gloucester NJ (9/23/03):
I got a mortgage in 1996 and have been paying ever since. I am in bankruptcy for some of the payments but still continue to pay each month the sum of 171.28. I still owe $17,328.90. The mtg was for $18,000.00 The trustee makes payments also. But the payments get applied to things like property preservation, attorney advance repayment, property preservation repaymentand statutory expenses. These things make no sense.

If I call the telephone payment number, it states that I owe for the month of 2/03 I called and asked what these charges were for but they just said when the loan is paid off it will all be explained. They even told me that they send appraisers to do drive-bys and I can be charged for them as often as every six months just to prove that I am taking good care of the property. I can't seem to get any help with this situation. Another thing that I don't understand is that they do not pay taxes or insurance and the amount that they said that I owed them started out at a much lower amount then it is now.

Angela of Anderson SC (5/13/03):
My husband had surgery in December and was out of work. I called to get a forebearance agreement and they were so hateful. Yes, I fell behind in my mortgage but I was going to pay it when my husband got his short term disability started. We had to get the SC Department of Insurance to sraighten that out for us.

Now that we have the cash to pay them, I can not get a true balance. They say there is attorney fees that total at least 950.00. We never got a letter telling us that we were in foreclosure and we never had any papers served on us. We never had any papers from an attorney, as a matter of fact we never had any papers signed from anyone. We were asked to Western Union the money or send it overnight or our home would be in foreclosure. I asked for a street address because I was goiong to send it certified mail. I wanted to do this because sometimes it takes a payment a long time to be posted. Then there are late charges. I did not want to be left without any proof of when this money was sent and received.

My 3 monthly payments total 2323.00 for all 3 months and they are telling me that I owe 3500.00. I can see the late fees but anything else I cannot understand. They have tacked on insurance to my monthly payment and I have insurance with State Farm and they have faxed them the information. State Farm faxes Fairbanks Capitol our homeowners insurance information every January because that is when we renew it.

Dean of Asheville NC (2/15/03):
I went to refinance my mortgage and first this company would not give the pay off over the phone (it took them 15 days after written request). Then they required interest be paid through January 11th 2003 even though the request from the lawyer clearly requested the payoff through the 18th of December. They them required the lawyer hold an extra 1 month of the mortgage payment even though they were to be paid on the 18th of Deccember.

Then the payoff statement was illegible and contained a charge of $492 for something called "corporate advance on behalf of mortgagee" and a charge fopr interest on the amount of either $16 or $26. I called 4 times to get a clear statement sent to me and to have them explain the charges. I had to come up with an extra $1950 because of them and to make the deal go through.

I have never been late with a mortgage payment and have always maintained the required insurance. The fact is that I had been paying money ahead on my mortgage and they stopped crediting me for it so I stopped paying ahead. I have checks from all my payments and they are ripping me off for over $500. They keep saying they are researching the charges because they claim they paid them when they bought the mortgage but the charges have not been explained and cannot be valid.

AAmes Home loans sold our mortgage to Faribanks just before Christmas 2002. We were told in a letter that Fairbanks would contact us regarding future payments. The first contact from Fairbanks was a collection call in early January. We had no loan number or statement etc. We are concerned about making payments without a loan number, statement or coupon to reference.

We have contacted the company requesting a statement and received only one - a late payment notice with a threat of collection. We are now getting collection phone calls but we refuse to pay without some payment instrument! What do we do?

Charles of Pittsburgh (1/19/03):
On December 3, 2002 Fairbanks Capital Corporation (FCC) Informed me that it intends to initiate foreclosure proceedings against me. This action is being taken in spite of the fact that I have been making my mortgage payments. I have not missed any mortgage payments. I have copies of all of the cancelled checks, bank checking account statements, and money-order receipts verifying that FCC has received the payments. It is my contention that FCC has received the payments but has not properly applied them to my account and I have written several letters to FCC disputing its claims against me.

On December 17, 2002, I applied for a Homeowner’s Emergency Mortgage Assistance with the Pennsylvania Housing Finance Authority through Consumer Credit Counseling Services. This action provides me a sixty (60) stay of foreclosure as I attempt to resolve this matter with Fairbanks. On December 23, 2002, I made a Qualified Written Request to FCC requesting a printout of all of my account activity, which would specify and itemize any fees that I have been charged, and explaining the legal basis it claims to have to impose such fees on me. In response to that letter I received only an account activity statement, dated 1/3/03, with no explanation of the legal basis of the fees being charged and no explanation of the application of my payments. The fees and charges that appear on this statement are totally inconsistent with my records for payments I have made to FCC.

On January 13, 2001 I received a letter from FCC requesting that I provide it evidence of payment of all mortgage installment, late fees and other fees I have made. I prepared these documents and mailed them to FCC under my cover letter of the same date. According to the statement I received from FCC through 1/3/03, I still owe the November 2002 and December 2002 mortgage payments which works out to $1,505.70, comprised of two mortgage payments in the amount of $1,420.48 and two late payment fees totaling $85.22. Such an accounting disparity is possible only if FCC has misreported and misapplied my payments I have made to date.

Additionally, the company’s Loan Servicing Center frequently telephones me and misrepresents how much I owe FCC. I am doing everything I can to resolve this matter on my own. However, based on my experience with FCC, it is clear FCC is engaged in unethical and bad business practices at the very best, and criminal fraud at the very worst. I want Fairbanks Capital Corporation to cease and desist with any and all foreclosure activity against me. I want Fairbanks Capital Corporation to immediately and accurately account for the payments I have made to date, which would mean current status through January 31, 2003. I want Fairbanks Capital Corporation to cease and desist all telephone harassment of me to coerce me into making unnecessary payments.

Anthony of Houston TX (9/30/02):
My loan was transferred in early 2002, I sent payments in to the address they advised in the change correspondance. Two months later they claimed they never received any payments. I then had an customer sevice rep on the phone (No name given) apply unapplied balances to my account along with a pay by phone transaction to get one payment handled imediately. This never happened and then shortly after that they informed me that I was in foreclosure, I then agreed to pay the balances and late charges.

I did within the next two months, then after fighting with them to get this (the balance owed) cleared going back and forth versus what one CSR stated as the balance versus another CSR. I did, only now to have them tell me that I owe an additional $1,051.53, when initially all legal/late fees were in what I paid off. Their Customer Service center and collection department NEVER gave the same balances owed, and even people I talked to in the Customer Service department stated "that people in the colloection department didn't know what they were doing".

Subsequently my credit has been damaged (I am building another home) and my rate with my new home mortgage company was 7.8 in November and after the loan was transferred it has gone to double figures. I truly feel like I have been mistreated, taken advantage of, and discriminated against.

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