I just got off the phone with the Loss Mitt department at IndyMac, and the agent told me that they require $300 in order to process the SS package and pay for BPO.
My question: Has anyone else heard of this? Is this legal? If so, is there a way around this?
I have never heard of it but I am sure if they can charge it or not. I would like to know this also.
Its a free market so I don’t see anything prohibiting them from charging such a fee. They are simply passing along part of their overhead cost to what is likely a growing business group, loss mitigation. If you don’t want to pay the fee then why not charge a similar fee for your service and include it in the short sale package and have a wash.
Indymac has been doing this for awhile. I won’t touch Indymac. If this is the LM you are speaking with I would tell them with all the lenders you deal with, you’ve never heard such a thing. That the homeowner doesn’t have the money. If you have a fee, you can tell them you’ll reduce your fee by this much or something appealing. I’ve heard if you “fight” them enough on it, they will forget about it.
I agree. Fight for it but dont let it be a deal breaker.