Q: Can I sue my mortgage lender for enforcing 8.3% for 16 yrs? Even during modification due to hardship, they would not.
The co-borrower quit claimed the home to me through divorce. The tax assessor removed the co-borrower. The co-borrower is now incarcerated and Deutsche Bank will not remove the co-borrower from the loan unless I refinance. I am still rebuilding my credit and life after divorce and being the sole provider for my son. I cannot afford to make several needed repairs to the home. My original loan was $118,000 and after 16 years, I owe $81,000. It has become emotionally stressful to deal with, knowing over $200,000 has been paid, but the interest is so high that we could never get ahead of the interest rate.
A: It sounds like you should have refinanced a few years ago when rates were super low. While you probably can’t sue your lender for the interest rate assuming that is the rate you previously agreed to, you probably can still get a lower rate on a 15 year mortgage even today and get the co-borrower off the loan at the same time. I would also suggest you pay more than the minimum payment to reduce your principle balance faster, pay off the loan sooner, and reduce the total interest paid over the life of the loan.
1 user found this answer helpful
Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.
The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.
Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.
