Has anyone had experience with American Interbanc mortgage compnay?

NEW -> Contingent Buyer Assistance Program
Pay very close attention to the rate sheet. I'll use a 30-yr, conforming mortgage as an example. They appear to quote 6.375% for zero points and a 30-day lock. Good deal right? Well, maybe. Look at the "typical conforming adjustments" block. First, we have a flat $999 flat administative fee. Pretty reasonable? Sure. THen we have a Loan to Value (LTV) adjustment... if your credit is in a certain range... and the loan exceeds 75-80% of the purchase price. So, you really could be up to 6.625% with $999 in fees for a 30-day lock. So now were at what a good credit union would offer. Of course, the adjustments will depends on your particular circumstances...But is there more? It is hard to tell... Your best way to know is to call them up and get a GFE (good faith estimate). And then get a GFE from no fewer than 3 other places. In my opinion, its worth asking them for a GFE. But follow-up with some of the more competative credit unions, the builder's lender, etc. Then sit down with all of the offers and compare line-item to line-item... and to make your life easier.. only compare no-point full doc loans to other no-point full doc loans... and make sure that the lock-range is the same for them all. Turning that 30-day lock into a 60-day could easily cost an additional .250% in your interest rate. So in my hypothetical, we'd be up to 6.875 for a 30-year fixed, no point, 60-day lock for someone with 20% down and a credit range in the 730's. There are better offers out there... but its not a bad offer either.



PS - if you offer to buy, always make sure your contract is contingent on (1) loan approval/securing financing and (2) that the property appraises for the asking price. Good luck.
 
The rate sheet they show is for <a href="http://www.americaninterbanc.com/ratesheet/Rate-Sheet-Template.pdf">wholesale rates</a>, i.e. not for consumers, but I could be wrong. The 0 point loan with the $999 garbage fee is 6.375%. They forget to add the .125% credit to the fee, not the rate, for a purchase, and maybe they don't have that. You better have a FICO over 740 if you want a loan of 75%-80% LTV, otherwise your rate is 6.5% with you paying $500 in fee. Now at 6.375% they make $999, or $1499 if it is a purchase and they have that credit, with a $400k loan amount. Oh, and you better get your taxes and insurance escrowed/impounded, otherwise they add .25% to the fee, and add in the LTV issue and you are now at 6.625%. Now... can you get this rate elsewhere? Yup, I just checked another somewhat, but not really that stable wholesale lender. Of course you won't have the .25% bump in rate for not having an impound account, but you will have a .25% bump in fee for the 75%-80% LTV thing. I didn't see a hit for 60 day lock, but the other lender only charges .125% to the fee, so not as bad as GrewUp said. Oh... wait... they forgot the adverse market condition fee that Fannie or Freddie charges, and the last thing I heard we were in an adverse market.



Aside from the adverse market fee, on a $400k loan amount, you could get 6.625% for a purchase, without impounds, a LTV of 80%, with a 739 or below FICO, and pay $999 in garbage fees.



Or... you could shop around and find the said lender I speak of, and get 6.5% and get $500 kicked backed to you as a credit with no garbage fees, or 6.375% and pay $1500 in real fees.



And... judging by their website, I wouldn't buy a fake Seiko watch off of them, let alone handle my mortgage transaction. I have seen three year olds with MySpace pages better than theirs.
 
Am I missing something here? Why not take a look at Penfed: <a href="https://www.penfed.org/productsAndRates/mortgages/mortgageCenter.asp">https://www.penfed.org/productsAndRates/mortgages/mortgageCenter.asp</a>



6.125% with 0 points for a 30 year fixed right now (Conventional or Jumbo). They also give credits for some of the closing costs.
 
Thanks for all the info & opinion. I got the GFE from countywide & wells as well, but thier rate was way up there compared to American Interbanc. That's why I was considering this lender. Reading all comments here, no way any more with this lender. I googled and found another lender offering lowest interest rate, Mortgage Capital Associates. It's located in L.A., which gives me local asses if something goes wrong. Btw, I've never dealt with online based lenders. Are you going to work with specific pofessional consultant? Is this safe business? more chance to fail from obtaining loan?
 
<blockquote>Btw, I?ve never dealt with online based lenders. Are you going to work with specific pofessional consultant? Is this safe business? more chance to fail from obtaining loan? </blockquote>
We've used an on-line bank to re-fi our mortgage. We received the best rate (at the time) and had the best customer service we have ever had with a bank. I would have to pull out my bank docs to remember who we used.



I will also say that I have heard horror stories with on-line mortgages though.
 
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