Mortgage broker promised loan but bagging costs, AG Cooper said

Mortgage broker promised loan but bagging costs, AG Cooper said

Mortgage broker promised loan but bagging costs, AG Cooper said

"Homeowners are trying to get a better interest rate should not get ripped off," said Cooper. "Take the money upfront and then fail to do the work that is against the law, so we have to take action."
Raleigh: A mortgage broker Zebulon who took thousands of dollars in upfront costs but failed to refinance home loans as promised to be permanently banned from the mortgage business, Attorney General Roy Cooper said in a lawsuit filed Wednesday.
Cooper filed a complaint yesterday in Wake County Superior Court against the Carolina Mortgage Group and president and principal owner Jeffrey D. Cox for violating state laws against business practices are unfair. Previous mortgage broker has offices in Zebulon and Wilson. Attorney General asked the court to permanently prohibit the defendants from the mortgage business in North Carolina, and ordered them to pay refunds to consumers and civil penalties.
A total of five consumers have filed complaints against Cox and Carolina Mortgage Group with the Attorney General's Consumer Protection Division. In addition, the NC Office of the Commissioner of Banks' received 15 complaints about the defendants between July 1, 2013 and 30 April 2014
As alleged in the complaint, Cox told consumers that can help them refinance loans on their homes and other property to the low interest rate on new loans and close within 30 days. He asks consumers to pay an origination or keyword cost of approximately one percent of the total amount of their mortgage and also ask them to pay for the appraisal. But once consumers pay a fee, Cox failed to close on a refinance, claiming various reasons for the delay. When refinancing never happened and consumers want their money back, Cox refused.
Commissioner Cox Bank revoked license as operator of mortgage loans and mortgage brokers license Carolina Mortgage Group on August 15, 2014. The defendant was ordered to pay $ 90,345 in fines and $ 36,345 in consumer refunds. Cox also faces criminal charges in Wake County for obtaining property by false pretenses and fraudulent residential mortgage.


Affidavits from three consumer victims filed along with the lawsuit:
• A Raleigh man paid $ 6,870 to finance the four properties owned along with $ 3,000 in appraisal costs. He waited almost a year and never got a loan financed.
• Some Wake Forest paid $ 10,485 to finance their homes and investment properties. The process lasts for several months without the defendant successfully completed one of the loan. The pair missed at a better interest rate through their banks due to delays and ultimately financed to 75 percent higher than they could.
• A Raleigh woman trying to refinance his home through Carolina Mortgage Group. Cox rescheduled five times the loan closes. After knowing that Cox is no longer licensed as a loan broker, he finally completed the refinancing through another broker.