BBB Reports F Rating for American Home Mortgage Servicing Inc.
Significant Payment Processing Errors Threaten Financial Stability for Central Texans
Austin, TX - September 3, 2010 – In the wake of recent legal action taken by the Texas Attorney General’s Office against American Home Mortgage Servicing Inc. (AHMSI), BBB reports that AHMSI has been assigned an F rating due to the high volume of consumer disputes filed and the recent government action. The company provides mortgage loan services to homeowners and loan investors in Texas, California and Florida. 651 complaints have been received by BBB against the business in the last 36 months.
Consumers across the country report to BBB that AHMSI erroneously processes their payments and delays updating their system to reflect accurate account balances. In addition, consumers report to BBB that the company accuses them of having overdue payments that result in higher rates and additional late fees. According to the consumers, the accusations and collection discrepancies from AHMSI are depreciating their personal credit scores and threatening their financial stability.
On August 30, 2010 the Texas Attorney General's Office announced it had filed suit against American Home Mortgage Servicing, Inc. in the District Court of El Paso County, Texas. Charges filed allege the business is in violation of the Texas Debt Collections Act and the Texas Deceptive Trade Practices Act. The State is seeking a permanent injunction, civil penalties, all money or property taken from identifiable Texas consumers and pre-judgment interest on all awards of restitution. The matter is pending. Click here to view AHMSI’s current BBB Business Review.
Tweet This: A mortgage loan co. w/ high # of complaints re: processing info incorrectly = F rating from @CentralTexasBBB http://bit.ly/9kjnPk
Working with a Mortgage Loan Service:
· Start with trust. Look up the BBB Business Review of any company to see how they have addressed any consumer disputes in the past.
· Solicit multiple bids. Get estimates from at least three different loan companies before making a decision. BBB offers a free eQuote service to put consumers in touch with BBB Accredited Businesses who will email estimates to them at no cost.
· Get details in writing. Consumers should not be pressured into signing a mortgage contract right away. Take the time to review the details of the contract carefully and make sure all details are confirmed in writing.
· File a complaint with BBB. Notify BBB if you think you are the victim of a loan payment processing error to receive assistance in dispute resolution.
To check the reliability of a company and find trustworthy businesses, visit BBB.
About BBB:
BBB's mission is to be the leader in advancing marketplace trust. BBB accomplishes this mission by creating a community of trustworthy businesses, setting standards for marketplace trust, encouraging and supporting best practices, celebrating marketplace role models and denouncing substandard marketplace behavior.
Businesses that earn BBB Accreditation contractually agree and adhere to the organization's high standards of ethical business behavior. BBB is the preeminent resource to turn to for objective, unbiased information on businesses and charities.
Contact BBB serving Central, Coastal and Southwest Texas at (512) 445-4748.
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