According to the HomeBridge Financial Services website, the New Jersey based lender is the “#8 Mortgage Company” in America. Number 8 at what, we don’t know, however.
The company claims to differentiate itself from the competition because of its customer service. A video on the company’s website says that the days of “lack of respect and compassion for customers” is over.
Several people tell us otherwise, however. In fact, we believe that the company may be engaged in several fraudulent lending practices.
Our friends in the industry say that Home Bridge is a fast mover. The company is growing by leaps and bounds and is ambitious in its sales goals. Often that means, however, that growth comes at the expense of sound lending decisions and caring for borrowers.
The mortgage fraud lawyers at MahanyLaw are considering a potential class action against HomeBridge Financial Services for a variety of possible wrongdoing, including:
- Obtaining credit reports without borrowers’ permission
- Improper disclosures for fees
- Veterans paying fees not allowed by VA guidelines
- Mismanaging escrow funds
- Failure to honor rate locks
HomeBridge Fails Honor Rate Locks
In turbulent economic times, it is nice to be able to lock-in a mortgage rate. A rate is the lender’s promise to lock-in a certain interest rate. Rate locks are usually good for a specified time period, a period long enough for the lender to process the loan application.
Several people claim that HomeBridge isn’t honoring rate locks when rates are going up. One borrower says,
“We applied for a home refinance at 3.125% for 20 years. HomeBridge, which is also my current lender, dragged out the process for over 60 days, continuously delaying the submission of documents. Each time we were asked for a document, we provided within 24 – 36 hours. HomeBridge delayed the closing so long that the mortgage rates skyrocketed and they refused to honor our signed rate lock even though the delays were their fault.”
HomeBridge and Loans to Veterans
It is fitting that this investigations page is being written on Memorial Day. As the nation honors the millions of men and women who served in our Armed Forces, some mortgage companies are believed to be taking advantage of veterans.
We previously began investigations of both Freedom Mortgage and loanDepot (loandepot.com). Several veterans tell us that these mortgage companies serially refinance VA loans simply to churn the account and generate more commissions. The veteran or active service member thinks he or she is getting a reduced monthly payment but the commissions and closing costs can add years to the loan.
Now we have heard from one borrower that HomeBridge may be doing the same thing and charging more in fees than the VA allows.
History of HomeBridge Financial Services
Home Bridge is headquartered in Iselin, New Jersey. The company is licensed in all 50 states and operates a large branch network in 30 states. It is most active in Texas, California, Florida, New Jersey, New York and Georgia.
Through a claimed network of 1300+ sales agent, the company offers FHA, VA, USDA, jumbo, renovation and reverse mortgage loans.
Until 2014, HomeBridge was known as Real Estate Mortgage Network, Inc. In November of 2016, the company added hundreds of new mortgage brokers after acquiring the assets of Prospect Mortgage.
The acquisition of Prospect was not without controversy. HomeBridge clearly wants to expand and do so rapidly. Expansion by purchasing the very troubled Prospect Mortgage may not have been a good move for borrowers, however.
Just prior to the acquisition, Prospect was slammed by the Consumer Financial Protection Bureau (CFPB) for an illegal kickback scheme. Prospect was ordered to pay $3.5 million in penalties. The government said that Prospect and real estate brokers would sometimes pay kickbacks for referrals. That prospect is both illegal and can result in increased costs for borrowers.
The addition of sales staff and brokers from Prospect made HomeBridge the 6th largest mortgage lender in the country measured by production. The deal is more troubling since Prospect’s President of National Lending was given an executive vice president role at HomeBridge and charged with branch management.
CALL FOR VICTIMS OF HOMEBRIDGE LOAN FRAUD
We are seeking stories from borrowers or potential borrowers who have been the victims of HomeBridge lending and loan servicing fraud. Your stories will help us prosecute anticipated class action charges against the company.
In 2014, we helped the government recover a historic $16.6 billion against Bank of America. While much smaller than Bank of America or the former Countrywide, HomeBridge is growing at a breakneck pace and in doing so, appears to be trampling on the rights of borrowers.
Thousands of borrowers may be paying too much or have had their credit score damaged by HomeBridge’s actions.
Lenders rely on borrowers being disorganized and not saving all their paperwork. They also know that most homeowners won’t sue over a small increase in interest rates or an unauthorized charge.
If you have documentation or a diary of your dealings with HomeBridge, please contact us. Your materials could help us bring HomeBridge to justice.
The mortgage fraud lawyers at MahanyLaw have launched an investigation for a potential class action lawsuit against HomeBridge for various suspected lending practice and lending-related violations. A class action, if appropriate, will be aimed at curbing future illegal lending practices (if any are determined to exist), and at compensating consumers already affected by any illegal practices.
Are you a HomeBridge insider?
Your information is also useful to us.
Even if you are only willing to supply deep background information confidentially, your help may bring justice for homeowners and will help us better evaluate potential claims against the company.
MahanyLaw – America’s HomeBridge Financial Services Fraud Recovery Lawyers
To report foreclosure fraud or provide confidential tips, please email us at Unfortunately, we receive dozens of phone calls per day and cannot return every call. If you are an HomeBridge insider, please call attorney Dietz at 248-789-5551.
Please… Help us Make HomeBridge Mortgage Fraud a Thing of the Past.
The HomeBridge video can be viewed here: