From: alvin@zany.mips.com (Alvin Oga)
Newsgroups: misc.invest.real-estate
Subject: Re: The ALL INCLUSIVE LOANS
Date: 28 Jul 1992 01:38:29 GMT
Organization: MIPS Computer Systems, Inc.
Distribution: usa
Reply-To: alvin@zany.mips.com (Alvin Oga)
NNTP-Posting-Host: zany.mips.com

In article <14smfdINN1qf@agate.berkeley.edu>, ramezani@are.Berkeley.EDU (Cyrus Ahmad Ramezani) writes:
|> 
|>   Our encounter with this beast happened in the following setting: A relative
|> responding to an advertisement in local new paper went in to refinance his
|> thirty year loan. His aim was to get a fifteen year loan at lower rate.
|> Given his week language skills we believe he was taken for a ride: i.e.,
|> he ended up with another thirty year loan at the same rate ( paid the
|> full expense of refinancing) and a so called AI loan for 13 years
|> that essentially restructures the payments on the 30 year loan so that it
|> is paid off in 13 years. For this service they ended up paying 2 points
|> "AI Loan Fee".
|> 
|>    They were never told of the thirty year refinancing business and only
|> discovered its existence when the financing company had neglected payment
|> on this loan while collecting on the 13 year loan.  This is how we
|> discovered the details of the loan. Our attempts to get the attention of
|> the financing company proved fruitless until we brought a suit at the
|> small claims court. Then the president of the company met with us about
|> three times and we began to discover all the details of the deal. We
|> demanded that the 2 points AI fee be refunded to us and we be given
|> guaranties that after the 13 years of payment we should not be held
|> for the thirty years loan.  The firm offered to give us $500 for our troubles
|> and a statement to absolve us of responsibility for the 30 year loan.
|> Would any one out there be interested to comment on the following:
|> 
|>   1. How common and safe are these AI loans.
IF THIS IS WHAT I THINK IT IS...YOU'VE BEEN TAKEN FOR A RIDE....
IT IS EASY TARGET FOR SCAMS IF YOU DON'T KNOW HOW TO SET
IT UP PROPERLY.

|>   2. Given that my relatives spoke very little English can we claim
|>      they did not understand all the form that they actually signed ?
PLEADING "IGNORANCE" DOES NOT HELP  YOU IN THIS CASE....
	(sorry, but keep reading)

|>   3. Does the fact that the company is willing to give up something
|>      indicate that something may be wrong?
SOMETIMES....probably in this case....

|>   4. We have a small claim court shortly. Is there any hope that we
|>      can recover the added fee ?
YES...IF IT IS WHAT I THINK IT IS....

|>   5. Any suggestion you may have would be most appreciated. We strongly
|>      believe that the sales person misrepresented the facts and was at
|>      fault. Certainly they were very pushy in their dealing.
SALES PEOPLE USUALLY ARE....but nothing you can do about that...
I'D LIKE TO KNOW EXACTLY IS THE "MISREPRENTATION?"


IF THIS IS ONE OF THOSE 'BI-WEEKLY CONVERSION PROGRAMS'....
YOU'VE JUST LUCKED OUT......You can probably recover your expenses
and other miscellaneous costs....Please call me privately and I would like more
detailed info and if it appropriate, refer you to my attorney to file more suits.
This is not a matter of small claims....let's go for the gusto and file in municipal
court or state courts.....maybe even federal courts if these turkeys are from out
of the state !
EVERYTHING DEPENDS ON HOW AND WHAT KIND OF DOCUMENTS
YOU HAVE or DOCUMENTS YOU DIDN'T GET....

BTW, I'm not an attorney...but I respect SOME of them more than I respect
real estate agents and car sales people...  At least attorneys charge an lot
and 'pass the bar'...for whatever that's worth....

PLEASE CALL ME WITH MORE DETAILS....Let's see....maybe we can do
something with my 'trusted' attorneys.

Good luck
alvin		alvin@mips.com
(408) 524-8348
(408) 988-8500