Elyria, Ohio
Not resolved

We recently started a refinance process with Bank of America. We wanted to refinance into a 15 year fixed rate loan with a interest rate of 3.75%.

James Stennett, a loan specialist, told us that we would need an appraisal of at least $160,000 to meet the requirements. I think ok no problem...I understand the price of homes has declined but we paid well over $160,00 for our home and our current listed value as of this month was $171,000 which is still well under what we paid for it.

Bank of America sends out their appraiser and while he is here I get papers in the mail from Bank of America with my appraisal amount listed in there as $165,000. I called James and asked why I would pay $450 for an appraisal if he hasn't even performed it yet and they already have the appraisal amount. Oops...that was just a automated letter that is sent out, they just guestimated what my home is worth.

So a couple more weeks pass and I have no word on what my home appraised at even though I was promised that I would have a hard copy of the appraisal within 4 days, so I call once again. Now I'm told that my house has appraised at $153,000 and I don't qualify for the refinance but they can work out some different options for me.

The best part of the whole deal is that I still get to pay for a credit check and the bogus appraisal to the tune of $485.00. To add insult to injury James Stennett took the time to explain to me that my homes value was an average of 3 homes that have sold in the "area", not in my development that were smaller than my house. He explained that I did get a little credit for my house being bigger than the ones they compared it to. I wonder why they didn't average in the house that is on my street that is the exact same size as mine that sold for $188,000 this month. Guess they could be honest with their consumers and tell them they are going to pay $450 for a appraisal that is basically just them making up numbers so they have an excuse to charge you a higher interest rate. They are crooks and I truely believe that they just stole my hard earned money.

Product or Service Mentioned: Bank Of America Mortgage.

Do You Have Something To Say ?
Write a review


You will be automatically registered on our site. Username and password will be sent to you via email.
Post Comment

Filed complaint today with Consumer Financial Protection Bureau. Hopefully this will get it going.

My complaint went to the following:

Contacted BOA regarding refi and spoke to a loan rep "Kizzy". She quoted the Streamline making homes affordable program (no appraisal, no credit/income...). She then turns around to give cost of which NOW includes a $445. appraisal???

We questioned her regarding this as well as she should NOT tell people about this program when they are being charge for things that is NOT the program... She refused to stick with the program and it's guidelines and we refused to pay for something that is NOT to be charged as part of this program... Either charges are to be apart of a program or it is not, sounds to us as tho they snow ball people and many out there are paying for things that they are NOT suppose to be? We are looking at saving hundreds of dollars a month thru this refi program and are questioning if we should stay with a bank that has these type of practice.

She mentioned even if a zip code was off by 1 number in THEIR system, the customer would have to pay for an appraisal. Sounds like they are inflating fees to make more money. Don't think this is a legal tactic as a program of which does NOT call for an appraisal or at the cost of the customer, actually takes a turn to where the program in place (of which you no longer must be in a program) but yet in the program, customer pays for things that the program says they don't??? To make matters worse, she said even if the home appraises at only $20,000 we STILL qualify for this program to refi.

Now does this make sense, does this sound legal??? Pay for an appraisal that it useless/means nothing? Even if appraisal comes in at 20k they will still refi us for 120k ????

Not sure if this is a discrimination as we do have a lot of equity in our home and she feels we don't need this program or we can afford to pay for things/costs that are not apart of the program (par for why we can't answer yes or no on the discrimination question). Hope BOA has the recording of this as they claim at the beginning of the conversations that they do, seriously doubt they will have it...


Oh and the reason for our finding out about this "cost" I asked for the breakdown... She also commented out our home shows a value of x amount, then later said she couldn't find the value and that's was why Freddie/Fannie would require the appraisal (yes confussing isn't it), now she already said our value but turned around and said in her software it doesn't show it???

Lots of major issues here and yes, I am on this 15 day wait period on hearing response from BOA. So when you look at the refi programs, please make sure that the person has you in the program and you are in that dog gone program...

Also, due to a certain situation on our home, we said you would think we would be grandfathered in, she said yes we are and that's why we qualify for the program... I for one am tired of this type of practice and there for am speaking up...


I went through the same thing. But I was told that I was approve but have 5 items to complete.

So I went through and paid for FHA foundation inspection along with a contractor to put sure wall up. After $2500 worth they came back and said my inspection has expired that they need a new one. I couldn't believe it and even the new inspector they had given me to call said that doesn't sound right but I went ahead with the inspection. ANd this blows my mine that 5 months there is a $50000 difference and them saying they couldn't do the loan.

I am pissed off at them. I wish I knew who to call. Not only wasted time and money.

Now what can I do????? keister64@aol.com


Appraisers are independent from the bank ??? You can NOT be serious ???

One of the reasons for the housing boom and BUST were independent appraisers/inspectors failing to accurately assess the value and condition of properties.

Considering the lender hires these contractors ( who they have established relationships with ) AND the borrower rarely decides on their selection - - - I'd say the lender is at least partially liable. What logical reason would the appraiser have to not include the same size home on the same street as this applicant ?

ITA with the Ruth, the applicant did not get what he paid for: A mortgage contingent on a fair appraisal of her property value. A refund of at least $450 is definetly in order. Now and in the past, legal and ethical questions have been raised with regard to lender's financial interest tied with their appraisers. This is a SERIOUS CONFLICT OF INTEREST to borrowers already at a disadvantage applying for mortgages in a shaky economy.


Sounds like this guy doesn't know appraisers are independent from the bank, and that they look at homes that recently sold in a area not necessarily a developement. Why would the bank want $450, when they could make more if the deal went through.

Doesn't make any sense to me. He should do some research before he vents.


FYI Ruth, you should do some research before you say anything about someone who clearly had a bad experience. Generally, when comps are pulled to determine the price of a property, they are pulled from the same neighborhood before other neighborhoods to help ensure accuracy.

You could have a neighborhood that is trashed right next to a nice neighborhood, so using both wouldn't make determining a home's value very accurate.

And for the record, I am also working with B of A, with the same person, and have already received inaccurate info regarding our modification process. If you are going to be rude and not educate yourself first, then don't read posts like this.