Bank of America Admits Overcharging me for Closing Costs - Anyone Else Get This Letter?

[Anonymous]

We purchased a house in January of 2011. Today, in the mail I received a letter from BofA saying, "upon review of your loan after closing, we discovered that the costs assessed in connection with the closing of your loan were greater than expected. As a result we are pleased to be able to return a portion of these costs back to you." The amount I am being refunded is half of the amount we paid in closing costs. The day we closed, BofA all of a suddenly doubled the amount of the settlement charges - we fought it but felt like we had to pay or we would lose the house. We are now in the midst of refinancing with another lender and am wondering if maybe the new lender discovered this error and told BofA? I have confirmed that the letter is legitimate but I am wondering why this is happening all of a sudden. Any insight would be great.

[Anonymous]

about 2 years ago HUD changed the rules regarding quoting fees and actual fees. Actual fees may not deviate more than a certain percentage than the quote or the lender has to eat the difference. It is probably just random that they discovered it now.

[Anonymous]

Interesting - thanks!

[Anonymous]

This is apparently happening frequently. However I have only seen it with Bank of America - not other banks. Not sure why.

[Anonymous]

Yes, we got the same letter from BOA, from a refi in 2010. We didn't get back 1/2 -- just a small amount -- and it was due to the delta between the quoted and the actual costs, as referenced by the PP.

[Anonymous]

We got the same letter from a closing company we used with Amerisave.

[Anonymous]

sounds like there (almost) was a class action lawsuit and, along with the HUD-1 disclosures rule (10% rise cap vs good faith estimate), you got some money back!