“FHA will Finally Stop Ripping Off Those that Pay Off their Mortgages”

Many of us have been fighting this battle for a long time and who is finally coming to the rescue? Of all agencies the CFPB. I have not been a proponent of the agency, as most know, but this is one they are getting right.

For years the practice is as follow. No matter what date in a month an FHA mortgage is paid off, they charge that homeowner interest until the end of the month. So, let’s say the closing took place on the 2nd of the month, the interest is charged until the last day of that month. You talk about a rip off, this is one for sure, why was this possible, because they said so.

Unfortunately, they are not making the change right away, they have until 1/14/15 to start doing it the right way. In the meantime, it is business as usual.  

I am still blown away, that the CFPB was the one that is making FHA stop this rip off that has been going on for years.