I've been traveling this week in Southern California. With the jet lag, I've been up a bit early, and I happened to catch an infomercial on mortgage refinancing from this organization. The website is far tamer than what appears in the ad, which promises 15 minute approval, cash in 5 days, and no upfront appraisal fees. So far, so good.
However, the rates that are quoted per $100k financed are extremely low--low enough to suggest they are teaser rates or interest-only loans. And there are references made not only to "no credit score, no problem" but to the notion that a borrower who took out such a loan would be able to re-establish good credit by making the payments on this loan. Okay, a little dicier.
The icing on the cake is the promotional gift for taking out the loan--a 3-day, 2-night trip to Las Vegas. And the company's slogan, "You can't wait, and we won't let you."
Does anyone else get the feeling that this is an invitation for the unsuspecting to lose their homes? First, consolidate all your loans and attach them to your house. Then, take on a mortgage with the highest possible interest share in the payments. Finally, as a person who has shown difficulty making past payments to creditors, go to Vegas on us and gamble away your money, so that you are least able to make the loan payments when you return.
Normally, I don't get so animated about these sorts of advertisements, but this one pushed all of the wrong buttons.