My wife works for a major loan agency. She checked into my brothers new loan and found that more information has been added to the loan and his signature had been forged by someone. Most likely escrow. When my brother signed all docs he his full name (first, middle, last). On the loan docs on record it only has his first and last.
When he signed the “Note” the paragraph that states “Borrower’s Right to Prepay” only had one paragraph which stated he could payoff the loan at anything without a Prepayment Penalty.
The docs now reflect a second paragraph which was never there when he signed his loan documents. The second paragraph says He has a sixty month prepay ( 5 year) if he decides to payoff loan. He can payoff the loan if he sells property to unrelated third party, but he can not refinance at any time. They rewrote the note and signed a signature, which is not his at all.
We have NO copies of the loan docs. The broker said he does not have them. He said he sent them to escrow. We contacted escrow to get copies and they tell us to contact the broker and the lender lol who my wife works for but they do not know that at this point. All the broker and escrow know right now is we want copies of the loan docs. We have not told them anything about the forged signature and added documentation.
Your brother should see a lawyer pronto. He should also check to be sure other details were not changed. Unless the escrow company is owned by or otherwise connected to the lender they would have no reason to do such a thing. My guess is that the broker is in cohoots with the lender and that the broker has done this deed. Or, perhaps the lender’s original offer contained such a prepayment clause and the broker is trying to cover up his mistake. Your brother should have been given a copy of every document he was asked to sign at the time he signed them. Where are these copies? Isn’t the note notorized? I’d track down the notary and get a copy of the ledger item. For all real estate transactions in California, the notary is supposed to obtain a thumb print as well as a signature in his/her ledger book. Whose thumbprint is in this book? IANAL Good Luck! I’m sure with the help of a lawyer your brother will get this straighened out without undue hassle.