Ideal Mortgage Banker d/b/a Lend America

On November 30, 2009, The Federal Housing Administration (FHA) withdrew the FHA approval of Ideal Mortgage Bankers, LTD., doing business as Lend America (“Lend America”).  As a result, Lend America was prohibited from originating and underwriting new FHA-insured mortgages or participating in the FHA single family insurance program.

Effective December 1, 2009, Lend America discontinued its mortgage origination operations.  However, the company continues service mortgage loans.

The Banking Department issued a Cease and Desist Order against Lend America on December 4, 2009.  The Order, among other things, requires Lend America to finalize the funding of mortgage loans closed on or before November 30, 2009 and notify pending applicants about the status of their applications or the likelihood of funding pending loan requests.   A copy of the order can be found at www.banking.state.ny.us/ea091204.htm

Lend America continues to engage in the servicing of GNMA-guaranteed mortgage loans.

FAQs

1. Do I need to transfer my mortgage loan application to a new lender?

   If your loan application was for an FHA-insured mortgage and it did not close, you need to transfer it to a new FHA-approved Lender.   You can locate an FHA-approved lender near you by accessing the FHA’s website at http://www.hud.gov/ll/code/llslcrit.cfm.   Your new lender can transfer your file by accessing Lend America’s website at www.lendamerica.com and selecting the link transfer@lendamerica.com.

   Consumers with non-FHA-insured mortgage loan applications that did not close should contact Lend America using the Consumer Services Link CustomerService@lendamerica.com on the company’s website.

   The Department has also directed Lend America to send notices to consumers informing them about the status of their loan application and the steps the consumer must take to transfer the application to another lender.

2. My loan closed before November 30, 2009 and I was told that Lend America did not pay the seller or my previous mortgage company, what should I do?

   If you refinanced your mortgage through Lend America and recently received a statement from your prior mortgage holder informing you that your payment is past due or you purchased a home and the seller’s attorney informed you that Lend America has not funded the loan, please contact the Department immediately at 1-877-BANK-NYS or via email at consumer@banking.state.ny.us.  You will be required to provide your name, loan number, and property address.

3. I believe that my loan application was submitted to Lend America by the mortgage broker handling my application, what should I do?

   If your application was originally submitted to Lend America through a mortgage broker and the Loan was not closed on or before November 30, 2009, you should contact you mortgage broker for additional information regarding the status of your application.

4. Lend America services my loan.  Should I continue to send my payments to Lend America?

   Unless you receive written notification from a new servicer or Lend America that your loan has been transferred to a new servicer, you should continue to make your monthly payments to Lend America.