Legal Question in Real Estate Law in California

Re: Mortgage Lender Junk Fees

Probably not. Points are a method of bringing the interest rate down. All loans require a disclosure that you signed showing the interest rate, all related costs and the effective interest rate after taking all fees into consideration.

You may want to complain to the lender and see what happens.

Re: Mortgage Lender Junk Fees

If you agreed to pay a particular fee package, and assuming the proper disclosures were made by the lender and the services were performed, your obligation extends to all the fees that were disclosed as part of the package, whether or not various real-estate writers consider them profit-padding and attach labels such as 'junk fees.' You are not afforded any additional rights because the fees are disdained by the lending industry's critics. On the other hand, you may have a valid complaint if the fee was not clearly disclosed or if it is for a service that was not provided to you before you stopped the refinancing process prior to its conclusion, as it sounds like you did.