HSBC Changed the Terms of My Loan After I Signed a Document With Blanks

“Dear Steve,

I have a mortagage with HSBC for 5 years now at fix rate 5.625% 30 with PMI no Fannie Mae, no Fmac and I wanted to refinance with a lower rate no PMI. They send me and initial set of documents with lower APR for same initial value of the property without the APR. I signed them I sent them back.

After that to set up the closing date they told me I “should sig again the documents”, I asked if they were the same, they told yes are the same. only that I didn’t have signed something. I doubt but still they sent me by email the pdf docs, whe I campared between the first package and the last one, they change many things, first the value of the property (equity) was 25% lower and there was a PMI (of course.. the loan was larger than the value of my condo!) but still the monthly payment was lower and the the APR and closeing cost sligtly increased.

Do You Have a Question You'd Like Help With? Contact Debt Coach Damon Day. Click here to reach Damon.

The questions are, this kind of “strategy” from banks could be considerer a Scam? and, can I ask for “honor” their word with the first set of documents that I signed and make them to give the loan?


If HSBC decides to switch the facts of the loan and you sign it, that’s on you. If anything looks out of place, don’t sign it, and don’t leave any blank spaces where they can fill in a different APR later.

You might want to talk to a local mortgage broker about other lenders may be offering and see if you can’t find a better deal. I just recently refinanced my mortgage through a broker for 3.6%.

Trust your gut here and do some more looking around.

Please post your responses and follow-up messages to me on this in the comments section below.

Damon Day - Pro Debt Coach

Follow Me
Steve Rhode is the Get Out of Debt Guy and has been helping good people with bad debt problems since 1994. You can learn more about Steve, here.
Steve Rhode
Follow Me
Latest posts by Steve Rhode (see all)