It maybe a standard practice in the industry and as a first home owner I am unaware of. I am initially offered a low rate which appears to be a good deal but once I signed the contract, in less than a year's time, they increased it on me as the same time keep advertise a lower rate to attract new customers. People considering choosing this bank need to be careful.
Reasonably good customer service
Play tricks on rates
I was referred to a citybank mortgage by my broker. I was a fist home buyer so quite inexperienced. I first go pre-approval, then when I found the house I wanted put in an offer and sought loan approval.
Citybank caused me much un-needed distress and nearly lost me the house, as they didn't come and inspect the property until two days AFTER the approval was due. They then took another 2-3 days to actually approve the loan. The sellers were ready to sell to someone else!
Futhermore, when I recieved my statement I couldn't understand why so ...little had come off the principal loan amount. When I added it up it meant that it would take me 60years to pay off my loan! I rang numerous times and spoke to numerous people (none of whome spoke English well) and no-one could explain it to me. I eventually found a family friend that explained to me that it works on a sliding scale. Initially you pay nearly all interest and hardly any off the principal, but towards the end of the loan, you're paying nearly all off the principal and hardly any interest. I highly reccommend you do NOT use this company for mortgages (or anything else). There are other better companies around. No too hard to change loan type Bad customer service, terrible organisation skills, poor communication
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