brown.gavin•1mo agoOG Member

That time I caught a loan clause error during a refi in Phoenix

Ngl, I was sitting in a Starbucks near 7th St in Phoenix last spring reviewing a commercial refi package my broker sent over. I spotted a prepayment penalty clause that said 5% for 5 years, but the original note only had 3% for 3 years. I called him out on it, and he admitted it was a copy-paste mistake from another deal - would have cost me about $22k if I'd signed it blind. Has anyone else caught weird errors in loan docs that slipped through?

2 comments

2 Comments

jamie_white1mo agoMost Upvoted

Ngl, 5% is steep even for a 5 year penalty.

charles_kelly431mo ago

@jamie_white I once signed a napkin thinking it was a contract...