Fight the Escrow Blues

After numerous experiences with escrow agencies, (Letters, June 28, July 12) I have also come to the conclusion that they are well-schooled in fleecing the unsuspecting client.

The escrow agency is the only business that I know of that doesn’t need to show you, in writing, exactly what services you will receive and how much you will be charged for them.

They are betting that the client does not understand the process and that the extra charges they slip in will be camouflaged by much larger figures on the settlement statement.

The last two times I refinanced my first trust deed, the escrow company attempted to charge more for the basic fee than I was quoted. I was also charged notary fees for documents that were never signed.

In both refinancings, the escrow company requested funds from the new lender before they were ready to settle with the existing lender. The result? I was charged interest on two loans until they were ready to pay off the existing lender.

Was it delineated in my closing statement that I was charged interest on two loans? Of course not. It was only through careful analysis that I uncovered their ineptness.

My advice to anyone engaged in a real estate transaction is to show, from the outset, that you will not tolerate any shenanigans and to demand to see a copy of the settlement statement two days before closing.

Most important, clients should learn the magic words that will attract the attention of any escrow agency--State Department of Corporations. Not until I uttered these words was I offered a refund for the double interest and excess notary fees in my escrows.

LAWRENCE KROLL

Irvine