Tuesday, July 25, 2006

When bad days get worse

The bank called. No good story ever begins with "the bank called." The bank called and they all of a sudden have a problem with the financing arrangement we worked out with our contractor.

Yep. We closed last night...signed on the dotted line...and it was apparently the first time the bank guy actually read the paperwork. Right there, in black and white, is our arrangement. He has had a copy of that page for almost a month now. But today our equity limits "are maxed out" and they won't front the money to purchase supplies. He wants the contractor to buy supplies and submit for reimbursement. Which would have been a fine deal to make...BEFORE WE SIGNED THE DAMN DEAL! It would have been fine if it had been mentioned sooner than A WEEK BEFORE WE WERE SCHEDULED TO START TEARING OUR DAMN HOUSE APART!

***edited to add***
We have a very small company doing our work. They do not have lines of credit all over town. They just started a similar job and got 50% up front. Our deal WAS $xx,xxx.xx down and draws every other week based upon inspection approval. But regardless of all of that...the point is that the bank knew we were planning on this arrangement since MAY and NEVER said a word. In fact, they haggled with us over the draw schedule because they didn't want to have to do weekly draws and send an inspector out once a week. So I KNOW they read it. They apparently just didn't understand what they were reading. Next time I'm going to break out Sam's crayons and draw them a picture.

OK...got that out of my system. The bank loan officer wanted me to call the contractor and break the news to him. I refused. hahaha...he was NOT expecting that. I believe I said something like, "No, I'm not having that conversation. If you're backing out of the deal and you can't keep your end of the bargain, then YOU'RE calling and having that conversation with him. This has been going on for two months now and I think he's been MORE than patient waiting for you all to get it together. You call him and work it out."

We shall see. Steve is going to call at 3:30 (in one hour) and tell them that if they don't get it worked out today we may cancel the whole deal. Think that might motivate them? I think they didn't know they were dealing with people with such anger issues. hehehe

**oh yeah...and I popped onto my mommy message board to post some pictures and check in on everyone...and ran smack into someone's pregnancy announcement. Why can't the universe cut me some slack already?!?! (Not that I wish anyone ill. I fact, I'm quite happy for her...she's a dear friend. But it still hurts.)


Laura said...

You're awesome :) I would have let that bank guy push me around. I'm a major wienie.

Laura said...

Hmm, I don't think that I spelled wienie right.

Catherine said...


Lisa P. said...

Well, if it's a hot dog, it's a wiener; but I don't think the term was derived from deli food. ???

However you spell it, I am one, as well; although I may have tried to put up a protest the words would've gotten stuck somewhere or just not come out right. (Hence the reason I'm tired of being on call)... Good for you though! I hope the situation gets resolved.

MB said...

I am forever feeling guilty because someone has announced a pregnancy or birth. First, I'm angry and jealous. Then, I'm sad and feeling guilty that my first reaction was negative. These people are all friends of one form or another and I feel so ashamed that my first reaction is one of anger and hurt.


Penultimatina said...

That sucks, Kate, but good for you for sticking it to 'em!

*growling on your behalf*

kate said...

interesting -- on our construction loan, the contractor has to spend the money and get reimbursed, and that is that. On *rare* occasions, the bank will give money for something that has not happened already. For example sometimes they will pay the money directly to the supplier for some supplies. This is one reason no work has been done on our house in months -- our contractor ran out of money.

Welcome to the exciting world of home renovation! It just gets better and better! It's not a project....it's a lifestyle ;)

Bronwyn said...

Professional home reno is something I know nothing about, so allow me to learn some lessons from your experience... I had no idea that the bank could change its terms like that. You certainly have more balls than I do for standing your ground about breaking the news to the contractors. Way to go!