Thanks for all of your answers. I didn't sign anything. I did everything through the phone and the only forms that I signed was the credit consent form.

You need to check the forms you signed. If you did not agree in writing to any type of cancellation fees or costs, then the answer is NO. If you did then you are hopefully saving much more than that by canceling your refi. Even if you did, what is their recourse?

Remember gang, the banks are NOT YOUR FRIEND! They are there to extract money from you any way they can! You must stand up for yourselves or they will walk all over you. Unless it is in writing you do not owe it. Tell them to take it out of the TARP money YOU have already paid them!

Pick your battles carefully and remember that standing on principle can be VERY expensive. But always stand up for yourself, because the banks are ONLY looking out for themselves.

Hi Tim,

Sounds like the bank ran an AVM (Automated Value Method) appraisal - these don't cost $400! You should review any paperwork that you signed to determine whether you owe any money. Some lenders do obligate clients to a reimbursement policy; others see this as a cost of doing business. Your answer will be contained in the text of any documents you endorsed.

Best Regards,

Steven A. Ornellas, GRI, ABR, e-PRO, CMPS, RE Masters, MBA
REALTOR® / Mortgage Banker-Broker / Certified Mortgage Planning Specialist
Steven Anthony Real Estate & Financial Services
Expect Excellence. Get What You Expect.™
Cell: 510.461.6011
http://www.Steven-Anthony.com SteveO@Steven-Anthony.com

You need to read your contract and signed application information. Ultimately they "did" do work on it. And an appraisal costs money (computerized or not). Even a buyer of a house will be charged for an appraisal fee if cancelled after appraisal, though they usually do go out, it is still an out of pocket expense to the bank. If what you signed does not commit you to the fee if cancelled, then you may have a right to not pay that, but if they already have the fee, you may have to go to small claims court. Just have your documentation scoured and be sure.