Business ProfileforArkansas Federal Credit Union

In 2018 my brother passed away. He left his house to a trust for his/my father who was living with him at the time, to continue living there until he passed. Our father died in 2020. In inherited half the house along with my brother who inherited the other half. An appraisal was made by an independent appraiser, it was for $210,000. I purchased half the house from my brother, and obtained a loan through Arkansas Federal Credit Union for $113,700. When reviewing my payment schedule, I noticed something called PMI. Until this moment I was unaware of what PMI meant. As you may know, it protects the mortgagor from loss. The PMI is in place until the loan is at 79% of the value of the home. At no point did I have less than 40% equity in my home, so I always met this figure, though I was charged for PMI for 3 years. I am told, I signed something saying they can use the original purchase price as value. “You should have read what you were signing” I signed those papers in good faith. Who reads all those papers word for word at signing? It makes no sense to me, it serves no purpose, just a waste of my money. If the worst happened to ‘the investor’ who bought my loan seemingly within seconds after it was established, had to foreclose, even then they would not make a claim against the PMI as there is so much equity in the house. I gave as a counter, what if I only paid $10,000 for the house? I did not get a response, but the way I read these revelations, even then I would have to pay PMI until the loan was under $7,900. Ludicrous, ‘the investor’ is covered, yet I am required to pay it. I might be legally bound because of what I signed, that does not make it right. It is also odd, my homeowner’s insurance is also with AFCU. They value the property for $300K and base my rates on replacement cost of $450K. So one area of AFCU has the value very high, the other quite low. Each to my detriment.