Title overcharge doesn't void mortgage

In the case McCutcheon v. America's Servicing Co., the homeowner (M. Clark McCutcheon) signed the closing documents to effect a cash-out refinance mortgage on his home, despite the fact that his eyesight and lighting prevented him from reading the terms.

Several days after signing, the homeowner (an elderly man on a fixed income) realized that the stated income, the payments and the title insurance fee were all higher than he had believed.

After using the cash from the refinance to make several payments, the homeowner defaulted on the mortgage and issued a demand to the mortgage company to rescind the loan.

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