FINANCIAL ANALYSIS OF REFINANCING
                   _________________________________

    REFINANCING #1
    ______________
    This what we had applied for and thought we were getting:

    BALANCES ON
    EXISTING MORTGAGES
    TO BE PAID AT CLOSING              AMOUNT TO BE FINANCED
    _____________________              _____________________

    Wells Fargo $143,409.56               $522,200.00
    HFC          119,285.18                      .
    HFC           45,695.86                      .
               ____________                      .
    TOTAL       $308,390.60 . . . . . . >($308.390.60)
                                         _____________
                            SUB-TOTAL      $213,809.40
                   LESS CLOSING COSTS    (  $15,402.32)
                                         ______________
                      ACTUAL CASH OUT      $198,407.08

    REFINANCING #2
    _____________
    This is what actually happened under the "consolidation" method
    based on statements from Wells Fargo that the $143,409.56 was
    "paid" but not "satisfied" and therefore "consolidated" as $162,000
    (the original lien amount) with the $380,346.31 to create $522,200.

    BALANCES ON
    EXISTING MORTGAGES
    TO BE PAID AT CLOSING              AMOUNT TO BE FINANCED
    _____________________              _____________________

   . .Wells Fargo $143,409.56             $380,346.31
   .  HFC          119,285.18                      .
   .  HFC           45,695.86                      .
   .           ____________                        .
   .  TOTAL       $308,390.60 . . . . . >($308.390.60)
   .                                     _____________
   .                       SUB-TOTAL       $71,955.71
   .              LESS CLOSING COSTS    (  $15,402.32)
   .                                    ______________
   .                       SUB-TOTAL       $56,553.39
   .
   . . CONVERTED BACK TO ORIGINAL. . . >  $162,000.00
            LESS CREDIT FOR PAYMENTS     ($ 18,590.44)
                                        ______________
                            CASH OUT      $199,962.95
                LESS ACTUAL CASH OUT      $198,407.08
                                        ______________
                DISCREPANCY TO ACTUAL       $1,555.87

    REFINANCING #3
    ______________

    This scenario proves there was no "consolidation", that it was a
    fraud, that Wells Fargo was able to give us the same cash out with
    only the $380,346.31. It also proves that Wells Fargo only used the
    "consolidation" scheme in order to take the pre-existing fixed rate
    loan and convert it to a higher interest ARM. Predatory, fraudulent
    lending practices!

    Wells Fargo $143,409.56 (LEAVE INTACT-PAYMENTS WOULD CONTINUE AS IS)

    BALANCES ON
    EXISTING MORTGAGES
    TO BE PAID AT CLOSING              AMOUNT TO BE FINANCED
    _____________________              _____________________

   HFC         $119,285.18                $380,346.31
   HFC           45,695.86                       .
              ____________                       .
               $164,981.04 . . . . . . > ($164,981.04)
                                         _______________
                           SUB-TOTAL      $215,365.27
                  LESS CLOSING COSTS    (  $15,402.32) **
                                         _______________
                           CASH OUT       $199,962.95  ***

   (**Closing costs would actually be less because of the smaller
      mortgage.)
   (***Note this is the same cash out as we should have received under
      the "consolidated" refinancing allowing for the $1,555.87
      discrepancy.)