Refinancing personal mortgage to LLC name

[Angelo Maiuri]

We recently formed an LLC and transferred the titles of our two investment properties to the LLC. Also we set up separate bank account, credit card and insurance to keep finances separate as we were told to do.

Just recently we were applying for a mortgage on another property and our bank told us that the mortgages we had on the existing investment properties, were in our name and the transfer of ownership to the LLC put us in default of our loan since it was held in our personal names.

They are asking us to refinance under the LLC name with higher interest rate, high closing cost and prepayment penalties.

We are getting conflict information when asking our attorney, accountant and bank. Some say we are in default some say nothing is wrong and that there are many loans this way.

Has anyone experienced this situation and resolved it and how? any info is appreciated