CHENEY, Wash. – A local general contractor, Jeremy Alvis, is embroiled in a legal battle over an alleged mortgage fraud scheme that has left him fighting for his home.
The Washington State Department of Financial Institutions is actively investigating Pacific Mortgage Center (PMC), owned by Alan Hurd, following complaints from Alvis and others. Alvis, who has lived in Cheney for 20 years, embarked on a refinancing effort that he says turned into a nightmare.
Alvis claims that PMC attempted to foreclose on his home unlawfully. “They did attempt to foreclose on me in ways that did not follow the law,” Alvis said. Alvis explained that he trusted the bankers, believing they had a fiduciary duty to their customers. “With doing refi’s in the past I know that the bankers have a fiduciary duty to their customers. And so, I rely on that,” he said.
Alvis stated that Bob Calhoun at PMC offered him a custom loan due to his skewed debt-to-income ratio. Alvis also had a cannabis growing license attached to his property, he says he wasn’t using at the time, so he would not qualify for a conventional loan. Calhoun assured him they could build a loan and eventually roll it into a more conventional one.
“Then when it came time to roll into the in-house mortgage things kinda went sideways,” Alvis said. Alvis found himself unable to reach Calhoun, with calls and emails going unanswered.
“I realized there was a lot of terminology in there that I didn’t even know that was there. I wasn’t given the paperwork and contracts prior to signing,” Alvis said. Upon taking his loan paperwork to another lender, Alvis discovered what he alleges to be fraud by PMC, attempting to take possession of his home through foreclosure.
Alongside two other alleged victims, Alvis accuses PMC and its hard lending company, Private Money Capital, of violating the Consumer Loan Act. “They use the same logo and letterhead but a different business, Private Money Capital, which apparently is not even licensed in the state of Washington to do business,” Alvis said. Alvis also discovered none of his 18 mortgage payments were posted, leaving his credit in bad shape.
“There was a lot of things in there that I would not have signed, had I had the paperwork prior and had I taken a lot of time to look through them,” Alvis said. Alvis alleges PMC of predatory and unlawful practices, including not properly informing him he was signing a commercial loan instead of a residential one. “I had a hunch when they said well we, were not going to put you into a conventional mortgage but we will extend this loan if you pay us $30,000,” Alvis said.
In response, Alan Hurd’s attorney stated, “At the heart of this lawsuit is the fact that these were loans plaintiffs pursued for business purposes.” Steven Schneider, who sent a notice of default to Alvis, stated, “As soon as there was a dispute, I withdrew as Trustee, so the parties could proceed without a pending sale.”
Stephen Ford, accused of drafting the loans and acting as the closing agent, pointed to the court case files and accused the plaintiffs of trying to try their case in the media.
Alvis considers himself fortunate to have intercepted foreclosure before it was too late. “I’ve been here for 20 years, this is my home. And I’ve built it with my bare hands,” Alvis said.
The Washington State Department of Financial Institutions confirmed their investigation into PMC. This is not the first investigation; Hurd has faced two consent orders in the last decade, paying fines for deceptive or unlicensed practices.
DFI stated, “A Consent Order is an administrative enforcement action entered by DFI that resolves an investigation and allegations included in a Statement of Charges. When a Consent Order is entered, the companies and individuals have worked with us to agree to terms that resolve the alleged issues in the investigation. No license sanctions were imposed as part of the Consent Orders noted below.
Alan Hurd – Pacific Mortgage Center – Private Money Capital
DFI received a complaint against Alan Hurd and Pacific Mortgage Center in August of 2025. The complaint alleged that Hurd and Pacific Mortgage Center brokered loans to Private Money Capital, also owned by Hurd. The complaint alleges that the loans were falsely represented as business/commercial purpose loans and were for primary residences. DFI is currently investigating and cannot discuss details.
DFI does have authority to revoke a license for violations of the law, prohibit individuals or companies from the industry, impose fines, order remedial action, and order restitution to consumers. DFI looks at each case individually to determine appropriate sanctions.
When it comes to the prior investigations by DFI, they provided this information:
“DFI issued a Statement of Charges against United Processing Services DBA Pacific Mortgage Center and Alan Hurd related to allegations of unlicensed loan modification activity and collecting prohibited advanced fees. In 2015 DFI entered a Consent Order to resolve the matter that ordered restitution to consumers and included stayed sanctions pending compliance with restitution payments. DFI received confirmation that a $10,000 fine, $2,008.80 for investigation costs, and all restitution ordered ($21,792.00) was paid and there were no imposed revocations or prohibitions. Regarding your question about what was found as a result of this Consent Order, DFI’s factual allegations are listed on page 10 and include Factual Allegations 1.2 to 1.5.
DFI entered a Statement of Charges in 2022 related to findings of violations on an examination related to United Processing Services mortgage broker business and allegations that Hurd submitted false attestations in licensing filings related to disclosing other regulatory actions. In 2023 DFI resolved the Statement of Charges with a Consent Order imposing a fine of $22,500 and investigation fees of $12,052.80. No license sanctions were imposed.
The case involving Alvis is scheduled to go to trial next summer.
