Consumer complaint received 2023-03-27
Company: BANK OF AMERICA, NATIONAL ASSOCIATION
State: TX
Product: Mortgage
Sub-product: Other type of mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
XXXX XXXX, 2023 : I ( complainant ) contacted Bank of America ( BOA ) for a pre-approval letter for a mortage. I spoke with XXXX XXXX ( XXXX XXXX : XXXX ). 

XXXX XXXX, 2023 : Complainant submitted all information for pre-approval process via the BOA online portal. This included assets, income, and demographic information requested. 

XXXX XXXX, 2023 : Was made aware that based on the information provided in the pre-approval loan application that we were not eligible for the intended program ( for XXXX and XXXX communities ) based on one of the credit scores of one of the applicants. XXXX from BOA informed us of another option, which was the XXXX XXXX XXXX program that we would qualify for based on the information provided. This program required us to take a five hour class, submit a monthly budget to a HUD counselor, and have a counseling call to discuss the feasibility of purchasing a home with that counselor. Because this was our only option, we agreed. 

XXXX XXXX, 2023 : XXXX forwarded us a list of approved providers in the XXXX area and we signed up for a HUD Class through XXXXXXXX XXXX XXXX. Needed to re-arrange our schedule and get pre-approved time off work because of the timing of the class. 

XX/XX/2023 : Both my significant other and I took the 5 hour class via zoom. We received certificates of completion the next day from XXXX XXXX  XXXX and were instructed to sign up for a counseling session with a HUD counselor. Before scheduling the session, we needed to submit a monthly budget and authorization forms for our credit to be pulled and discussed to during the meeting. All of which we did. 

XX/XX/2023 : Completed the counseling session with XXXX XXXX ( HUD Counselor ). During this session, XXXX did not express any concerns about my credit report or anything noted in it. We went through the XXXX open accounts. XXXX, did however, express concern for two of the items on my partners credit report. He stated that he would not be able to provide a certificate of completion for the program until we took care of both of those issues with XXXX and XXXX. 

XX/XX/2023 : As instructed, we paid off over {$20000.00} in debt from XXXX XXXX XXXX years ago and sent the proof over to XXXX. XXXX then provided us with certificates from HUD for completing the program, as instructed, so that it could be used for pre-approval in our home buying process. 

XX/XX/2023 : I submitted our certificates of completion to XXXX from BOA via email to review. 

XX/XX/2023 : XXXX informed me that between my partner and I, we made too much money to qualify for the program he originally pointed us to ( something he knew from the beginning by having access to our application ). Frustrated, I asked about other options and he stated that because of the amount of money that I take home, we could try getting pre-approved with just me. I asked to move forward with that process. 

XX/XX/2023 : XXXX informed me that the late 30-day and 60-day late payment on my account from XXXX XXXX is a deterrent for approval. I then informed him that the payment was late because I was in and out of the hospital and XXXX, so was not able to pay any of my bills. He said he would submit to a senior manager for review and an exception. He did not take any other additional information at that time ( no dates of XXXX medical bills, decreased income based on medical issues, etc. ) XX/XX/2023 : XXXX called me to inform me that the Senior Manager did not approve my request. He stated that we could send the information to the underwriter for review but it would take about XXXX - XXXX weeks. Based on the information we were given, we started the process a month before we needed an answer, and we don't have two weeks because we need to give our current landlord a 60-day notice to vacate because our lease is up XX/XX/XXXX. 

My issues are as follows : - Lack of training on the end of BOA. XXXX had our information from the beginning, and since we did not qualify for the XXXX XXXX XXXX XXXX, we never should have been pointed in that direction, and were given incorrect information. 
- There is MAJOR disconnect between HUD and BOA for a program they claim helps disenfranchised people get into homes. Our HUD counselor saw no issue with my late payment, which I spent over an hour going through the same credit report that BOA is using.

- No clear process. There is no clear process laid out for the programs available, only further disenfranchising people that are already marginalized. We spent XXXX hours, took time off work, and paid over {$2000.00} in debt, all in the name of some arbitrary process is unclear and mucky at best. 

BOA is taking advantage of people, not training their staff properly, mis-leading customers in a way that is causing future financial harm. Their business practices are causing inequity amongst disenfranchised people and their lack of clarity regarding their process in causing customers to be treated unfairly.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation