Consumer complaint received 2023-09-07
Company: PLANET HOME LENDING, LLC
State: FL
Product: Mortgage
Sub-product: VA mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage
Sub-issue: Delays in the application process

Complaint:
My husband and I are divorcing and, as such, have mediated separation of property to our mutual agreement, including a home we purchased with a VA loan that ultimately was given to Planet Home Lending , LLC to service. 
My husband initially applied for a loan assumption in XXXX XXXX XXXX and since then has received additional document requests from the lender. While this is expected, the documents included requests for a " letter of explanation '' for variations of his name, i.e. explaining " XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX  ( he is XXXX and has four given names that have been used in given combinations by financial organizations or lenders prior ), documentation he has already previously provided, and documents such as " verification of rental '' after clarifying to the requestor that he has owned homes and has not rented in the last 12 years. 
As we are both veterans, he is requesting to substitute my VA Loan eligibility with his own ; unfortunately, it has become clear during calls to customer service and through emails from the lender that they have dated or outright inaccurate information regarding the VA loan process. This has become clear when on three separate occasions from XXXX to XX/XX/2023, we were told : a., he does not have the required entitlement ( he does, and has no limitations or caps on his eligibility according to his XXXX  ), that we, not the lender, are responsible for submitting documents to the VA to substitute eligibility ( according to the VA lender 's guidebook, this is to be done by the lender ), that we would not need to provide a quitclaim deed ( this is one of five items requested by the VA to process Substitution of Eligibility requests ) and that he or I would need to provide our certificates of eligibility ( again, VA guidance indicates the lender should request this document directly ). 
I have submitted a complaint to the company and personally talked with customer service at least three times, as no direct contact information for an assigned loan processor has been provided to us and we are afforded no other option for updates, questions, or concerns. 
Ultimately, we expected the process to take at least six months in line with reported timelines for assumption, we expected a series of requests for necessary documents, but it is our concern that Planet Home Lending is intentionally making the assumption process more difficult or generating additional requirements unnecessary to make their application determination to pressure us into a refinance or other more lucrative option. We have not received any indication of an application determination or pre-approval to date despite being six months into the process. Further, their apparent misunderstanding or misinterpretation of VA guidelines not only complicates the process for us, but potentially for other veterans who may follow us in their own assumption process.

Company response to consumer: Closed with explanation