Consumer complaint received 2023-09-26
Company: BANK OF AMERICA, NATIONAL ASSOCIATION
State: GA
Product: Mortgage
Sub-product: Home equity loan or line of credit (HELOC)
Issue: Applying for a mortgage or refinancing an existing mortgage
Sub-issue: Application denials

Complaint:
On XX/XX/2023, I applied for a HELOC loan. I was given the terms and documentation needed to process my application. Over the past week or so I submitted the requested documents as need or as they became available to me. I spoke to the loan processor on couple of occasions, to give updated or he is giving me updates on additional information needed to process my application.one of the requested documentation was child support order, which I provided to them. Later on, I was asked to provide the 2nd page of the child support order. The second page to the divorce papers did not have anything to do with the child support order, which I advise them of that, however they still wanted page 2 of the divorce papers, so I provided to them. Couple days later they start asking for things I felt was not relevant for the processing of my application. I question the loan processor and was told that they believe that the second page of the divorce paper I sent was pretty much fake and believe it did not come from the divorce paper but came from somewhere else. The second issue was they asked for the proof of child support payment coming from the payee. I had the payee provided me with a 6-month history of wire transfer child support from his Bank of America account to my Bank of America account . Then they said that's not good enough we need to have proof that it went into your account, even-tho the wire transfer clearly shows the transfer coming from the payee account with his name and information to my account with my name and information. As time goes by it seems like they start asking for things that is impossible for me to provide them with or information of private and person nature. I asked the processor at one point, what are they allow legally to ask for because I felt they are beating around the bush to get thigs they are not legally allow to ask for but is finding a way to get it without straight out asking for what they trying to get. Then they said the property is not appraising where it needs to be. I asked for their appraisal and was told it's not available because a true appraisal was not done. At this point pretty much all the things they keep on asking for was provided to them, they also wanted a Proft and lost statement. I was not sure why a Proft and lost because I am a realtor not a business owner. I did provide it to them. Then they asked for my ex-husband to sign an Authorization to release information. I question them on the reason why he would need to sign that form when he is not applying with me and was told that they need information and the mortgage. I said I already provided you the mortgage statement and anything else you need can be obtain my you the bank as to the evidence of title. I told them that my ex-husband will not sign that form. The loan processor stated he will consult with his manager and get back with me. I received a call back from the loan office stated that they can not process the application if my ex-husband doesn't sign the form. I asked again why he would need to sign the form if he is not applying with me, I was then told that they need to see if he had any late mortgage payment. I stated that if he had any late payments that should have no bearing on my ability because I am the one getting the loan and my credit is the only credit that is being used. I also mention that I am not on the mortgage, and from my understanding all my ex-husband would have to do is sign the paperwork at closing acknowledging that I am taking out a loan. I was then told that if he had any lates on the mortgage that it will not be counted against me, well if that is the case why do he need to sign the authorization to release form. Then I was told that they need to know the kind of mortgage and the interest rate in order to proceed with the application. I said I am lost, I thought was important was to make sure the mortgage is current and there is no lien and any negative issue that would affect you extending the credit. It seems like anything I told them is impossible to provide is what they say they have to have to procced with the loan. Then they ask for the full divorce decree, I advise them that there is private and sensitive information in it that I am not at liberty to disclose to them regarding my ex-husband. I also offer to provide whatever they need specifically form the divorce decree. But of course, they stated that they want the full divorce decree and for him to sign the authorization to release information in order to continue with the application. At this point, I feel that they are intentionally imposing unfair requirements on me just to not give me the loan. I feel this is boarder line redlining and predatory lending practice. the 2 documents that they know I can't provide them is the only 2 documents they are using to deny my application.

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