Consumer complaint received 2023-09-09
Company: BANK OF AMERICA, NATIONAL ASSOCIATION
State: TX
Product: Mortgage
Sub-product: FHA mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage
Sub-issue: Application denials

Complaint:
I was pre-approved for a home loan through Bank of America in XX/XX/2023 and went under contract for a home in XX/XX/2023. Through processing my loan, I was told I needed to switch from a conventional loan to a FHA loan in order to be approved for my mortgage loan. On Wednesday, XX/XX/2023 my loan officer at the time ( XXXX XXXX ) did a 3-way call with my realtor and I. During that call, XXXX stated that the last step I needed to complete was to lower my insurance payment to XXXX XXXX  {$120.00} a month in order for the underwriter to approve me, and that there may be a chance I needed to move my closing date back to XX/XX/2023 instead of the original date in my contract of XX/XX/XXXX. I was able to get my payment down with my insurance company as requested and confirmed this with her over the phone on the same day. She said she needed to call me back after speaking with the underwriter to confirm everything was done for the approval. She called me back that same night and stated the underwriter said everything was in and approved and I would be receiving my approval letter momentarily. She stated she was going on vacation and I could follow up with her supervisor or another co-worker who had helped me along my financing process ( XXXX XXXX ). 

On Thursday, XX/XX/2023 around XXXX, XXXX XXXX contacted me and stated he was XXXXXXXX XXXX  supervisor and wanted to follow up on my loan. He stated I needed to provide him with additional information because there were pending conditions on my loan approval. I told him my loan officer had told me I was approved the day before and no additional information was needed. He asked for some information I had already provided to XXXX and/or XXXX, as well as additional information I had never been asked for before. I sent him 10-20 additional documents and pieces of information. On Friday, XX/XX/2023, XXXX called and stated they had all the information he needed and my new closing date could be confirmed for XX/XX/2023. He stated that he knows I was told my loan was previously approved by XXXX, but this time he could confirm that I was approved for sure and could celebrate. He stated I was past the hrdest part of a loan and would soon be able to enjoy my new home. I stated that we needed the seller to sign an amendment to the contract in order to extend the closing date and they were giving some resistance. He stated that he he would call my realtor to confirm my loan would be approved shortly and that I would have my approval letter on Tuesday, XX/XX/XXXX due to the XXXX XXXXXXXX XXXX on XX/XX/XXXX. He told me I would receive my final closures on Tuesday as well and made a plan with me on how I could sign them at a Bank of America location. He also offered to call the seller 's agent to let them know my loan was approved and we would be able to send them the official letter on Tuesday in order to give them confidence in signing the amendment. XXXX called my realtor to confirm my approval and offered to see if she needed him to also follow through with the phone call to the seller 's agent. My realtor communicated this information to the seller 's agent and the seller agreed to sign the amendment to move the closing date to XX/XX/XXXX. 

On Tuesday, XX/XX/2023, I reached out to XXXX via phone and email ( 4 outreach attempts total ) because I had not yet received my approval letter. XXXX called me back that afternoon and stated my loan would not be able to be approved due to my debt to income ratio with the information for my student loans. I shared that I had discussed my student loans prior and that the information had not been requested prior to working with him. I told him I wanted to make a formal complaint about being mislead about my loan approval twice, once from XXXX and again by him. This deception has affected my current living situation where I no longer have housing available after XX/XX/2023 and may end in me no longer being able to purchase this home and I will have lost funds I put towards the home thus far. 

XXXX stated my loan could be approved if I got a {$20000.00} gift from a family member to provide the additional cash required to close on my loan with my new debt to income ratio.

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