Consumer complaint received 2022-04-13
Company: AMERISAVE MORTGAGE CORPORATION
State: FL
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
The matter relates to Loan applications : XXXX ( Original ) and XXXX ( Revised ) Summary Complaint : I entered into a 90 day rate lock with Amerisave on XX/XX/XXXX. The loan originator ( XXXX ) inadvertently cancelled my loan application ( on XX/XX/XXXX ) thinking it was an old application started with a different loans originator ( XXXX ) who had gone on leave after starting the original loan application. Upon detection, XXXX attempted to restore the rate lock ( between XX/XX/XXXX and XX/XX/XXXX ) under a new application, but indicated he doesnt have the authority to restore the price at the date of my original rate lock. He also indicated that neither his Manager or VP have the capability to restore the price as of that date. They have left me to pick up the considerable difference in the price for the rate lock of XXXX, which on XX/XX/XXXX, was over XXXX less than when they did the re-locked the application in XXXX XXXX. 
Update : XX/XX/XXXX Per XXXX, during the attempt to transfer my rate lock details from the old loans application to the new, someone cancelled the old application prior to transferring the rate and pricing details to the new loan. This resulted in the rate lock being transferred ( 3.75 % ), but at the current market pricing ( as at XX/XX/XXXX ). 
I met with D.Ls XXXX, XXXX XXXX on XX/XX/XXXX who acknowledged the error made on XXXX 's part but based on correspondences to date, they are only prepared to provide a minor pricing discount but will not honor the original rate lock. 
In essence I am being asked to bear the penalty of errors made by Amerisaves handling of the loan. 

Details : 1. On XX/XX/XXXX, I reached out loans originator XXXX XXXX ) whom I had a working relationship with as he did the origination of my refinance of the XXXX XXXX ( where I currently live ) back in XX/XX/XXXX. 

2. XXXX and I decided that although the XXXX XXXX XXXX XXXX XXXX estimated closing was initially XXXX, it made sense to wait till later due to delays etc to do the 90 day lock, especially since I had only just had the predrywall inspection. XXXX and I also discussed that they still had alot of my historical details on file since my last refi mortgage with them- for which they are still the servicer of the loan. 

3. Towards the end of XX/XX/XXXX. I reached out to XXXX multiple times but he was out on leave. 

4. I contacted Amerisave again but this time I was connected with XXXX XXXX XXXX who informed me there was no immediate timetable on XXXX 's return. In early XX/XX/XXXX, I forwarded all relevant documents to XXXX XXXX regarding the XXXX home costs, and earnest deposits made to date. 

5. On XX/XX/XXXX- XXXX XXXX sent to me draft disclosures prepared based on what we discussed to date. We also discussed the options of XXXX vs XXXX as follows with the 90 day rate lock. On this date, I obtained from builder ( XXXX XXXX ) and provided to XXXX XXXX, additional financing details which would allow him to create more accurate draft disclosures related to certain costs elements ( e.g. Title, HOA fees for escrow etc. ). The cost of rate of 3.75 % on that date quoted to me on the day via email and drafted disclosures was {$820.00} USD in points. 

6. On XX/XX/XXXX, XXXX XXXX, provided updated Draft disclosures with the details he was able to update. The remaining details he indicated he would not have the ability/authority to update until the until the Loan went into processing. He also noted that the rate cost for that day decreased by a further {$200.00} dollars. 
That is, the rate price on that date had fallen to ~ {$620.00} dollars for 3.75 % rate. 

7. On that date, XX/XX/XXXX, XXXX XXXX and I agreed to proceed with the rate lock and walked through the disclosure forms in detail prior to signing, and I noted the following 3 corrections to be made/needed to be applied. 
a ) Builder promotion of {$5000.00} to be applied to the House costs, not the closing costs b ) Rate cost disclosures ( reduction by further {$200.00} ) would be updated the following day as he did not have the ability to modify it at that time. 
c ) XXXX XXXX erroneously listed my existing living address as the target property instead of the XXXX XXXX XXXX XXXX XXXX address. 
As we walked through these items he assured me that his Manager and/or processor would have the capability to correct these items. Based on that confidence I provided my credit card details and paid {$500.00} for the 90 day rate lock and obtained the receipt electronically to my email. 

8. On XX/XX/XXXX the Loans processor XXXX XXXX emailed me to indicate she was assigned as the processor to the loan. She called me that morning as well and we discussed that I would start uploading additional evidence a little later once we got closer to closing since many of the details would have to be updated again closer to when the builder gave notice to get finances in order. She agreed to work with me at that time. 
Among the items she initially requested via email was my mortgage statement for my XXXX XXXX, ( existing loan serviced by Amerisave ) which provided confidence that the XXXX home was corrected listed as my current address. In addition, the target property was updated in the online disclosures. 

9. The original loan originator XXXX XXXX reached out to me on XX/XX/XXXX. We spoke briefly and he updated me that he'd been ill but wanted to assure me that I was being taken care of. I discussed with him my concern over the handling of my loan. XXXX XXXX reassured that XXXX XXXX was also an experienced Senior Loans originator and that I would be well take care of. 

10. On XX/XX/XXXX, I reached out to XXXX XXXX to let him know that Cabinets were in process of being installed and that we should now be within the XXXX day window and that it made sense for us to getting our financials in order. ( This was actually two days before getting the notice from XXXX XXXX  to do the same ). 

11. I also emailed XXXX XXXX regarding the same. I went online to resume uploading the most recent documents, e.g. most recent banking asset info, most recent pay stubs etc. - all of which would have required updating etc. To my shock it appeared as though the loan application was cancelled. I reached out to XXXX XXXX ( via email and phone call on XX/XX/XXXX ) who indicated she could do nothing unless the application got reinstated. 

13. I reached out to XXXX XXXX who indicated and assured me that the application cancelled was the one started with XXXX XXXX and that the one we started and locked on XX/XX/XXXX, remained active. This would later prove not to be the case. There were many subsequent attempts for prompt resolution of the matter but XXXX XXXX was very slow in responses. 

14. On XX/XX/XXXX, a new loans processor reached out to me XXXX XXXX ( XXXX ) to confirm that they are starting new loan, with new ID etc. with me, and we met to walk through the updated details. There were a few corrections still to be made, but the largest of which now including paying over {$8000.00} in points in order to have the XXXX lock. 

15. We discussed the corrections to be made ( loan amount value still appeared off ), but she agreed to follow-up with XXXX XXXX to determine whether they agreed to honor the rate lock. 

16. On their website, I downloaded the cancellation form which was dated XX/XX/XXXX and signed off by XXXX XXXX There were no emails, calls or anything submitted to me during that time to suggest that there was anything wrong with my file. 

17. As of XX/XX/XXXX, XXXX XXXX was astonished that by the end of day Friday, she actually had a " complete '' file as I worked with XXXX  and we had everything uploaded. 

18. Per discussion with XXXX XXXX on XX/XX/XXXX who returned my call on a private ( un-recorded line ), my rate lock was transferred to a new application at 3.75 %, but the VP will only apply at most {$1800.00} discount on the price of that rate ( now at {$10000.00} based on the lock obtained on XX/XX/XXXX ). He also explained rate lock transfer from one loan application to another is not unusual, but that a mistake occurred in transferring the rate lock details, in that the original loan was cancelled, prior to completing the transfer to the new loan. The main concern noted was that to honor the rate lock on XX/XX/XXXX, would incur a loss on the loan for Amerisave  an action the VP appeared unwilling to do. In addition, they have not even extended the lock date to reflect the price at date* used. 

19. I discussed the matter with XXXX XXXX XXXX XXXX XXXX who noted that he was not aware that there were errors made on the Loan originators part and that he would certainly contact the VP to see if they could provide further discount to honor the rate lock. 

20. On XX/XX/XXXX, I received a response from XXXX XXXX and XXXX XXXX that an additional {$500.00} off that price was the best that they could do for a total of {$2300.00} off the origination fees, and that the VP was unwilling to move from that position. This leaves me to pick up the slack of {$7900.00} that I otherwise would not have incurred.

Company public response: Company believes the complaint provided an opportunity to answer consumer's questions
Company response to consumer: Closed with explanation