Consumer complaint received 2021-07-09
Company: Lennar Financial Services, LLC
State: MD
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
Lennar Mortgage, requested from my husband : " Passport or Naturalization Certificate. '' They did not request similar docs from me. 
In the loan application, we each affirmed that we are citizens. 
We feel this request transgresses their rights under fair lending. 
XXXX XXXX, XXXX - Sr. Loan Officer, ( o : XXXX, XXXX XXXX wrote : " Whenever the credit report has an alert of any kind, we are required to address and document to insure that we have all the correct data on our loan application. In this case for XXXX, the alert indicates that his Social Security Number was not issued until he was around XXXX or XXXX  years of age. With this alert showing, XXXX XXXX and XXXX XXXX require we document and address any and all alerts that are on the credit report for SSN issued after the age of XXXX and issued after the year XXXX. XXXX, we arent asking for your information because per your alert your SSN was issued before the age of XXXX and before the year XXXX. '' We responded : 1. XXXX XXXX requires that you validate SSNs with the SSA directly or through a vendor. Have you done this? 
2. In my reading of the Tax Reform Act, there is no requirement to validate citizenship for mortgages loans. See : https : //www.congress.gov/99/statute/STATUTE-100/STATUTE-100-Pg2085.pdf So, I do not understand its relevance to validating SSNs. 
3. Fair lending does not allow for lenders to require citizenship. Lennar may have its steps but they must be in compliance with laws and regulations. 
4. Proof of citizenship ( passport or Naturalization ) does not validate SSN. A citizen could very well commit identity fraud the very thing you purport to avoid. Those documents you request do not include SSN. 
5. Your CFPB excerpt cites your right to ask about residency status. You have a pay stub for XXXX from his employer : the Internal Revenue Service. The federal government does not employ anyone here in the US illegally. You also see from the credit report that he was given a SSN in his twenties, his address since XXXX in Maryland, and the fact that we paid off our home. 
Again, if providing XXXX passport or Naturalization certificate is required, we will provide. However, we will not provide personal information simply based on a request that does not appear to have basis. 
XXXX XXXX, Production Manager ( o : XXXX, XXXX XXXX wrote : As the guideline states from XXXX XXXX, the lender must verify the Social Security Number, they provide the autonomy for us to elect what best practices are needed for complete validation of a Social Security Number. 
and These documents are our requirements and I have provided the reasons/justification of these guidelines. You have every right not to agree with them. At this point, there are two options : 1 ) provide the needed documentation for your file or 2 ) withdraw your application. The path to your loan approval with us requires these items.

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