Consumer complaint received 2021-02-02
Company: NAVY FEDERAL CREDIT UNION
State: TX
Product: Mortgage
Sub-product: Other type of mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
I started my mortgage refinance application on XX/XX/XXXX. At the time, I was working with Ms. XXXX XXXX. We had multiple email correspondence after which we had a phone conversation to determine elements of the loan. One of those elements was the waiver of the XXXX XXXX higher rate as the original loan was serviced outside of Navy Federal Credit Union. 

On XX/XX/XXXX, my loan application was forwarded to XXXX XXXX. We exchanged multiple emails regarding the loan and other additional elements that were required to support the loan. 

An appraisal of the home was done in early XXXX and Ms. XXXX let me know what it was. On XX/XX/XXXX, I sent an email to Ms. XXXX with questions about how my new appraised rate of XXXX would change the terms of the loan ( my previously estimated rate of the home was XXXX XXXX. Her response at the time was the there would be no change in the rate as the LTV would remain under XXXX XXXX 

I did not hear much from Ms. XXXX in XXXX so I presumed she was still working on the loan. 

On XX/XX/XXXX, I received a new loan estimate from Ms. XXXX with a new rate of XXXX XXXX. Rate throughout XXXX and XXXX had been locked at XXXX XXXX with a XXXX XXXX  origination fee. On XX/XX/XXXX, I called Navy Federal to get clarification on why the loan terms suddenly changed and I spoke with XXXX ( Ms. XXXX was out of the office at the time ). XXXX let me know that someone would be reaching out to me to discuss the change in loan terms. 

On XX/XX/XXXX, Ms. XXXX sent me an email stating that the rate changed because the LTV had gone over XXXX XXXX ( contradicting what she had said on XX/XX/XXXX as noted above ). I asked to have my loan escalated to a supervisor given that I was receiving alot of contradictory information from Ms. XXXX. 

On XX/XX/XXXX, I spoke with Ms. XXXX XXXX who is Ms. XXXX 's supervisor. I detailed what had transpired with my loan since the start and she asked for supporting information which I sent to her via email on XX/XX/XXXX. On that email, I also requested to file a grievance on my loan application process and asked for a re-reviewed and if need be, escalation of my loan for further review. 

On XX/XX/XXXX, I received an email from Ms. XXXX indicating that the 0.75 % rate increase had been waived and she had sent a new loan estimate. However, she had once again changed the terms of the estimate and now she was sending me an estimate for a loan amount of XXXX XXXX original loan amount was XXXX XXXX. Due to a busy work schedule, I had not had time to look at the new loan estimate. On XX/XX/XXXX, I received an email from Ms. XXXX worded as quoted, " Please respond by XX/XX/XXXX at XXXX CST in order to move forward. If I do not hear from you I will send the application for decision as is. '' I responded back to the email with a copy to Ms. XXXX requesting for Ms. XXXX to be removed as my loan processor. I received a call from Ms. XXXX on the same day while at work and I indicated that I felt that the email that had been sent my Ms. XXXX was rude. I also indicated that I did not understand why the loan terms changed again. Ms. XXXX noted that she would have Ms. XXXX resend a revised loan estimate with the terms agreed upon. 

On XX/XX/XXXX, I received another loan estimate from Ms. XXXX. Once again, the loan terms had changed. Now the origination fee had been increased from XXXX XXXX to XXXX XXXX. On XX/XX/XXXX, I sent an email to Ms. XXXX asking why this had changed. She responded noting, " The origination fee is subject to change when the loan amount changes, value changes, etc. '' I asked for clarification regarding what had changed on the loan between XX/XX/XXXX and XX/XX/XXXX but did not receive a response from Ms. XXXX. Instead, I received an email from Ms. XXXX noting, " XXXX sent another Loan Estimate to you just a few minutes ago with the XXXX  loan amount and a rate with a XXXX origination fee. '' and a deadline to have a decision made within XXXX hours of that estimate being sent. When I got home from work to review the new loan estimate, once again rate had changed to XXXX XXXX. In review of my file, it had already been sent to underwriting without my consent. 

I feel that since the beginning of XXXX, there have been too many changes to the rates despite the loan having a locked rate.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with non-monetary relief