Consumer complaint received 2020-06-03
Company: Rocket Mortgage, LLC
State: TX
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
XX/XX/2020 Loan application DOC file : XXXX Contacted by phone a loan origination processor ( XXXX XXXX XXXX ) XXXX for a conventional refinance mortgage using my homestead as collatoral. Termis of mortage were discuswsed and agreed upon as target objectives. Those objectives included 4 %, 30 year no penalty for early payoff loan. No escrow to be established as property value exceeds 6 times the loan amount pending credit approval and appraisal value. Consumer unlocked the credit agencies and credit approval was made to the terms of the discusion. XXXX reached out to his manager for approval of the no escrow request and approval was granted. 

XX/XX/2020 : Terms of agreement were reviewed to insure clarity of conditions of note. 
amount of loan request was raised by Rocket Mortgage to achieve a high enough amount to produce sufficient closing fees to cover Rocket Mortgage objectives. Loan amount was raised from {$50000.00} to {$200000.00}. Credit ratings supported the loan application process and the loan amount was recommended and approved by XXXX XXXX  manager. Terms of the 30 year mortgage approved for processing included no escrow, 30 refinance conventional mortgage at 4.3 %, no points, no penalty for early payoff. estimated payment schedule was around $ XXXX/month. 
XX/XX/2020 A revised Closing estimate was provided in the DOC signature account. The interest rate was raised to 4.5 %, all other aspects of the note appeared correct. I signed acknowledging receipt of the estimate. 
XX/XX/2020 : Teleconference confirmed the above conditions of the note were approved and all paperwork regarding submission needs was complete. A {$500.00} charge was made from quicken Loans on my visa card to begin processing of the application to the agreed upon terms of the mortgage note discussed and approved in earlier discussions. 

Property Appraisal came in at {>= $1,000,000} sufficiently covering the XXXX loan request by 6 times the loan amount. Providing sufficient collatoral to allow the no escrow provision. 
It was also discussed that any back taxes due at the closing date would need to be paid at closing. 

Late XX/XX/2020 : A fourth generated estimate of closing expenses appeared in my Rocket Mortgage DOC signing account. This estimate included escrow funding at closing, a monthly escrow fee of {$1400.00}, closing fees included a {$1800.00} in interest points, bringing the closing cost to over {$8000.00} from {$6000.00}, erroneous caculations back taxes and escrow needs came to over {$17000.00}. Written correspondence through the " DOC '' files pointed out the errors to Rocket Mortgage. A phone call resulted in a loan processing agent explaining that I should sign the notification notice even though it was in error as it was not critical nor important for closing. I signed the estimate notice acknowledging I had received and read it. 
late XX/XX/2020 : I received two more notices of closing estimates. I refused to sign either one as both estimates continued to reflect escrow capital to be funded at closing, a monthly escrow fee, an {$1800.00} interest point charge in the closing expenses at the peak interest rate of 4.54 % set at the high point of mortgage rates XX/XX/XXXX, two weeks after agreements were reached with the loan originating officer XXXX XXXX. Letters were sent to Rocket Mortgage through the DOC file process, but it appears no one read or returned a response to any of those communications. 

Processing agents I conferenced with over this time frame included XXXX XXXX, and XXXX XXXX. Others were also contacted but I failed to write their names down. Each point of contact required starting the entire discussion over from the start. No one was aware of the loan originating agreements, and none had read or reviwed the files within the DOC system. 

XX/XX/2020 : XXXX XXXX called, I returned his call. He proceeded to inform me of the escrow amounts, inflated interest rate, closing expenses and all of the associated expenses that were n violation to the original agreements made with XXXX XXXX and approved by his manager. I did manage to get the idea across that I was not going to closing, the planned next step in the next three days. He hung up as I was extremely rude and would not accept any of his ASSUMPTIONS of agreement terms. 

I am requesting that Rocket Mortgage return the {$500.00} earnest funding that would normally be returned at closing. Rocket mortgage violated the agreements in good faith made and approved at the time the fee was taken, including a lower interest rate, no points, no escrow. 

Taxes of {$4200.00} are due to XXXX XXXX TX. on or before XX/XX/2020. All other insurance and taxes are and have been paid ahead of the XXXX XXXX schedule. No other liens exist against this property. 

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Company response to consumer: Closed with explanation