Consumer complaint received 2022-09-29
Company: Freedom Mortgage Company
State: NV
Product: Mortgage
Sub-product: Home equity loan or line of credit (HELOC)
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
On XX/XX/2022 I contacted Freedom Mortage and spoke with a gentleman named XXXX. I mentioned i wanted to learn more about my options for a home equity line of credit. I wanted to look at my options for consolidating my debts and fixing up my home. XXXX stated that he first needed to get some info to understand my debts and reasons to borrow. He said he would be looking over all of my options to work out some numbers and get back to me. When he called back later that day.he explained the proposed numbers ( before emialing them to me ) and told me to write these down. his focus of the conversation was about the apr, which of my creditors are getting paid off, and my savings per month. the terms i understood in asking specific questions were : im borrowing approximately XXXX at a 30year fixed rate of 7 % -my credit cards, personal loan and car loan are getting paid off and it would save me some money each month. there was no discussion about paying off my existing mortgage loan..just my other debts. XXXX then asked how that sounded and offered to email the paperwork. I told him i was confused about how the payments would work for this HELOC. I mentioned seeing the FHA info the the loan numbers looked different. so I asked if the XXXX I'm borrowing this will have its own loan info. ( again I'm trying to finance XXXX based on my homes equity ) He tells me its grouped together so I can make one payment to the same place under one number. he then says I can always pay it off early or pay more per month if I want with no issues. he then takes me through all check boxes that need to be filled out and then sets up my payment for the appraisal. I get a call on XX/XX/2022 from a nice lady with freedom mortgage ( I forgot her name I'm sorry ) and she said she wanted to discuss my next steps in the process and asked to recap my terms. She then advised me that my total loan is being REFINANCED a 30 year term and my current mortgage will be paid off in addition to my other debts. I thanked her for clarifying but told her i wont be moving forward with this. my entire conversation with the last gentleman was not clear I thought we had been speaking about a HELOC this entire time. I asked her how to start a HELOC and she said freedom mortgage does not offer HELOCs and she can not advise me on those products. she then offered me a generic website I can use to look for companies that do. she was polite and apologized about my experience. I asked her if she could have XXXX call me.. i feel he could have said told me this up front just like she did when i asked. She said she can ask him to call but not sure he will. I feel extremely mislead by his unfair sales practices. Had I been clearly advised their company doesn NOT offer Home equity Lines of credit there would be no confusion. not sure if this was intentional but thats definitely an unfair credit practice. I asked him to go over my options for a specific mortgage product and was handed something different. I imagine Freedom mortgage has better standards for service.

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