Consumer complaint received 2022-01-15
Company: JPMORGAN CHASE & CO.
State: CT
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
As someone who regularly refers clients to lending institutions for refinance and property purchase transactions as a part of my career, I can honestly say that I am shocked by how unpleasant and stressful this process was for my spouse and me. I have never had a client encounter such an egregious example of ineptitude, irresponsibility, and, in the end, disingenuous dishonesty. Our refinance application was started XX/XX/XXXX. 

My spouse and I reiterated time and time again that we were motivated to wrap up the refinance and supplied everything requested immediately within 1 business day each time a new request came out. Each time the bank issued another order for documents, we responded and provided the information requested within 1 business day. We also scheduled our appraisal, as well as our re-appraisal, within 1 business of being contacted. We were as on top of everything as we possibly could have been. Our first communication to Chase that we wanted to wrap things up as quickly as possible was in mid XXXX. We closed on XXXX, four months after the application process began. 

Delays such as those that will be detailed below caused by Chase bank 's underwriter 's lack of timely response stretched our refinance process to be more than 4 months. Chase, then, required a second Credit pull due to the length of time the loan was in underwriting since the loan was not ready to close by XXXX. This need for a credit pull could have easily been avoided without all, or even one less, Chase-induced delays. This second credit pull negatively impacted our credit score. In addition, this second credit pull caused our fees for the closing to be {$1900.00} higher than they should have been ( our credit scores dropped as a result of the pull, enabling Chase to charge us more to close ). 

During the application process, we were informed on a number of occasions in writing by our XXXX that Chases underwriting and loan department was backed up. A number of times during the application process, we would submit documents or a response, only to hear nothing for 1-3 weeks. The first major delay we noticed was when we contested the results of our first appraisal in XXXX. We submitted all requested information immediately within three business days. However, it took three weeks for Chase to determine that a second appraisal was warranted. As soon as we were contacted by the appraiser, we scheduled an appraisal for his first available date, which was two weeks out. The lack of timely review of the information we provided by Chase unnecessarily delayed the underwriting process by three weeks. After the second appraisal, Chase underwriting, again, delayed by an additional two weeks before notifying us anything. After inquiring as to the results, I received notification by the XXXX that the appraisal had been returned on XXXX, which, as I mentioned, was several weeks after the second appraisal was completed. Of the 7 weeks added to the underwriting process as a result of this second appraisal being needed, only two weeks were as a result of the actual appraisal. Five of those 7 weeks were delays caused by Chase in responding to us, issuing the request, and reviewing the information obtained. 

For the ensuing 6 week period, time and time again, we thought we had everything done, only to be told that something else was needed after a 3-4 day delay. We supplied that information immediately each time within one business day. Then, after 3-4 more days, we would find out that something else was needed. This happened over the course of 6 weeks. I have We stressed that we wanted to the loan finished and would supply everything needed, but Chase did not provide a thorough list of items needed and, instead, spread this frustrating period over a month and a half. 

Another cause of delay pertains to the subordination agreement. While the attorney representing the second lien on our property was not responsive, we began inquiring from Chase as early as XXXX whether they had received what they needed in regard to this. We also asked to be CCd on communication between Chase and the attorney drafting the subordination agreement so that we could make sure it was completed in plenty of time. We did not hear back that there was a problem, nor were we included in any communications until XXXX. Had we been included or notified of a lack of response from the subordination agreement attorney in XXXX when we first asked, or even in XXXX when there was a problem, we could have been involved much earlier and avoided this additional delay. 

Although we were finally cleared by the bank to close on the refinance on XXXX, the loan closing documents were not received by our attorney until XXXX the day of closing, XXXX. This gave the attorney one hour to review the documents before our closing, which was scheduled at XXXX. We were not able to review the documents prior to closing due to delays by Chase bank in preparing the paperwork. Chase has known we were closing today since the loan was cleared last Friday XX/XX/XXXX. This is not only frustrating, but infuriating, and unacceptable. 

I have written record of email communications on 31+ separate occasions attempting to find out the status of the loan, the cause for delays in Chase 's responses, and what else was needed from us so that we could close. Again, we supplied everything as soon as requested within 1 business day. Among other communications, we have separate emails received from our XXXX and his underwriting support person on the following dates : XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, and XX/XX/XXXX. 

When I raised my concern about the higher closing costs we would be paying, I was advised by my XXXX to file a complaint after closing to Chase. He said that he would advocate for us to obtain a refund of this difference. 

I submitted my complaint as instructed by him on XXXX immediately after we closed. After almost two weeks passing by, I followed up with the XXXX on XXXX and was advised, again in writing, that the typical review usually takes a total of XXXX weeks. I followed up next on XXXX after not hearing any update since, at this point, XXXX weeks had passed. I did not receive a response. I, again followed up for a response on XXXX. Again, I did not receive a communication back of any sort. I believe this delay and lack of response, which is documented, is further evidence of the kind of delays and lack of communication Chase provided during the application process. On XXXX, I asked my personal banker to assist us and look into this since we had not received a response from our XXXX after 53 days of waiting and multiple followups that were not acknowledged. On XXXX, which was XXXX full days after the initial complaint, I received a call from the escalations department saying that the bank was denying the request and would not be providing a refund. The bank blamed delays on the second appraisal and delays with the subordination paperwork as the reason. However, as I indicated above, there was an unnecessary 5-week delay caused by Chase in regard to ordering the second appraisal and notifying us of the results, as well as no communication with the subordination issue that would have alerted us to a problem in which we could get involved. Their actions in this underwriting application are irresponsible, unethical, unprofessional, and dishonest to blame this experience on a second appraisal being needed. 

At the very least, we feel that the {$1900.00} we paid in higher fees should be absorbed by Chase and refunded. We feel this is appropriate since the second credit pull would not have been necessary if Chase underwriting has not caused unnecessary delays of weeks and weeks by their repeated and inexcusable delays during the entire application process. 

I look forward to hearing back. Thank you.

Company response to consumer: Closed with explanation