Consumer complaint received 2016-01-10
Company: UNITED SERVICES AUTOMOBILE ASSOCIATION
State: KY
Product: Mortgage
Sub-product: Conventional fixed mortgage
Issue: Loan servicing, payments, escrow account

Complaint:
When we refinanced our home, the paperwork indicated we could apply to remove the PMI from our mortgage on XX/XX/XXXX, prior to the automatic termination date of XX/XX/XXXX. In XX/XX/XXXX, I called to inquire and was sent application paperwork. After receiving the paperwork, I called to ask about the difference between a Broker Price Opinion ( BPO ) and an Appraisal, since the cost difference was substantial. I was led to believe a BPO was an external inspection of our home to ensure it had not fallen into disrepair. From my recollection, I was never told, nor were there any implications, that the realtor would be doing a detailed cost comparison to other properties. 

The inspection date was XX/XX/XXXX and I received the BPO along with a letter stating that I now needed an appraisal to remove the PMI. I reviewed the BPO and found several inconsistencies that substantially reduced the realtor 's price opinion of my home. 

I called USAA Federal Savings Bank/XXXX and asked to speak with someone in the escrow department, so I could discuss these inconsistencies and hopefully come to a reasonable solution. Customer service refused to allow me to speak with anyone, stating it was an internal department and they did n't accept phone calls. She asked if I wanted to dispute the BPO 's findings, which I did. She informed me someone would be in touch with me within 2-3 business days after they reviewed my PMI removal application. 

I never received a call, so I called again the following week and was told my information was under review with a XX/XX/XXXX deadline. 

Knowing I would n't receive a call on XX/XX/XXXX, I called again on XX/XX/XXXX only to be told by customer service that BPOs are not disputable, regardless of whether the data is accurate or not. 

I sent an email to the parent company 's web site ( USAA ) complaining about the process, in particular the errant BPO. While I received a nicer response from the parent company, the message was the essentially the same : " We do n't care if the BPO is inaccurate, because it works in our favor. If you want the PMI removed prior to the automatic termination date, you need to get an appraisal ( i.e., we get to charge you more money for the appraisal AND keep charging you PMI ). '' I have attached the following documents : a. BPO pages showing comparative sale data and comparative listing data b. XX/XX/XXXX Refinance appraisal page showing specifications of my home. 
c. Spreadsheet showing comparable sale data taken off USAA 's own web site, along with additional comparable sales found within our immediate neighborhood area. 
d. Spreadsheet showing comparable listings within our immediate neighborhood area. 
e. Letter to USAA parent company and response received. 
f. Outline of errors/inconsistencies contained in the BPO, along with an accurate cost comparison using one of the BPOs comparable listings.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation