Consumer complaint received 2016-12-18
Company: LD Holdings Group, LLC
State: AZ
Product: Mortgage
Sub-product: Home equity loan or line of credit
Issue: Application, originator, mortgage broker

Complaint:
On XX/XX/XXXX, I called Loan Depot for general information about a refinance with cash out. The salesman told me he could not provide an estimate of loan terms without a credit check ( {$10.00} fee ) and loan application. I made it clear that I only wanted an estimate and was not committing to refinancing at that time. I agreed to fill out the application over the phone. When it came time to electronically sign some paperwork, I wanted to read the details of the documents. When I asked him what I was signing, he told I needed to relax. When it came time to sign a consent form to withdraw {$420.00} for an appraisal fee, I hesitated, as I did not wish to commit at that time. He insisted that he would never charge my card ( which was provided for the credit check ) until I had explicitly authorized him to do so. Even though the paperwork stated the funds would be withdrawn, he told me the withdrawal would take place at the time that I were to schedule an appointment. Furthermore, he stated that the fee would be {$300.00}, not {$420.00}. The following day, my card was charged {$420.00}. Instead of correcting what they called a " mistake, '' the salesman offered me a credit toward closing costs. I told him that was n't the right answer. He told me that he and his supervisor had both tried calling me to let me know that the withdrawal had occurred. His supervisor claimed that the withdraw was a mistake that occurs 2-3 times per week. On XX/XX/XXXX I sent an email to the salesman 's supervisor to cancel the loan and refund my money in full. On XX/XX/XXXX, the salesman wanted to know if I wanted to go forward with the loan. I sent another cancellation notice by email, which the salesman and supervisor both acknowledged. On XX/XX/XXXX, I received a second set of loan documents. On the same day, an appraiser visited my home while I was at work. The appraiser showed my wife documentation and ID. It was enough to convince my wife that I had ordered the appraisal. The appraiser did a walk-through of my home and took pictures. I contacted the appraiser that evening after finding out about her visit. She told me she was sorry and would resolve the issue with her company. 

In my opinion, if the withdrawal were truly a mistake, they should have refunded the money the instant they discovered it. I believe that it is a tactic Loan Depot uses to make potential customers commit to the process. The supervisor himself acknowledged that the Loan Depot is more aggresive than other companies. This salesman was pushy at times, moved through the process too fast, and was less than transparent ( told me APR was " moot '', for example ). Also, I was told there would be no out of pocket expenses for the loan. The loan documents I received by mail stated that {$2900.00} cash was due at closing ( document attached ). 

In a world where companies are pressured and encouraged to create accounts without customer authorization, I feel obligated to stand up for myself as a consumer. If others have had similar experiences with the Loan Depot, I encourage you to file a formal complaint as well.

Company public response: Company believes complaint is the result of an isolated error
Company response to consumer: Closed with explanation