Consumer complaint received 2020-02-11
Company: CITYWORTH MORTGAGE LLC
State: GA
Product: Mortgage
Sub-product: VA mortgage
Issue: Trouble during payment process

Complaint:
Dear CFPB Representative, Recently, a VA Loan was used to purchase a property at XXXX XXXX XXXX, XXXX, GA XXXX using a mortgage company named Cityworth Mortgage. During the process, a real-estate agent and attorney that are witnesses, were used to purchase the property. There were at least 4 agents from Cityworth used in the process and all had stated that a pre-condition to the approval of the mortgage was paying off a loan from XXXX of {$3100.00} and that the purchase price of the home would need to be increased to pay the loan off. It was explained that this was the only option to get an approval and paying it off before the closing with my funds was not permitted. 
There was several noteworthy errors and misleading information that was given to me and others before and after closing : a ) The loan from XXXX was never paid off after being told via email and phone conversations between 4 different Cityworth agents this was a pre-approval condition that needed to be funded into the mortgage and paid at closing by Cityworth. I have copies of emails to support this claim.

b ) An addendum was made to the original contract raising the purchase price from {$100000.00} to {$100000.00} by my real estate agent to finalize the mortgage approval as per instructions from Cityworth. I have copies of the amended agreement. 
c ) My Homeowners Insurance was not paid in full, was shorted by {$510.00}, and was almost cancelled until terms were arranged for payment of the shorted money because of my unawareness that this had happened by Cityworth. I have copies of the cancelation notice and reinstatement. 
d ) The seller received more money than was supposed to because there was money left over from the closing costs with no instructions for the attorney to disburse the extra money. I have a copy of the closing disclosure, and the attorney is a witness to this.

e ) The final closing disclosure and instructions sent to the attorney for closing were different than the disclosure received from Cityworth during the preparatory closing process sent to me for consent. I have emails from my attorney and disclosures to support. 
f ) The closing costs were raised without any explanation before or after closing. The agreement was that closing costs would stay the same and Cityworth would pay XXXX directly ( Please keep in mind that I am a XXXX  XXXX XXXX XXXX and XXXX veteran that was not supposed to be charged funding fees because of my XXXX rating as listed on the COE ). I have a copy of the closing disclosure and the COE. 
g ) The new mortgage company , XXXX XXXX XXXX, that is now handling the mortgage was given the wrong information about the insurance premiums and had to raise my mortgage payment from {$690.00} to {$770.00} to accommodate the difference in escrow for this and next years premium that was found during their escrow audit completed during the mortgage transfer between Cityworth and XXXX XXXX XXXX. I have documentation from the audit and a witness/supervisor at XXXX to support. 
h ) XXXX XXXX XXXX was given the wrong flood insurance declaration from XXXX XXXX  and not from my current HOI and flood insurance agent by Cityworth. A dispute needed to be filed with XXXX in order to not be charged {$640.00} and resolved. I have an email showing the resolution from XXXX. XXXX   can provide information that new information was uploaded to correct the disclosures. 
i ) After several attempts of contacting via email and phone calls to all the agents involved at Cityworth, no reply or explanation has been given to explain these discrepancies. I have not contacted Cityworth about the HOI discrepancy or the increased monthly payments to pay off the shorted money to my insurance company because they never satisfactorily responded to my or the attorneys inquiries. 
j ) My 2019 mortgage interest statement ( form 1098 ) block 6 reports that {$3100.00} was paid on purchasing of points. At no time was any agreement made to purchase points or money given to Cityworth in that amount for any purpose  because this was a VA loan. 
There are tremendous amounts of supporting documents to provide if necessary. There were difficulties encountered trying to upload these supporting documents. Please feel free to contact me via phone or email to facilitate this transfer of information by method of email or fax if necessary. 
Now that this experience is over, there is one thing that angers me the most. This was a loan designed to help and protect veterans that by their homes. There has to be away to stop this kind of nonsense and bad intentions to protect the people that have been repeatedly thanked for their and their families service. Please look into this.

Company response to consumer: Closed with monetary relief