Consumer complaint received 2022-07-23
Company: LD Holdings Group, LLC
State: FL
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Closing on a mortgage

Complaint:
CFPB Consumer Finance Protection Bureau [ Financial Institution address for receipt of direct disputes ] Re : Negligence of Loan Depots Loan Process Dear CFPB, This letter is to inform you that a particular XXXX XXXXXXXX, XXXX XXXX XXXX, at Loan Depot was not properly trained in originating my loan which caused me to lose {$20000.00} of my XXXX money deposit. I am shocked with the level of negligence of Loan Depots management team and the incompetence of originating a conventional/conforming loan. 
Below I have depicted the issue and my compliant against Loan Depots XXXX XXXX and management : 1. On XX/XX/2022, I was approved for a Conventional/Conforming 30 yr fixed rate loan at 5.375 % through Loan Depot 2 . I was to purchase a NEW Condo at XXXX in XXXXXXXX XXXX 
1 ) XXXX XXXX XXXX, the assigned XXXX  XXXX at Loan Depot, confirmed he could originate this Condo loan and did NOT foresee any challenges. He stated he has originated NEW condos in the past AND had closed loans with this particular Condo at XXXX. He assured me I would not run into any issues, which made me feel comfortable especially since I was informed by another lender that they could NOT originate NEW Condos. 
2 ) On XX/XX/2022 I had communicated to XXXX XXXX XXXX, the XXXX XXXXXXXX, that my goal was to move into my new Condo on XX/XX/2022. I recently sold my home and was living temporarily at a familys home. XXXX XXXX XXXX agreed that XX/XX/2022, was feasible as a closing date. 
3 ) During the month of XXXX, I tried to contact the XXXX XXXX, but he neglected to return any of my texts and calls, showing no urgency as we approached the deadline of XX/XX/2022, for my closing. At that point, I had to rely on my realtor to help me get a response, who also experienced the same lack of response from the XXXX XXXX. 
4 ) A few days before the closing deadline, I was informed through my realtor, that the Loan XXXX, was waiting for a response from a 3rd party ( XXXX XXXX ) to process the Condo questionnaire. This delay caused Loan Depot to extend the closing from XX/XX/2022 to XX/XX/2022. 
5 ) On XX/XX/2022, I received a call from the XXXX XXXXXXXX, who confirmed my loan would NOT close due to his negligence of understanding XXXX XXXX and XXXX XXXX guidelines. XXXX XXXX XXXX guidelines state that a NEW Condo needs to be 75 % occupied in order to sell a conventional/conforming loan to either agency. This condo was NEW and did not have 75 % occupancy. XXXX XXXX XXXX was very well aware that the condo was brand new on XX/XX/2022. When asked why didnt he know about this at the beginning of the loan process, he was not able to explain but quick to suggest another possible solution, despite the expiration of the closing date. 
7 ) The XXXX  XXXX informed me on that same day, XX/XX/XXXX, he could do a new loan but that it would be a Non-Qualified Mortgage loan which would result in a higher interest rate ( 7.5 % -8 % ). I requested to see the estimate even though the interest rate was much higher and potentially out of my budget but was willing to see the estimate in writing. XXXX XXXX XXXX said he was going to provide me estimates by the end of business but failed to do so. 
8 ) Since I didnt hear back from XXXX XXXX XXXX XXXX I decided to inform my Realtor that I would like to withdraw my loan and requesting a Denial Letter so that I could present to the Seller my decision due to XXXX XXXX XXXX lack of communication and competence for originating this loan. 
9 ) At no point was I communicated by the team ( XXXX  XXXX at Loan Depot, Realtor and Closing agent ) that my financial agreement was not extended and thus in breach of contract. Nor was I advised of the circumstances of my decision to pull out of the process. 
10 ) Due to the unfortunate experience with Loan Depots inadequate and unprofessional process, I received a demand letter from the sellers attorney on XX/XX/XXXX, requesting that I release and cancel the contract regarding the deposit of {$20000.00}. 
11 ) I attempted to follow up Loan Depot and XXXX on the status to the denial letter, since I have not received it. The Closing agent and Realtor was persistent with Loan Depot requesting the denial letter to present to the Sellers attorney. 
12 ) Loan Depot never responded to the multiple calls and texts from the Realtor nor Closing Agent, until I called and spoke to a manager at Loan Depot who provided me with the denial letter dated XX/XX/2022 which is NOT the correct date of when they informed me of the loan NOT closing. The correct date should have been XX/XX/2022. 
I am filing a complaint against Loan Depot, XXXX XXXX XXXX for his lack of credibility, response time and ethics to me as his client, which not only resulted in not being able to purchase my dream home, but also the fact that XXXX XXXX XXXX lied about having experience originating NEW Condominiums. Had he done his due diligence about originating NEW condo loans, I would not have lost my earnest deposit money of {$20000.00}! A sizable lender such as Loan Depot, who works unprofessionally and does not look out for the best interest of his client, should not be in business. 

I am asking the CFPB to take action against Loan Depot and requesting my earnest deposit money back of {$20000.00}.

Your attention to this matter is greatly appreciated. If you have any questions, please do not hesitate in reaching out to me directly.

Company response to consumer: Closed with explanation