Consumer complaint received 2017-04-24
Company: JPMORGAN CHASE & CO.
State: CA
Product: Mortgage
Sub-product: Home equity loan or line of credit (HELOC)
Issue: Closing on a mortgage

Complaint:
Around  XXXX   XXXX ,   XXXX   I applied for a HELOC through Chase Bank and  XXXX   XXXX . Chase called us back immediately, ran our credit ( with approval and gave us their current ra te ( 5.4 ).  We told them that we were waiting on other banks to contact us with their rates before making a final decision.  XXXX   XXXX  came back with a significantly lower rate  ( 2 .99 % intro then variable 4.5 % after ). I spoke with chase about the different rates and  XXXX   XXXX  (  XXXX   XXXX  | MB Sr Loan Processor |  XXXX  ID  XXXX   XXXX  Mortgage Banking  | Chase  |  XXXX   XXXX   XXXX   XXXX ,  XXXX , WI  XXXX   |  Office :  XXXX  EXT.  XXXX  | Fax :  XXXX  |  XXXX  XXXX  XXXX  ) told us that she could not guarantee any rate, but that since I have excellent credit and numerous accounts with Chase that she would try her best to match the 4.5 % rate. We told her the terms that we were comfortable with ; initially only seeking {$30000.00} for a remodel.  XXXX  explained that the rates were based off of a {$50000.00} loan, but that we would not have to pull any cash out at closing. My wife and I agreed to move forward with Chase as we have most of our major accounts with them and have always been happy with the level of service provided. On  XXXX   XXXX  we received the request for information to process the loan while  XXXX  said she was sending our request for 4.5 % up to the manager. On  XXXX   XXXX  we submitted all necessary forms and waited.  XXXX  remained in contact with u s ( ab out once per week  ) a bout the progress of the loan and said that she was still waiting on the manager approval for the rate. Approximately  XXXX   XXXX , I received a call from  XXXX  saying that the loan process was complete, but that the rate came back at 5.4 % not 4.5 %.  XXXX  said she assumed it was a mistake and they wrote the numbers wrong. She told me that she would fast track it back to the manager and would call me in a few days. On Friday  XXXX   XXXX  I received a call from  XXXX  saying that she could get me 5.0 % rate only if I immediately pulled {$60000.00} cash out at closing.  XXXX  said that we could just put that money right back into the loan without using any of it. I told her that those were not the terms that we had initially discussed and that I was disappointed that she could n't match the 4.5 % we had initially discussed ( and she made seem like that was not going to be a problem ). Then  XXXX  told me that she could get my rate to 4.5 %, but that we would have to immediately pull {$100000.00} cash at closing. I was extremely upset at that point. I initially only asked for a {$30000.00} HELOC, but conceded to {$50000.00} per their advice. Then I am being told that the loan is finalized and I can only get the rate requested if I pull {$100000.00} up front. I told  XXXX  that I was very unhappy, but would speak with my wife. After speaking with my wife, we were both very upset and disappointed with Chase. We have trusted them with our accounts for years and the way that they handled our HELOC process felt very manipulative. We would have been ok with the 5.5 % rate if they were honest and said that that was the bottom line upfront. Instead, they pushed us through the entire process, all the while making it seem like it was going to be one rate, and then at the end added numerous conditions to it. In our minds the only benefit to pulling {$100000.00} was for Chase to inflate their numbers or reach their loan targets. We feel misled and pushed into a product with a higher balance than requested. I called  XXXX  back and told her we were not ok with those terms, and asked if there was a manager I could speak to to voice my concerns. She told me that there was n't anyone in her department I could talk to about this. At that point I told  XXXX  that we would not move forward with  XXXX  for our HELOC. She was surprised and said that she had never had anyone pull out of a loan after it was final. She told me that the person who originated the loan would be in contact with us soon. We never received the follow-up call or spoke to anyone who we could voice our concerns to. As educated consumers, we feel like we were mislead and that  XXXX  attempted to manipulate us in order to increase their bottom line. We are considering now closing all  XXXX  accounts we currently have with them. We expected a level of honesty and professionalism from a bank of this size. Expectations were not handled appropriately. Had we been in an urgent position to fix our home, we may have felt pressured to pull more than we need.

Company response to consumer: Closed with explanation