Consumer complaint received 2015-05-05
Company: Guild Mortgage Company LLC
State: OR
Product: Mortgage
Sub-product: Conventional fixed mortgage
Issue: Application, originator, mortgage broker

Complaint:
XXXX/XXXX/14 : We first contacted XXXX XXXX ( XXXX XXXX, XXXX XXXX ) to broker a mortgage on a property we were considering. He quoted an available mortgage rate of 4.625 % but said it changed rapidly and our actual rate would depend on the market when we closed. 

XXXX/XXXX/14 : We identified a XXXX property when the XXXX one fell through. XXXX repeated his statement about rates. Currently 4.625 % but they would change based on the market when we close. Escrow opened. 

XXXX/XXXX/14 : We were scheduled to close in a week but the bank appraisal had not occurred. We were very concerned that that would give the sellers an out. XXXX had locked us into the 4.625 % rate, which he had quoted almost two months before, despite lower prevailing market rates. When asked if the rate could be adjusted since the lock was expiring due to repair issues on the house, XXXX 's response was " No, since it has gone to escrow ''. This was a deliberate attempt to mislead us since escrow had been opened a month earlier. He also claimed we had given him a " verbal '' lock at 4.625 %. We did no such thing. Rate locks must be in writing according to Oregon Revised Statutes and no such document had been signed by us. When pressed on the matter, XXXX said he was going to pull the appraiser ( which would have caused us to lose the house ) and hung up on me. 

XXXX/XXXX/14 : I was compelled to contact XXXX XXXX ( XXXX XXXX ), Branch Manager at XXXX XXXX XXXX re : XXXX 's angry response and threats to pull the appraiser from the site. His response was that he thinks we " have been treated fairly ''. 

XXXX/XXXX/14 : With the choice of either losing the house we love or accepting the terms forced on us by XXXX XXXX, we close on the house. The higher interest rate will cost us more than {$5000.00} over the life of the loan. More to the point, we felt manipulated, lied to and bullied by XXXX XXXX. His behavior was reviewed and supported by his manager, XXXX XXXX. 

COMPLAINT SUMMARY : XXXX XXXX was deliberately not forthcoming with accurate market rate information at his disposal. He locked clients into higher than market rates in order to benefit himself and his company. This is predatory lending. 
XXXX XXXX bullied clients into compliance by threatening to cancel a key process in the buying procedure in order to complete his self-serving transaction. 
XXXX XXXX lied about the loan closing process by claiming a loan has gone to escrow when escrow had been opened for a month. This facilitated his manipulation of the closing process to his benefit. 
Rather than representing the highest industry standards of the home mortgage industry, XXXX XXXX represents the lowest social standards of being a common bully, prevaricator and exploiter. The public needs to be warned about him. 
By endorsing XXXX XXXX 's behavior, XXXX XXXX was at the most culpable in behavior that enriched his firm and at the least negligent in his supervision of a rogue employee.

Company response to consumer: Closed with explanation