Consumer complaint received 2022-03-28
Company: PENTAGON FEDERAL CREDIT UNION
State: OK
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
or all intents and purposes " she '' refers XXXX XXXX, the loan XXXX at PenFed Credit Union. 
She told me I was no longer approved based on dollar amount on the XXXX. 

She Knowingly disclosed me before receiving updated information. 
She Never sent correct disclosure. 
Told me on the XXXX i wasnt approved when bank statement was sent on the XXXX. 

Stated on the phone I gave wrong information only later to say she pulled it from application of previous loan application despite speaking to me on the phone. 

Originally told me PenFed does not offer XXXX until I asked for a supervisor. 
She stated the guidelines did not allow XXXX. 

Now I am told I meet guidelines for the XXXX but not at PenFed. Youre not compliant with XXXX XXXX and have changed the loan conditions. 
This is an automated underwriting system so it should be the same result every time. 

She consistently changed the terms and misrepresented the products that they offer. I was persistent presenting them with screenshots of their own webpage and the fact that it was updated in 2022 ( since previously loan XXXX told me this was an old post and they no longer offered the product ). I was pre- approved by the automated system for {$100000.00} home. I offered the seller {$100000.00}, and it was accepted, and I gave my earnest money. Then with no change in info, about XXXX days in she says the system says I dont qualify because my debt to income ratio is too high. Then she goes on to say that I gave the wrong info for my income on the application, and what it actually should be. When I finish talking with her and check the original applicationthe only application-it has the figures that she said should be in there, so, it was always there. So, by what method is the automated system that approved me and my debt-to-income ratio now suddenly issuing a disapproval? Why was she even going through the system or application again XXXX days in? I FEEL I was discriminated against and that she has thwarted me at every turn. First she says they dont offer the product. That wasnt accurate. Then the system pre approves me for {$100000.00}. I make and have accepted by the seller an offer for {$100000.00}. The day before I am to deliver my earnest money she says I need XXXX months reserves. She didnt know this based upon the pre approval for {$100000.00} but she knows it a week later based on a lower amount of {$100000.00}? 

Say the money was going to be my down payment and closing payment. She lead me to believe I DID NOT need reserves. She actually said it wasnt true when I said a previous loan XXXX mentioned something about reserves. Then after the offer is accepted, a week after we had completed applications, closing amounts and the day before I would be delivering XXXX money, she says I need 6 months reserves. She then asks where I will get the closing and down payment. My mother agreed to gift it. So, it was settled. Then after I pay XXXX money and after I set the appointment for the inspector I am paying for, she starts with the stuff about the automated system that pre-approved me now says I have too much debt to income when no info was changed or added. She claimed I had said I made more on the application than what I do and stated what the correct amount should be, but when I later checked the original application, it has the exact amount she said it should be. Besides, I didnt do the application, she did. No new or altered income, and an automated system changes its mind. 

I applied for a loan at another loan company just to find out my credit score was much higher. According to the XXXX XXXX XXXX XXXX loan when an applicant has XXXX or higher reserves are not required yet I was told I needed reserves. 

In addition, I am told I don't have the income but I was preapproved twice. If I didn't have income I could not possibly receive the a preapproval. I did a loan originally and was told that I didn't have enough reserves, down payment, or income. I was told I needed to look into getting an XXXX loan, but that Penfed does not offer that loan. 

I decided to try again. When I called back XXXX XXXX told me that it wasn't true that the company does not offer a XXXX loan. I was also told that it isn't true that I needed reserves. When I saw that I had received a preapproval for a XXXX, I decided to go for a XXXX loan due to it's low downpayment, income requirements, and etc. 

XXXX XXXX told me over the phone that PenFed does not offer the XXXX XXXX XXXX loan. I explained to her that it states that they do on the PenFed website. She assured me that they no longer offer it. I challenged this in an email and she again told me that they don't offer the loan. So, I stated that I wanted to speak to a supervisor if she couldn't do it then suddenly her " supervisor '' showed her where she could do it. 

This is a common loan and the fact she said they didn't offer it was highly deceptive. The entire time I was pushed into taking an XXXX loan. Upon my first dealing with her she stated that I needed to get an XXXX  loan. Then when I tried to go for a XXXX loan she lied and said they didn't offer it to push the XXXX loan on me. 

The XXXX  loan had a larger downpayment, larger closing, cost and was a more secure loan for her company given the PMI. I received a preapproval for the XXXX and then days later and shortly before the underwriting I am told I no longer qualify. When I ask why she stated it was because of my change in income. She stated that I technically qualify for the XXXX loan but not at PenFed thereby changing the qualifications of the loan itself. 

She claims that my financial info was pulled from a previous application. Both the original conventional loan and the XXXX were done over the phone. The XXXX was actually done by her. She grilled me to submit my financial information specifically my most recent bank statement. Yet, despite all of that she sent me a document with incorrect financial information contradicting my paystubs, XXXX 's, tax returns, and bank statements. 

When I confronted her about the signed document affirming my financial status had been incorrect she said that she made the change in the system but that the document had already been sent. Again, she attempted to push an XXXX  loan on me. 

Note that never at any point did she send a correct financial document for me to sign. So it was her " word '' that the change had been made, but clearly it hadn't for me to continue to be disapproved. She knowingly had me sign a document that was in error despite receiving financial documents. 

When I went online to check the loan details I noticed that one of the applications had more up to date information, partially incorrect but one item that was correct, in other words, she knew the correct information but ignored it. PenFed has you sign a document to disclose information electronically per the law and company policy, but I never signed any documents agree to disclose prior applications. So, she violated company policy and accessed prior information illegally. 

When I agreed to disclose it was for the most recent XXXX loan they disapproved me for once they saw XXXX would be more beneficial to them. I make XXXX hourly at XXXX hours a week. The debt I have is XXXX dollars a month in student loans. The fact I could not afford a XXXX monthly payment is ridiculous, and that is not including the non barrower border income. 

A corporate XXXX by the name of XXXX XXXX told me they didn't do this when all she had to do is check the emails and phone calls to see that is precisely what happened.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation