Consumer complaint received 2024-11-18
Product: Mortgage — Conventional home mortgage
Issue: Closing on a mortgage — Closing disclosure or other related disclosures
Company: Tomo Networks, Inc. (NM)

XXXX - Completed initial loan application with Tomo Mortgage and were provided initial loan estimate quoting 7 % interest rate for 30yr fixed mortgage ( origination charges of {$2900.00}, estimated cash to close {$8300.00} ). We expressed intent to proceed with Tomo as lender based on what was quoted in the Loan Estimate XXXX - Telephone conversation with XXXX XXXX while he was in airport/boarding a plane. This is conversation that XXXX says he discussed locking in our rate quoted in the loan estimate. We contend this discussion never happened and would like the audio of the conversation to confirm that nothing pertaining to " locking in a rate '' was ever discussed XXXX - XXXX sends email titled " Lender Introduction '' to introduce himself to our broker and ask for ratified purchase contract XXXX - Email from Tomo requesting payment for Appraisal Fee. Requested amount was {$750.00} to be paid via XXXX XXXX - XXXX sends email introducing XXXX XXXX as our Application Advisor XXXX - I respond to email from XXXX and XXXX asking why the appraisal fee is nearly double the national average? 
XXXX- XXXX responds " They keep a portion as their fee and then the rest goes to the XXXX. Unfortunately, I don't have a way of reducing the price since they set it. 
I can get you a {$250.00} credit if you link your bank accounts through your portal. That will offset a bit of the cost of the appraisal. '' XXXX- XXXX responds " XXXX XXXX, I just tried to call you on this but give me a call when you get a chance. Simply put we estimate what the appraisal may cost the appraiser send the actual cost once the appraisal is done. If there is any overage based on what we estimate that shows as a credit to you at closing.feel free to give me a call on this when you get a chance if you would like to talk. Fees nowadays run anywhere from XXXX to {$800.00} in my professional experience and I do on average 20 to 30 transactions a month. " XXXX - I respond " Ok, thanks for the explanations. The appraisal management company fee is what we're not too keen on. We know we need an appraisal and we know the fees typically range from {$300.00} to {$600.00}. The {$250.00} credit sounds like it would get us back in line with what a typical appraisal ( without any management company fees ) would cost - something in the ballpark of {$500.00}. But should the appraisal itself come in under that figure, we'd like to be assured it will be refunded at closing. 
The credit would work for us and we can keep moving forward. I'll link my account to the portal now. '' XXXX - XXXX XXXX sends email asking for approval on a fee increase to {$1200.00} due to the " location and uniqueness of the property '' XXXX - I respond with email indicating that we did NOT approve the fee and asked if we could order a appraisal independently XXXX - XXXX responds that " XXXX XXXX not allow for appraisals to be independently ordered. '' XXXX - We tell XXXX that we'll be switching to a local lender that " was only 0.2 pts higher in their loan estimate and will be working directly with an appraiser in the area '' XXXX - XXXX responds that he understands but alerts us that " FYI the market has worsened SIGNIFICANTLY since last week so if we are splitting hairs over a XXXX XXXX XXXX I hope were looking at the bigger picture than an isolated 3rd party cost the lender can not control. Id recommend that we look at their loan estimate from today and make sure you arent walking over a quarter to save a dime.. '' At this point there has still been no mention of " locking in our rate '' as originally quoted XXXX - We again express the appraisal ( AMC ) increase as our main sticking point and request to see the XXXX  fees being charged for soliciting estimates from area appraisers. 
XXXX - XXXX includes his head of underwriting, XXXX XXXX, on a response and request that he explain how the XXXX process works XXXX- I ask XXXX for XXXX ) the name of the XXXX that solicited the appraisal quotes and XXXX ) the fee charge by that XXXX for soliciting the estimates. I included the invoice for {$750.00} indicating that we had already paid the initial amount requested via XXXX XXXX- XXXX responds and names the XXXX as XXXX XXXX. He indicates he reached out to them for a breakdown of the fee they take, if any, from the fee paid via XXXX. He also indicated he'll reach back out with the invoice and additional information from XXXX XXXX- We receive notice that our Appraisal has been completed by XXXX XXXX XXXX XXXX Residential XXXX CO Lic # XXXX. In the attached appraisal, XXXX indicated the amount charged for the appraisal to be {$400.00} XXXX - I follow up with XXXX and present the appraisal and callout the fee charged as {$400.00}. Specifically I ask " Is that XXXX XXXX {$350.00} for ordering the appraisal ( {$750.00} - {$400.00} )? Was the previous AMCs fee {$800.00} ( $ XXXX {$400.00} )? Any explanation would be appreciated. " XXXX- XXXX confirms that he believes my calculations to be correct and that it " would appear that the XXXX would receive the amount subtracted from the {$400.00} XXXX fee and the actual fee of {$750.00} ''. He once again mentions he has inquired with the XXXX to confirm. He also states " The original XXXX got back to me on the {$1200.00} fee and said that their fee was {$450.00} of that {$1200.00} " Indicating that XXXX XXXX had stated their fee was {$450.00} XXXX- XXXX 's first mention via email of locking in rates. At this point rates had gone up significantly. The cheapest rate available to lock in for same 30yr fixed was 7.875 % ( {$4000.00} in points ) XXXX - I ask why we were never explicitly asked by XXXX XXXX we wanted to " lock our rate ''? 
XXXX- XXXX mention conversation in airport as the time at which he mentioned locking in our rate. We dispute this and have asked for phone recordings as TOMO says all calls are recorded. He also states that I explicitly said I wanted to " float the rate ''. We also dispute this. 
XXXX - I respond and express that both my partner and I feel deceived my XXXX 's lack of communication around locking in rates and indicate that we will be filing a complaint with CFPB because of this and because of lack of transparency regarding the XXXX fee. Yes, we missed the check box indicating XXXX XXXX on our initial loan estimate, but we are also not mortgage experts and were never told what it meant to not lock our rate. 
XXXX - XXXX indicated he'll be handing our remaining loan oversight to his supervisor XXXX XXXX XXXX- XXXX responds requesting a phone call which we have. He explains the XXXX 's only mistake was not communicating well, not deception. He offers to take {$1000.00} of the loan origination fee for the cheapest rate we are now offered which is 7.875 % ( {$4000.00} in points/ {$3000.00} with discount ). I mention that we feel backed into a corner because of our imminent closing date. XXXX responds that we seem like smart people and that we should have read the initial loan estimate more closely. We were made to feel XXXX and as if we had no other options if we wanted to close on our home. XXXX assures us he will carefully walk us through the final closing disclosure XXXX - We receive our draft closing disclosure for the 7.875 % and I indicate that is still shows us as owing {$750.00} for appraisal. I ask that it be removed XXXX - I am told that CD disclosure question be directed to XXXX XXXX XXXX - We request the promised walk through of our draft closing disclosure. XXXX responds that he does not have time to do a walk through that day. He asks what question we have XXXX - I indicated that we already paid appraisal fee of {$750.00} and provide receipt. I then ask why it is showing as being owed on the CD? 
XXXX 2024 - XXXX indicates its simple a draft CD and that they will ultimately need to balance with title XXXX - I speak with XXXX XXXX at XXXX XXXX title and she indicated that she will be calculating final closing costs based on the TOMO provided CD with the erroneous amounts indicated for both appraisal fee and for the loan origination ( points ) to be charged XXXX - XXXX indicate to XXXX that XXXXOMO will need revise the CD so that title can accurately calculate what we owe at closing. 
XXXX - XXXX XXXX provides the invoice for XXXX XXXX that indicates that it was {$100.00} cheaper than originally quoted in our CD. I follow up and ask the we also be provided an invoice from XXXX for soliciting our appraisal ( XXXX time requested ) XXXX - We finally receive a revised CD and are able to settle with title a day and half after our planned closing date XXXX - I send XXXX and XXXX another email Request for Itemized Invoice for Appraisal Fees. No response