Consumer complaint received 2017-03-02
Product: Mortgage — Conventional adjustable mortgage (ARM)
Issue: Settlement process and costs — 
Company: SANTANDER BANK, NATIONAL ASSOCIATION (NY)

On XX/XX/XXXX, we applied to refinance our mortgage with Santander Bank. We had originally taken a mortgage out through Santander Bank in XX/XX/XXXX. After we applied, the appraisal for our house came in extremely under market. This caused a reduction in the amount of our home equity line with Santander. Our home equity line available credit limit was {$100000.00}. After the low appraisal, it was reduced to {$82000.00}. We had already borrowed above the {$82000.00} limit and we explained to Santander that we would not be able to bring the excess amount borrowed in cash to the closing, which would be over {$25000.00}. They agreed to grant us an exception and allowed us to pay down the home equity line to {$82000.00} at our own pace, at which point the available limit would be capped. We agreed to this and requested that we move forward with the closing. On XX/XX/XXXX, we received a letter from Santander Bank that we were approved for the loan. Included in the letter was a list of required documentation Santander Bank would need to move forward with the loan. A number of the required documents were completely irrelevant, such as proof of liquidation of stocks of {$8500.00} that were then to be deposited into our account. We at no point discussed liquidating any stock holdings to deposit into our checking account. Nonetheless, I provided all of the documents within 24 hours. After providing the required documentation or responses, it would take two to three weeks for Santander Bank to review. Santander Bank would then come back for additional documentation requests. For example, Santander Bank would ask for the last quarterly statements for our 401k plan accounts. I would provide them to Santander Bank within 24 hours. After reviewing these documents, they would come back and ask for more quarterly 401k account statements. This would happen several times, delaying the process. We on numerous occasions requested that they ask for all the documents at once, rather than coming back for additional requests in piecemeal. However, for many of these document requests, Santander Bank would keep coming back to us for additional documents or responses. Santander Bank delayed the application review process so long that on XX/XX/XXXX they requested updated pay stubs. We immediately provided these to Santander Bank, who again needed additional time to review. On XX/XX/XXXX, almost six weeks after the initial requests for documentation, we received an email that all conditions were reviewed approved. However, due to the significant amount of time and delay in reviewing the documentation, the interest rate lock period had expired and Santander forced us to pay a {$4100.00} re-lock fee. While we were informed during this process that the lock period will expire, we were told that this could be waived due to Santander Bank 's extreme delays in processing our application. This was not the case when we came to closing. They did not waive the re-lock fee although they were solely responsible for the lock period expiring. We had to constantly push them to look at our documentation. Every time we submitted something, due to their own errors, they had to come back with additional requests. I would like Santander Bank to refund us this {$4100.00} fee.