Consumer complaint received 2016-01-25
Product: Mortgage — Conventional fixed mortgage
Issue: Settlement process and costs — 
Company: CONTOUR MORTGAGE CORPORATION (NY)

XXXX XXXX from Contour Mortgage ( http : //www.contourmortgage.com/ ) violated RESPA rule multiple times when he handled the mortgage for me from XXXX to XXXX 2015. I received Good Faith Estimate ( see attachment, the interest rate was 4.0 % ) on XXXX XXXX when I began the loan application. I got the mortgage approval package on XXXX XXXX. I had a phone conversation with XXXX on XXXX XXXX and I clearly stated I was not ready to lock the interest rate because my condo application was still pending although XXXX did advice me the rate might go up soon. After i received condo approval on XXXX XXXX, I contacted XXXX to find out the latest interest rate, he told me he locked the rate for me on XXXX XXXX at 4.125 %. He did not provide any form of written notice about the date he locked the rate or the rate % throughout the entire process. He did not provide me a revised GFE since the rate he locked was higher than the original GFE. He attempted to charge me {$1600.00} for the rate extension cost which he had no proof which date he locked the rate and which date he extended the rate to. 
1 ) He failed to issue revised GFE after the rate was locked and the locked rate was higher than the rate stated on the GFE. he locked the rate without my consent. 
2 ) We exchanged email on XXXX XXXX that he confirmed he extended the rate until the closing date XXXX XXXX XXXX ) but he did not mention anything about the cost. XXXX day before the closing when he finally provided closing statement, lock rate extension cost of {$1600.00} was added on closing statement that consider as changed circumstance, he again failed to issue a revised GFE. There was no breakdown or explanation on how the extension cost was calculated. I confronted him about adding the lock extension charge on closing statement, he said my option was to transfer my paperwork to other banks and adjourn the closing if i was not willing to accept the fee. My opinion was he purposely delay to provide the closing statement until the very last minute. I had to emailed bank attorneys, laid out all of his wrong doings for him to take out the charges. However, it did not undo the violations how he handled my mortgage and taking advantage of me being first time buyer and not familiar with the process and regulations. 
Throughout the entire process, GFE was provided only once before loan application was approved. Interest rate was not stated on commitment letter even though the rate expiration date was stated as XXXX XXXX, 2015. Extension cost should not be incurred before XXXX XXXX or a revised GFE should be issued. 
3 ) The home insurance agent he referred which he said was a great quote ( i did purchased but later on cancelled ), was 2 times more expensive with half of the coverage of what I have my current policy now. 
I tried to escalate the case to Contour Managing XXXX XXXX, after a minute on the phone with him, he put me on hold of 5 minutes ( my guess he was talking to XXXX on the other line ), he came back saying XXXX went above and beyond to provide good service to me, that XXXX even paid out of pocket for part of the extension fee. This was either a big fat lie or someone had made a terrible mistake and try to cover his base. It just demonstrate XXXX manager aware and approved of his violations. 
Moreover, the final rate I was forced to lock was at least 0.125 % higher when i compared with other banks.