Consumer complaint received 2015-05-14
Product: Mortgage — FHA mortgage
Issue: Application, originator, mortgage broker — 
Company: PHH Mortgage Services Corporation (AZ)

CFPB - My Wife and I initiated the mortgage application process with PHH Corporation - Century 21 Mortgages via Mortgage Advisor XXXX XXXX XXXX XXXX # XXXX on XXXX after beginning our application process with another lender when they stated they could provide us a better rate. Our projected close date was scheduled for XXXX. Throughout this process we have been asked by various parties within the company to provide duplicate documentation multiple times ( i.e. bank statements, copies of tax returns, student loan statements, etc. ), have dealt with significant stretches of time where we had no communication with our lender ( i.e. our underwriter was out sick for almost a week and there was no back up in place to work our file in their absence ) and delayed requests for additional information ( i.e. upon receiving a bank statement, a request for additional information came more than a week later building in additional delay time in finalizing the review of our file ). To date we stand to lose the following : our earnest money funds of {$2000.00} because the builder for the sellers does n't normally do extensions and we missed our target closing date due to mismanagement in the review of our file and lender would not back the funds, a rate increase which is now the same rate our original lender was offering that will end up costing us at least an additional {$5000.00} in interest and pending homelessness for us and our XXXX due to still having no scheduled closing date as of XXXX since our current apartment lease is expiring on XXXX. This has been a very trying, invasive and stressful process that has been handled without much personal concern or interest in us as consumers. We have consistently provided all requested information to our lender within a quick same day or next day turnaround regardless if it was a duplicate request and we have taken every action within our power to progress the review of our file along with no support or legwork from our lender. In fact, on XXXX I was told that I needed to go to the IRS office to get a copy of our XXXX tax transcript 45 minutes before the office closed. I had to leave work early and hustle to another part of town to get the required letter before the office closed. Today, XXXX we find out that the information obtained from the IRS was not good enough to move the loan forward because it did not tell them what the error was. Today was the most recent day we were told we would close on the house. We were then asked to make ANOTHER trip to the IRS office and asked to get them to put in writing that the preliminary transcript that I obtained the date before was accurate. I could not make this 2nd trip because I left work early the day before. 

Should this deal fall through for any reason we will have lost our hard earned money, lost our house, and have roughly one week to find a new apartment to live in. The seller of the home is also at risk because they are going to lose the home they are building for their family because that sale is contingent on the sale of their original home. It appears that the only party benefitting in the situation is the lender ; if they fund the loan they will get more money since their delays caused the interest rate to rise, and if they do n't fund the loan they have avoided any risk. They are definitely not advocating for what is best for us as the consumer.