Consumer complaint received 2024-09-17
Product: Mortgage — FHA mortgage
Issue: Closing on a mortgage — Delays with the closing process
Company: ATLANTIC BAY MORTGAGE GROUP LLC (CA)

Complaint Against Atlantic Bay Mortgage LLC - Loan Application and Processing Delays, Negligence, and Unfair and Deceptive Practices I, XXXX XXXX, hereby submit this formal complaint against Atlantic Bay Mortgage LLC in connection with my mortgage loan application initiated on XX/XX/year>. 

Summary of Complaint I experienced significant delays, miscommunication, and unprofessional conduct from Atlantic Bay Mortgage LLC during my loan application process. This resulted in the loss of my builder, the termination of my loan application, and substantial financial losses. The lender has offered an inadequate settlement contingent upon waiving my legal rights, which I find unacceptable. 

Detailed Grievances Excessive Information Requests and Delays : Despite providing all requested information initially, I faced repeated and unreasonable demands for additional documentation, causing significant delays. 

Unilateral and Material Modification of Loan Terms : The loan terms were unilaterally and materially modified multiple times throughout the process, creating confusion and uncertainty. 

Dereliction of Duty and Lack of Fiduciary Responsibility : The assigned loan agent demonstrated incompetence and failed to provide proactive guidance or communication, necessitating constant follow-up from me. 

Appraisal Delays and Gross Negligence : The appraisal process was marred by significant delays and poor communication, leading to the initial appraiser quitting. The subsequent hiring of a new appraiser caused further unconscionable delays. 

Failure to Meet Closing Deadline and Resulting Damages : Despite my repeated communication about the urgency of closing, Atlantic Bay Mortgage LLC failed to meet the deadline, resulting in the loss of my builder and the termination of my loan application. This failure has caused me substantial and quantifiable damages. 

Financial Losses : I incurred substantial financial losses due to the aforementioned issues, including consultant fees, survey and septic report fees, property insurance, utility fees for inspections, plan sketch fees, closing costs associated with the initial lot purchase, pre-construction fees, and closing fees incurred upon selling the lot. My initial estimate of these losses was {$5000.00}, but upon further calculation and review of receipts, the total is closer to {$7900.00}. 

Inadequate Settlement Offer and Counteroffer : Atlantic Bay Mortgage LLC offered a settlement of {$1400.00}, only partially refunding the consultant fees. This offer is contingent upon signing an agreement with onerous and unconscionable disparagement clauses, waiving my legal rights. I counteroffered to accept the {$1400.00} if the disparagement clauses were removed, but this was rejected. 

Misrepresentation of Application Completion Date and Unfair and Deceptive Practices : Atlantic Bay Mortgage LLC claims my application was incomplete until XX/XX/year>, despite my providing all necessary information much earlier. This delay is attributed to their negligence and failure to communicate effectively. I believe this constitutes a misrepresentation of material fact and unfair and deceptive trade practices. 

Conclusion I believe Atlantic Bay Mortgage LLC 's conduct constitutes a breach of contract, negligence, and a violation of consumer protection laws. Their actions have caused me significant financial harm and emotional distress. I request the CFPB 's assistance in resolving this matter and obtaining full compensation for my losses, which I estimate to be approximately {$7900.00}.