Consumer complaint received 2023-01-14
Product: Mortgage — Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — 
Company: HUNTINGTON NATIONAL BANK, THE (NY)

I am complaining about the dishonest and deceptive behaviors of a mortgage loan officer of the Huntington National Bank, called XXXX XXXX ( NMLS ID : XXXX ). When I was applying for a mortgage loan with XXXX, this loan officer promised that she could locked me in an interest rate of 5.75 % but she never disclosed that in order to get this interest rate, I need to pay a point fee of {$4500.00}, although I clearly asked her what ALL the closing fees would be in order to get this interest rate. As a result, I suffered a financial loss. I reached out to Huntington Bank to try to resolve this issue, but they declined my claim. I would greatly appreciate it if CFPB could help me get the compensation from the Huntington Bank due to the deceptive practices of their loan officer. 

Below is a detailed summary of what happened, and I also attach all the relevant evidence I have regarding my claim : Tuesday, XX/XX/XXXX : I contacted the loan XXXX XXXX XXXX to request for a quote of interest rate on an investment property. She told me she could lock me in a rate of 5.75 % for a XXXX ARM loan. She clearly asked whether it was an investment property and I clearly confirmed. So she definitely knew she was quoting an interest rate for an investment property. 
o XXXX XXXX. XXXX Email from XXXX XXXX XXXX XXXX XXXX ) o See Text Messages XXXX I asked what the closing costs and fees would be to secure the rate of 5.75 % for an investment property. She sent me a breakdown of all closing fees, but she never mentioned that in order to get a rate of 5.75 %, there would be an additional cost of {$4500.00} to purchase points. ( See Text Messages XXXX ) Without knowing the extra points fee, I thought it was a good deal and submitted my loan application on XXXX and asked XXXX to lock me in the rate of 5.75 %. ( See Text XXXX ) XXXX also said she could apply with her management for a rate better than 5.75 % if I could send her competitive offers I had already received from other banks. ( See Text Messages XXXX ) I sent her the competitive offers I had already received for her to apply for a better rate than XXXX. 

Wednesday, XX/XX/XXXX : On Wednesday, XX/XX/XXXX, XXXX confirmed that I was locked in and she would get me a great rate. ( See Text Messages XXXX ). I was under the impression that she locked me in XXXX which was what I applied for the day before and that she was working on getting me a better rate than 5.75 % as she promised. 
I understand from our conversation that XXXX claimed she admitted to me on Wednesday she made a mistake and XXXX was for primary residence. This never happened. She never mentioned anything to that effect to me until now. 

Thursday, XX/XX/XXXX : I continued to follow up with both XXXX and her assistant XXXX XXXX to confirm the locked rate by emails, phone calls, and text messages. I thought I was locked in 5.75 % but wanted to see whether XXXX was able to get a rate better than 5.75 %. 
XXXX confirmed by email that XXXX just got done working on your rate I believe. Looks like it is locked at XXXX. Since this is now complete our disclosure team will generate the initial loan packet for you. It normally takes them XXXX business hours. Email was copied on that email. ( See XXXX. XXXX Email Exchange with XXXX XXXX and XXXX XXXX ( XXXX ) ) With Nikkis confirmation, I rest assured that I was locked in 5.75 % as promised by XXXX. 
On Thursday evening, I received a very good offer of 6.0 % for 30 year fixed from another lender, but I declined it because I believed in good faith that XXXX had already locked me in 5.75 % as confirmed by XXXX. 
Until now, XXXX never disclosed anything about the possibility to pay points to get 5.75 %. I was always under the impression that I was locked in 5.75 % for XXXX ARM with XXXX points. 
On Thursday night, I followed up again to request to sign the lock-in documents. XXXX did not respond. 

Friday, XX/XX/XXXX : On Friday morning, I finally received the rate lock-in documents from XXXX showing that I needed to pay an extra points fee of {$4500.00} to get the rate of 5.75 %. This was never disclosed to me by XXXX or anyone from XXXX, even though I explicitly asked her what ALL the closing costs were in order to get this rate. 
I asked XXXX why she had never disclosed extra points fee to me. Here is her reply : " There was never a question of points from you so not sure what you are talking about. '' ( See XXXX. XXXX Email Exchange with XXXX XXXX and XXXX XXXX ( XXXX ) ) I have worked with many lenders before. Whenever I asked for a quote of rate, they would immediately disclose if a rate is with points purchase or not, not to mention that I clearly asked XXXX about ALL the closing costs. Isn't the points fee part of the closing fees? I deeply believe honesty and integrity are crucial characters for someone working in the financial industry and actually in all industries. 
I asked XXXX XXXX XXXX could waive the points fee of {$4500.00} and honor me 5.75 % without points as she promised. 
I waited the whole day for XXXX response. She finally responded on Friday night that her management declined my request ( See Text Messages XXXX ). 
I could not afford the extra points fee of {$4500.00} and had to cancel the loan application. 
Unfortunately, at this point, the good rate ( 5.99 % ) that I declined on Thursday ( XXXX ) was no longer available on Friday ( XXXX ) due to the market change. After consulting with multiple other banks in the next couple of days, the best rate I could get was 6.5 % and I was stuck with this much higher interest rate in order to timely close my property purchase on XX/XX/XXXX as scheduled.