Consumer complaint received 2019-07-28
Product: Mortgage — FHA mortgage
Issue: Closing on a mortgage — 
Company: GUARANTEED RATE INC. (IL)

I applied for a loan with Guaranteed Rate on XX/XX/2019. I received my pre-approval on XX/XX/2019. I submitted an offer on the house on XX/XX/2019, which was accepted. We set a closing date for XX/XX/2019, which I was assured would be no problem by my mortgage specialist, XXXX XXXX. As the closing date came closer, the whole process with Guaranteed Rate became a nightmare. The original closing date came and went, and I was told almost every day that it would just be another day or two, however, I wasnt actually able to close until XX/XX/2019. 

Due to all the delays, directly caused by Guaranteed rate, I was promised a total of {$3500.00} in lender credits to ease the suffering I endured during this process at the hands of XXXX XXXX and his team at Guaranteed Rate. Before this home purchase, I was renting a house that the owners sold, and my wife and I had to be out of the house on XX/XX/2019 ( 18 days after the original closing date ). Because we couldnt close on time, my wife and I were homeless from XX/XX/2019 until XX/XX/2019. At this point I had been promised {$2000.00} in lender credits because of delays caused by Guaranteed Rate, but XXXX XXXX promised me another {$1500.00} ( bringing the total to the previously mentioned {$3500.00} ) to help us with expenses incurred from being homeless for the weekend. 

On XX/XX/2019, XXXX XXXX from Guaranteed Rate sent over a closing disclosure, showing my cash to close estimated at {$6500.00}. When I arrived at the title company on XX/XX/2019, Guaranteed Rate sent over another disclosure showing cash to close at around $ XXXX. I had stated I was putting $ XXXX down, I was receiving an $ XXXX credit from the seller, and then also the {$3500.00} lender credit from Guaranteed Rate. Prior to closing I had provided the seller with $ XXXX in earnest money. 

I had brought with me a cashiers check for {$7500.00} which should have been more than enough to cover the closing as previously described by Guaranteed Rate. However, when we went to process the paperwork, Guaranteed Rate then sent over another disclosure, which then stated that I needed over $ XXXX to close. 

This was due to the fact that the seller credit completely covered all the closing costs and I was told by Guaranteed Rate that they were taking away the {$3500.00} credit they promised me for my pain and suffering through the loan process. I was told that they had nothing they could apply the lender credit to, and so I had to lose that money. This was my first time buying a house and I was never informed by Guaranteed Rate prior to closing that the credit could not be used toward a down payment. In fact, they sent me multiple closing disclosures that show the {$3500.00} lender credit decreasing the amount I owed for my down payment. 

They put me in a position where I was forced to close on the loan, otherwise my wife and I would be homeless. XXXX XXXX and his team knew the entire time that they couldnt give me the lender credit they promised me, and they kept increasing the amount of the credit several times to keep me happy, knowing I would never see any of that money. 

They sent me multiple closing disclosures that were a complete lie, and I never received any of the money that they promised me due to emotional and monetary hardships endured by their incompetence. The way that this was handled was completely fraudulent behavior by XXXX XXXX and his team.