Consumer complaint received 2020-08-01
Product: Mortgage — VA mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — 
Company: AMERISAVE MORTGAGE CORPORATION (NC)

On XX/XX/2020 I submitted a VA mortgage application to Amerisave for {$620000.00}. For two weeks we went through the process of loan approval. I signed all the disclosures and VA HUD addendums. I was given a floating interest rate quote of 2.625 and acknowledged all applicable forms for the loan. I paid the {$520.00} appraisal fee and scheduled an appraisal with the appraiser. Then, on XX/XX/2020, I was informed by my processer XXXX XXXX that the loan could not be approved because it exceeded the county limit of {$510000.00}. I immediately contact the XXXX XXXX XXXX XXXX XXXX  and was advised to notify Amerisave that the county limit did not apply to me because I retained full VA Home Loan eligibility. Therefore, there were no applicable home limits to my loan request. The VA would guarantee the full {$620000.00} loan. I was told by the VA representative to provide the following information : The Blue Water Navy Vietnam Veteran Acts was approved in XX/XX/2020 which removed the limit for VA home loans. He reviewed my Certificate of Eligibility and stated that because I have full eligibility, there should be no reason to deny my loan due to hud county limits. I informed Mr. XXXX via email and was told that he would check with his superiors. I never heard back from him. I have experience disapproval also based on county limits from XXXXXXXX XXXX  via representative XXXX XXXX on XX/XX/XXXX. Others have denied my loan because of sudden credit score increase requirements. XXXX XXXX is attempting to process my loan application but because they can not get an automated approval from VA she is not sure she will be able to process the loan. She stated there are no reasons for the automated rejection so she can't understand why it won't go through. Now, I'm frustrated. I had approvals from XXXX XXXX XXXX, and XXXX XXXX prior to entering into my purchase contract, now company has found a reason to deny my VA loan application. I believe it is an attempt to stray away from VA loans due to the current Coronavirus concerns with government loans. Except for XXXX XXXX XXXX with a new XXXX credit score requirement, none of the companies listed above has given me a valid reason for denying my application. This is discrimination against veterans and the VA Loan system. Amerisave provided me all the proper disclosures and I provided to them all the requested documents. After talking to his superior to obtain final approval, MrXXXX XXXX stated they would not approve the loan due to the county loan limit which is not an issue as explained by the XXXX XXXXXXXX XXXX XXXX. I've submitted at least 6 VA loan applications to different companies and no one other than XXXX and XXXX XXXX XXXX, XXXX credit score increase, has given a valid reason for denial. It is discrimination against VA loans and veterans to continue denying VA loans. I am not the only veteran with this issue. In fact, I was informed by one of the XXXX XXXX XXXX   processor, also with a new XXXX credit score increase, that the VA has sent out letters informing these financial institutions to stop excessively rejecting VA Loan applications. What options do we have to get our loans approved? Additionally, none of the companies with new credit score requirements have updated their website and many still advertise their prior credit limit requirement. Which leads to confusion when submitting an application and companies continually pulling your credit report because you know your score exceeds the posted limits.