Consumer complaint received 2021-08-20
Product: Mortgage — Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — 
Company: PENTAGON FEDERAL CREDIT UNION (MI)

In XX/XX/XXXX I applied for a refinance with Penfed. I was assigned to loan office XXXX XXXX NMLS| XXXX. From the beginning of the transaction I was approved for a mortgage with the following terms : 20 year mortgage 2.875 %, escrow waiver, debt payoff, appraisal waiver. From XXXX until XXXX I was assigned a processor XXXX XXXX that was very rude and continued to mishandle my file. Ms . XXXX ran my credit unnecessarily without my permission and in an effort to find reasons to have my loan denied. Ms . XXXX eventually completely stopped communicating with me and lied and stated she sent a denial letter. After many calls, emails and request for response Ms. XXXX reinstated the application and the case was assigned to XXXX XXXX. XXXX started processing the file which the terms never changed but the online portal did not accurately reflect my profile. I repeatedly asked that the loan type ( single family not 2 family ) and amount be corrected. It was not. Once I had turned in all of the updated requested documents Ms . XXXX continued to delay the processing. While she was out of town I was told that I now needed an appraisal. No one explained the change, no redisclosures were done and so I proceeded in XXXX to have the appraisal done. I paid for the appraisal and it was completed on XX/XX/XXXX. From nearly 2 months I was told the varying stories as it pertained to the appraisal including the appraisal couldn't be found and that the appraisal was not needed. But I was never given a copy of the appraisal which is what was required per the disclosures with XXXX. Finally after nearly 8 weeks I was sent a copy of the appraisal and scheduled to close. When I received the disclosures, the appraisal fee was not indicated as paid and there was an escrow. I contacted the processor, processing manager and loan officer. After several days I received a CURT response from Ms. XXXX XXXX stating the waiver was in the file the disclosures were not updated but the closing documents would be correct. On XX/XX/XXXX 7 months after my initial application with several additional cost, losses and credit pulls the closer arrived with documents with an escrow. I refused to sign. When I contacted Penfed XXXX sent me an email stating the escrows would not be waived due to my DTI being over XXXX. My DTI was always over XXXX from the beginning. My LTV is 54 %. I never agreed to an escrow. It is my belief that Penfed has acted in a predatory manner discriminatorily handling my file in an effort to deny my loan. I believe from the lack of service that this discrimination is a practice that is used to deny loans to minorities or to put minorities in loans that are either so burdensome that lose their home. Or to hold escrows for their own financial benefit. I believe this practice is being used against a particular class of applicants. Upon my refusal to close the loan officer stated she would request a return of my appraisal fee. I believe the acts of PENFED have been detrimental to my ability to get the best loan for me. The interest rates have increased, I have paid unnecessary cost and fees at a higher expense.