Consumer complaint received 2021-02-22
Product: Mortgage — FHA mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — 
Company: PENNYMAC LOAN SERVICES, LLC. (FL)

This is in regards to property located at XXXX XXXX XXXX XXXX Florida. 

I tried to apply for FHA Streamline Program recently. I was told about this program from XXXX back in middle of the year of XXXX. It was explained that knowing that the Co borrow was furlough, that we will not be able to apply for it until he's working again. At that point in time about the furlough it was clearly explained, all we had to do was prove that both of us is working now. That no other documents needed to be sent just 4 paychecks. 
That there was no appraisal, that they can remove the PMI. That there was no process time or anything else.. and that there would be no need for any type of credit check or anything else. Nor were they looking for any type of FICO score.they also have stated to me that they could remove the PMI if I do the steam line which could save me a few hundred dollars a month. Plus all for me a interest rate under 3 %. it seems at that point in time they was doing everything to try to sell the streamline refinance. They made everything sound good.even convincing us not to leave them to go somewhere else to deal with them and they'll be able to assist me better. They said had more to offer than anybody else and I wouldn't have to go through so much red tape. What was being offer before and what we was told back then, seems to be two different things that is going on now. 

However, when we went to go and apply for the steam line refinance. Everything that we was told was completely false information. In the beginning of XX/XX/XXXX. Two different reps with spoken to, and two different reps had two different stories to tell about the streamline. Yet we spoke into reps back in XXXX about how this program runs. It seems like every single rep was not on the same page with each other, seems like fasle advertisement and miscommunication. 

So now when my coborrower had returned back to work and we're ready to do the steamline refinance now we're giving a hard time. 

Now we're told we need it a certain XXXX score in order to qualify which that was never told to us before. 

Next we was told that we needed to supply all these different documentation just like if we was doing a regular refinance. Which at that point in time before we was told we did not need to supply any documentation but pay stubs only. 

Back then I was told I could remove the PMI since I've been with the loan for over a year already. which in this case they told me they would not remove the PMI if I do the streamline.I wanted to have the PMI definitely to be removed. 

Back then I was told I did not need appraisal. Now I'm being told they have to come out to the house and appraise the house to see what it's really worth.Which one I bought this house was a brand new house.. 

I was told before I could get an interest rate under 3 %. Then they telling me no that's not the way that program runs you can only go down by 1 % intrest so that means I would get a high 4 % .If that or maybe I might have to pay more an interest. Which that does not make any sense. 

I was told back then there was no credit check. And you didn't have to have the perfect credit score. Now I'm told that has to be a credit check and I have to have a excellent credit score, to qualify. 

We was also told before if I applied for the streamline, that I was told we could do a cash out. Because I wanted to consolidate my credit card debt into one. Then we was told that we could not do any form of cash out with this program. 

We was also told that if I do the streamline refinance, that there was no form of any type of closing cost or any other fees. Then I'm being told that there is a number of fees associated with it. 

So it seems everything that we was told about the streamline refinance, all has been lies. They also provided Fasle advertisement. I'm not the only one who feels this way on their XXXX and community boards, and social media, everything that I'm staying here basically is what a lot of people are also complaining about in their reviews.. 

I want this program. Because a lot of things change between my job and my co-borrower 's job. While we live in an uncertain world right now, we are trying to save as much as we can. So we can never fall behind. So now I want to do this streamline refinance.. however I want to do it with the promise that was given. Me and my husband and borrow XXXX, has been back and forward talking to PennyMac, and we all are being told different stories and it seems like some type of bait and switch is going on here with some false advertisement. Which they are misleading a lot of consumers. We would like that to change and they need to better train their reps and what information they are providing to the customers.