Consumer complaint received 2020-07-02
Product: Mortgage — Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — 
Company: JPMORGAN CHASE & CO. (TX)

On XX/XX/XXXX I applied with Chase Bank for a Texas cash-out refinance on my personal residence. After answering in-depth questions and supplying documentation, the XXXX XXXX XXXX whose NMLS ID ends in XXXX quote a loan produce and rate followed with disclosures of the same. Additional statements were made including but not limited to appraisal waiver applied, existing survey would be acceptable with final determination by title and that due to the very low loan to value ratio that only 6 months cash reserve would be required. The advisor then stated that I was required to pay {$500.00} at application, and that this {$500.00} would be credited at closing to the transaction. 

Subsequently, once the underwriting began, Chase demanded 18 months of cash reserves which I provided support for ; demanded reserves for specified cash balances in my XXXX account in reserve for a provision in my XXXX divorce decree that had previously been satisfied with my ex-wife ; demanded further cash reserves beyond 18 mos balances which were held in Chase accounts by requiring accounts at other banks ; and demanded I self-attest that I am XXXX  when in fact I am W2 employed with a XXXX XXXXXXXX XXXX  XXXX. 

Chase then demanded that an appraisal be ordered contrary to the original statements when I paid the {$500.00} ; and Chase demanded that 67 % of the cash-out proceeds be held in escrow to transfer at closing to my ex-wife as Chase was declaring this loan to now be a settlement of OWELTY lien. 

My complaint is three fold : 1 ) Chase changed the terms and created a situation where the loan product is not an allowable loan ; i.e., cash out or OWELTY rate & term refinance but not combined ; 2 ) Chase ordered an appraisal which is available to use by another lender who actually understand how to process and OWELTY refinance and refuses to allow for the appraisal to be released and thereby causing duplicate expense and further delay ; 3 ) Chase has claimed that new requirements for conventional loans have been published as a result of COVID-19 and now requires me to assert that I am self-employed - which I believe Chase is doing so that the rate Chase locked for this loan and the type of product can be changed to cover up their series of errors and charge more for the loan.

Lastly, Chase has collected all of the documentation requested and has edited the entries on the application and demanded that I sign these modified forms. I notice several errors and omissions on their part in how they recorded the data they demanded and to which I provided documents, yet they have not correct those same forms.

I believe Chase is acting in bad faith and is fabricating unreasonable demands to delay progress on the application because they know they can not proceed as a split cash-out/OWELTY rate & term loan as they have constructed. The Chase management has given excuses that they can not release the appraisal because they could be help liable ; stated that the COVID-19 rules requires XXXX attestations and will not confirm that Chase will refund the {$500.00} I paid at application.