Consumer complaint received 2025-05-30 00:00:00
Product: Mortgage — VA mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — Trying to communicate with the company to fix an issue with the application process
Company: UNITED SERVICES AUTOMOBILE ASSOCIATION
State: FL

Complaint narrative:
Issue : Made multiple attempts to have former spouse ( XXXX ) removed from VA loan via VA assumption process and also as an unrestricted transfer of ownership. All attempts resulted in denials citing the same reason : that the divorce decree does not award the property to myself ( XXXX ). 

Some clarifying info : -VA loan opened in XXXX -Ex-spouse divorced and vacated property in XXXX -Quit Claim Deed signed by ex-spouse ( XXXX ) in XXXX, removing her interest in the property -Ex-spouse remarried in XXXX -Ex-spouse has been desiring to be removed from VA loan for some time now due to applying for her own mortgage ( this is complicating things for her ) -Divorce decree has myself as 100 % liable for mortgage payments and all payments have been made by me since inception of loan in XXXX -Divorce decree from XXXX does have an error where it doesn't clearly indicate property awarding to either party ( the 'Assets ' section has a " XXXX ' next to 'Real Estate ' for both parties ). This was the reason XXXX signed a Quit Claim Deed in XXXX. 

Communication timeline with lender as follows : XX/XX/XXXX -- sent docs over to USAA / XXXX XXXX. Docs included divorce decree and a Quit Claim Deed signed by XXXX in XXXX removing her interest in the property in question. 

XX/XX/XXXX -- USAAXXXX XXXXXXXX denied my request citing the need for " a copy of the decree to dissolve the marriage or legal separation agreement verifying the property was awarded to the Veteran ... '' XXXX XXXX XXXX XXXXXXXX. 

XX/XX/XXXX -- -contacted VA for guidance. After speaking with a VA rep, they stated that the denial reason by the lender isn't an issue with the VA but is a lender interpretation issue that they've heard happens all to often. The rep did recommend that if the lender is denying due to the divorce decree verbiage, that an unrestricted transfer request would also satisfy the intent to remove XXXX from the loan without the need for a divorce decree ( since it is not a VA assumption per their Circular resource ). 

XX/XX/XXXX -- -requested appeal of USAAXXXX XXXX XXXX to instead remove XXXX via unrestricted transfer of ownership per VA rep 's guidance. 

XX/XX/XXXX -- USAAXXXX XXXXXXXX denied by request citing same reason as before. 

XX/XX/XXXX -- requested another appeal for review with some clarifying info on the divorce decree. I also stated that I didn't feel they were reviewing my case accurately and felt that the lender was displaying UDAAP behavior ( Unfair, Deceptive, Abusive... etc. ) and that I was considering filing a CFPB complaint.

Note : This second appeal request did clarify that while the divorce decree did not award either person the property due to an error made in the XXXX filing, that a clear error was made. However, I specified several other items within the document that indicate the intent by myself and XXXX for the property to be awarded to me ( parenting plan indicates myself at this address, mortgage payment liability was awarded to me, furniture was awarded to me, etc. ). This is further validated by having a Quit Claim Deed signed by XXXX in XXXX. 

XX/XX/XXXX -- denied for same reason as before. 

It is my opinion that USAAXXXX. XXXX is not reviewing this case carefully enough and with the completeness of " the whole picture '' in mind. The documents presented when clarified and presented as a complete package, clearly indicate the intent for the property. It is also my opinion that USAAXXXX. XXXXXXXX XXXX approach to decision these VA Assumption cases are far too rigid, lack anything other than a hyper-fixated reason to deny the request and thus infringe on the valuable benefits that a VA loan is supposed carry and award to military veterans.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation