Consumer complaint received 2026-03-02 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — Changes in loan terms during the application process
Company: JPMORGAN CHASE & CO.
State: GA

Complaint narrative:
CFPB Complaint Refinance Restructure, Late-Stage Re-Underwrite, and Resulting Consumer Harm ( JPMorgan Chase Bank , N.A . XXXX To Whom It May Concern, I am submitting this complaint regarding the handling of a refinance application with JPMorgan Chase Bank , N.A . for my property located at XXXX XXXX XXXX, XXXX, GA XXXX ( XXXX XXXX. XXXX and related file XXXX ). The refinance began in XX/XX/XXXX and concluded with a denial dated XX/XX/XXXX, after I had already been advanced to the final stages of closing. This matter began with my original refinance request for {$40000.00} in XX/XX/XXXX. Chase evaluated the application and, citing debt-to-income constraints and related underwriting considerations, declined the {$40000.00} request. On XX/XX/XXXX, Chase issued a formal Notice of Counteroffer reducing the loan amount to {$32000.00} under a conventional XXXX-year fixed structure at XXXX %. I accepted this counteroffer in good faith. The reduction from {$40000.00} to {$32000.00} was based on underwriting concerns that were explicitly referenced at that time. I proceeded under the revised structure exactly as offered by Chase. On XX/XX/XXXX, Chase issued a Closing Disclosure reflecting the {$32000.00} loan amount and scheduled a closing date of XX/XX/XXXX, with disbursement on XX/XX/XXXX. At this stage, I reasonably understood the loan to be approved under the revised terms. Insurance and escrow coordination had progressed in reliance on the scheduled closing. Near the end of the process, I asked a narrow question : whether adding my father as a XXXX could potentially restore the original {$8000.00} reduction and allow the loan to return closer to the initial {$40000.00} request. I was advised that this could be feasible. My father was interviewed by Chase. Subsequently, I was informed that because my father does not occupy the property, he could not be used in the manner discussed. I was then told that the refinance would need to be restarted as a new application and that I would be required to submit an additional {$650.00} fee, even though {$650.00} had already been paid in connection with the original refinance file. I was also informed that restarting the process could extend the timeline by an additional XXXX to XXXX months. I objected to paying a second {$650.00} fee for a file that had already progressed to Closing Disclosure stage. After raising this concern, I was advised that the fee would be waived and the file would continue without requiring an additional deposit. However, the file was then restructured to include my parents as borrowers. A new Loan Estimate was issued under XXXX XXXX. XXXX on XX/XX/XXXX. Additional credit inquiries occurred, and my credit scorXXXX dropped from XXXX ( as reflected in XX/XX/XXXX disclosures ) to XXXX ( as reflected in the XX/XX/XXXX credit disclosure ). On XX/XX/XXXX, a Lock-In Agreement was issued listing XXXX borrowers. On XX/XX/XXXX, I received a Statement of Credit Denial citing : Excessive obligations in relation to eligible income Property not occupied by all borrowers Cash out proceeds exceeds guidelines The denial reasons directly mirror the underwriting concerns that originally led Chase to reduce the loan from {$40000.00} to {$32000.00} in the XX/XX/XXXX counteroffer. Those concerns had already been addressed through the revised {$32000.00} structure that progressed to Closing Disclosure. My complaint is not that the original {$40000.00} request was declined. I accepted the counteroffer. My concern is that after issuing a formal counteroffer, advancing the file to Closing Disclosure stage, scheduling closing dates, coordinating insurance, and allowing reliance on the approved {$32000.00} structure, Chase permitted late-stage structural modifications without clearly advising that doing so would trigger a full re-underwrite and potentially void prior approval. As a result : The loan was materially restructured after Closing Disclosure. Additional credit inquiries were generated. My credit score decreased significantly during the process. The file was ultimately denied under reasons substantially similar to those that had already been accounted for in the original counteroffer. I experienced financial and credit harm after relying on the banks revised structure and scheduled closing. I believe this reflects a failure to clearly disclose underwriting risk associated with late-stage structural changes and a breakdown in procedural handling after issuance of revised disclosures and a scheduled closing date. Requested Resolution : I respectfully request : A formal review of the handling of this refinance file and the late-stage re-underwrite. Clarification of why the file was permitted to reach Closing Disclosure and lock stage before final underwriting confirmation under the revised borrower structure. Review and remediation of the credit impact resulting from repeated inquiries tied to the reopened file. Consideration of reinstating the refinance under the previously accepted {$32000.00} sole-borrower structure without additional fees or unnecessary credit pulls. I am seeking a fair procedural review and reasonable remediation for the credit and financial impact resulting from the late-stage restructuring and denial. Respectfully, XXXX XXXX XXXX XXXX, GA

Company response to consumer: Closed with explanation