Consumer complaint received 2025-05-02 00:00:00
Product: Mortgage — VA mortgage
Issue: Closing on a mortgage — Changes in loan terms during or after closing
Company: CITIBANK, N.A.
State: VA

Complaint narrative:
We are longtime Citi Bank clients ( 10+ years ) and were treated unfairly during our VA mortgage application process. We applied for a VA loan on XX/XX/XXXX, and were initially pre-approved for {$700000.00} without conditions. Upon requesting {$800000.00}, the loan officer stated it would require underwriting. After submitting all requested documentsincluding XXXX tax filings and account balancesthe underwriters reduced the approval to {$680000.00}. 
We offered to pay off a vehicle to strengthen our application, and Citi then issued a pre-approval for {$770000.00} with conditions. We found a home for $ XXXXbelow our approved amountand met all the stated conditions. They later removed the vehicle payoff requirement but suddenly raised concerns about childcare costs. We submitted updated documentation proving our costs had dropped to $ XXXXmonth from $ XXXX. We again offered to pay off the car loan and provided full bank statements and {$11000.00} down payment. 
Despite this, the loan was denied at the closing stage, with the bank claiming insufficient assets as shown in the disclosure and underwriter document package dated XX/XX/XXXX. Our Monthly income and their asset calculations were inaccurate and ignored our rental incomeeven though it was clearly shown on our XXXX and XXXX tax returns and supported with lease agreement showing each property are leased and one of the properties even generates {$950.00} surplus income. This denial came after four months of delays, document submissions, and miscommunications As a result of Citi Banks incompetence and last-minute denial, we have lost : {$3000.00} in Earnest Money Deposit {$680.00} in Appraisal Fees {$300.00} in Title Costs Over 4 months of time, stress, and labor Our current home, because we had already informed our landlord we would be moving out by end of XXXX Now, with no home to move into, thousands of dollars lost, and our lives disrupted, Citi Bank walks away without accountability. Their team was not only unqualifiedthey were careless with our lives. Their failure to act in good faith, their misleading approvals, and their contradictory decisions are unacceptable and harmful. 
And worst of all : as someone who has served this country, and discharged as a service XXXX veteran, we were denied a right that this nation guaranteesaccess to a VA loan. Citi Banks failure to uphold that promise is not just wrong ; it is disgraceful. This experience has caused significant financial and emotional harm. Citi Banks mishandling and inaccurate underwriting practices must be investigated. If this is not resolved fairly, we are prepared to pursue legal action. 
We demand Citi Bank take full responsibility for this mistreatment and the damages caused. If not resolved immediately, we are prepared to pursue this matter Documentation supporting all claims is attached and all other document submittals and document issued by Citi bank can be found in their system database. We can provide any necessary documents.

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 monetary relief