Consumer complaint received 2021-04-10 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — 
Company: CrossCountry Mortgage LLC
State: FL

Complaint narrative:
On XX/XX/XXXX, I put an offer to purchase a house at XXXX XXXX XXXX XXXX, XXXX XXXX, FL XXXX that was listed by XXXX XXXX of XXXX XXXX XXXX XXXX ( Real Estate License XXXX -- FL ). On XX/XX/XXXX, I received an email from XXXX XXXX via my real estate agent noting the sellers received multiple offers and were now requesting highest and best offers to select the winning contract. Mr. XXXX asked me to submit my final offer for the home by XX/XX/XXXX at XXXX and noted all offers were going to be presented to the seller at one time and a final decision would be made by XX/XX/XXXX at XXXX. 

In addition to asking for my final and best offer, Mr. XXXX noted the sellers would appreciate a pre-approval letter from their preferred lender, XXXX XXXX from Cross Country Mortgages ( Branch NMLS XXXX ), though it was not required. Given my strong interest in the home and strong financial/credit background, I didn't have a problem getting a pre-approval from the sellers preferred lender since I was not obligated to choose them if I secured the contract. 

I contacted XXXX XXXX from Cross Country Mortgages ( XX/XX/XXXX ) to obtain the pre-approval letter and was directed to speak to XXXX XXXX ( Pre-Approval Coordinator ) via a phone call. I explained to MrXXXX XXXX my situation and urgency to get a pre-approval letter the sellers had requested.Mr. XXXX explainedthat in order to receive a pre-approval letter from his team, I would need to go through a thorough application process and submit my XXXX W2 's, 30 days of most recent pay stubs, and 3 months of most recent bank statements. It seemed odd to me they needed this much information, especiallyas I had already sourced a pre-qualification letter from another lender with less information. 

Given my interest in the house, I agreed to move forward with the process. As XXXX proceeded to ask questions, he also asked me to disclose my race/ethnicity. He said this was a voluntaryquestion. I was taken back by this questions since I was only asking for a pre-approval letter. I know lenders can ask this question when you are formally applying for a loan ( HMDA ), but I didn't know if they could ask for a pre-qualification. I was uneasy about the question and felt uncomfortablesharing that I was XXXX, so I told him I did not want to disclose that information. We ended the call and he followed up with an email asking for financial documents, which I submitted, The following day ( XX/XX/XXXX ) I received an email stating that I was pre-approved. In order to request the formal pre-approval letter, I needed to email/text him with the address of the property I was making an offer on and my desired price. I called XXXX at XXXX and let him know my desired price for the home listed by Mr. XXXX XXXX At XXXX, I received the pre-approvalletter via email. I then sent that letter to my agent to attach to my offer, which he submitted around XXXX. 

Immediatelyafter my agent submitted my offer, Mr. XXXX replied " the sellers chose an offer that was too good to pass up therefore they had to make a quick decision ''. This meant the sellers and listing agent did not keep up their word of having until XXXX and presenting all offers at once. Although the sellers have the right to do this, something did not feel right about the whole situation, particularly the non-obligated, but highly recommended suggestion to get a pre-approval letter from the sellers preferred lender. I was beginning to suspect both the lender and listing agent were talking to each other ( which I believe is illegal ). I was also concerned my decision to not disclose my race in the pre-approval process might have been used against me. 

I asked my agent to find out when the house went officiallyunder contract on the XXXX. He let me know that the house was placed under contract at XXXX. Given that new information, the timeline goes as follows : at XXXX I asked thelender to provide me a pre-approval letter, at XXXX the home goes under contract, and at XXXX I was given the pre-approval. This timeline could be seen as a coincidence, but given the circumstances, I feel that my decision not to disclose my race to the lender may have been used against me. I have no concrete evidence that this occurred, but I am filing this complaint to better understand if the lender was legally permitted to ask about my race for a pre-approval letter.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation