Consumer complaint received 2022-08-15 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — 
Company: PENTAGON FEDERAL CREDIT UNION
State: TX

Complaint narrative:
People with knowledge : XXXX XXXX, Analyst ; XXXX XXXX XXXX XXXX XXXX XXXX XXXX, XXXX, XXXX XXXX XXXX XXXX XXXX XXXX, XXXX XXXX XXXX XXXX XXXX XXXX, Mortgage Loan Processor XXXX XXXX, Team Lead ; PenFed XXXX XXXX, Senior XXXX of XXXX XXXX XXXX, Agent ; XXXX XXXX XXXX XXXX XXXX, Team Lead-XXXX ; XXXX XXXX XXXX XXXX Customer Service XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX and XXXX XXXX XXXX XXXX and husband XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX Agent I went online and filled out an application for a mortgage with PenFed on XX/XX/2022. I then called the 800 number to follow up and was connected to XXXX XXXX. She went over my application and then sent me a preapproval letter for a 30 year fixed conforming loan. I made an offer on a home using the preapproval letter. On XX/XX/2022, I received an email from XXXX XXXX stating he was my loan processor. According to that email my application was received XX/XX/2022, XXXX was assigned on XX/XX/2022, the remaining key steps for home ownership were credit approval, final approval, and est. closing of XX/XX/2022. As soon as I received the email I went online and esigned/submitted documents. After XXXX " ran everything through underwriting '' he said everything looked good. Throughout the process I was very responsive with answering any questions, replying to emails, submitting all requested documents, etc. I was told that I would have to sell my then current home in order for the loan to work and to have the funds for down payment. XXXX said the loan could be closed the same day they received the settlement statement from my home. 
I was asking for an earlier close date due to my being a XXXX  and wanting to move before I returned to XXXX. The closing date was changed to XX/XX/2022 after XXXX assured myself and my agent that everything was in order and good to go. A preliminary HUD statement was sent to XXXX XXXX on XX/XX/2022 showing the information from the sale of XXXX XXXX XXXX XXXX XXXX I received disclosures for my loan from PenFed on XX/XX/2022 and signed them. 
The closing did not happen on XX/XX/2022 however due to the sellers getting XXXX. The new closing date was changed to XX/XX/2022. 
On the reassurance of PenFed that they were ready to issue funds as soon as they received the signed settlement statement, I closed on my XXXX XXXX XXXX property on XX/XX/2022. XXXX was sent the settlement statement by my agent at XXXX XXXX XXXX on XX/XX/2022. 
At XXXX XXXX, Thursday, XX/XX/2022, XXXX sent an email to XXXX XXXX saying he was getting us submitted for final approval that morning. At XXXX XXXX  on XX/XX/2022, I received a personalized Closing Disclosure video in my email. So, I thought everything was fine with the loan because not one person had let me know anything otherwise. I was surprised at XXXX XXXX, XX/XX/2022, when XXXX XXXX sent an email to XXXX and cc me asking for an update and the clear to close for the following day. At XXXX XXXX  XXXX responded in email saying he was in a meeting but underwriting is working on reviewing the loan for final approval and that he had requested an update from underwriting. 
After several more attempts to reach out to PenFed by myself, my agent, and XXXX XXXX we received no responses or updates. 
I then received the Closing Statement from XXXX on XX/XX/2022 at XXXX XXXX. I thought they had gotten the information from PenFed and that we were good to go to closing at XXXX XXXX  on XX/XX/2022, but I was wrong. Apparently, no one from XXXX or XXXX had not been getting any response from PenFed since the last email XXXX sent to XXXX at XXXX XXXX  on XX/XX/2022. I began calling franticly trying to reach someone myself. Calls were sent to voicemail, no emails were returned ; PenFed seemed to just disappear off the face of the earth. 
I finally spoke with XXXX XXXX on the afternoon of XX/XX/2022 after my closing time. She informed me there was a glitch in the underwriting system and IT was looking into it. She apologized that no one had gotten back to me or informed me, or anyone else, of the problem. She said this was of high priority and would be resolved quickly. 
At XXXX XXXX, XX/XX/2022, I sent an email to XXXX XXXX asking for any updates. At XXXX XXXX, he replied with, One of our managers called and left you a voicemail, can you please return her call? She has the update for you. XXXX XXXX XXXX I responded to this email and said I did not receive a voicemail and could he provide me with the contact information for XXXX. I had attempted to call the number in his previous email at this point and it kept prompting me to put in an extension number of the person I was trying to reach. He never responded. 
I ended up calling the generic 800 number to try and see if I could get an extension number for her. I was told they couldnt provide that information but that they would send her a message letting her know to call me. XXXX finally called me about XXXX XXXX  XXXX on XX/XX/2022. I told her I wanted to have my friend, XXXX XXXX on the call and she agreed. I called XXXX on 3-way. XXXX then said that she needed a moment to review my file because she had just gotten it 30 minutes prior to her call to me. As she began going through it she said that there were notes and documents missing and that she could not tell me anything about what was going on. She said she would be reaching out to her team and that she would get me an update as soon as Saturday and the latest Monday, XX/XX/2022. 
The only update that we received on Monday, XX/XX/2022 was that they were continuing to work on approval and we would be informed as soon as there was information. 
On XX/XX/2022 at XXXX XXXX, XXXX XXXX sent an email to an email string and said ; Hello all, I just received an update from our underwriting manager and she advised we will have an update by end of business today, the file is still currently in review. I do apologize for the lack of communication I was out of the office Friday and was just updated yesterday on the status. Once I have an update I will be sure to let all parties know. 
On Tuesday, XX/XX/2022, XXXX XXXX called to tell me what the underwriters were requesting for additional documentation : Lead based paint discloser, statement for a new account that wasnt new, the HUD settlement statement from the home that was sold on XXXX XXXX, my HR contact information so they could verify my employment, and 2 other documents that she said were in my file because she put them there herself, and an updated payoff letter for XXXX XXXX with said per diem on it. I pointed out the Lead Based paint discloser was in the buyer agreement and sent her a PDF of just that page, the HUD settlement statement was sent to them on the morning of XXXX XXXX, verified that I didnt have any new accounts. I called XXXX XXXX and had to speak with a manager to get a letter that stated per diem because they use an automated payoff system to generate letters and sent that to her that evening. 
XXXX sent everything to underwriting and verified they had received it by the next morning. XXXX requested that the closing date be extended until XX/XX/2022 to give them time to get everything prepared. The sellers agreed and the new closing date was set for Friday, XX/XX/2022. 
When I requested an update on Wednesday, XX/XX/XXXX, I was informed that they were just waiting for an underwriter manager to review and sign off. My understanding is that no one opened the file that day. 
The next time I received a real update was on Thursday, XX/XX/2022. XXXX called me to say that underwriting was asking for an additional 5 % down in addition to the 20 % I was prepared to put down. As she was reviewing the notes from underwriting, she realized that there was a discrepancy in the numbers that underwriting had reviewed. She said she was going to contact them immediately and let them know of the incorrect information. 
Again, I received no communication until I spoke with XXXX XXXX on Thursday night. I had a group call with XXXX and XXXX XXXX and XXXX XXXX. XXXX informed me that if I didnt put an additional 5 % down, {$12.00}, XXXX, that they were going to issue a denial letter. She could give me no reason for the increase in down payment except to say it was the loan to value ratio. I asked her to tell me exact numbers and she again quoted me incorrect information that was in my file. I told her the information was still incorrect and she said she would have to go back to underwriting with the correct information. I also asked her verify loan product and terms because I had been told by XXXX and XXXX that somehow my loan product had been changed at some point and the loan rate I locked in at had also been changed without my permission or knowledge. She told me the loan product and rate were correct. When asked about the previous disclosures that had been sent to me and signed by me, XXXX responded with they had been sent out prematurely and that they could not honor those numbers. 
As of yesterday, XX/XX/2022, I received an email from XXXX at XXXX XXXX. She stated that she got clarity on my question regarding the increase in down payment from 20 % to 25 %. She said the loan to value needs to be at 75 % for them to do the loan. I responded that at 25 % down it puts the loan to value ratio at 68.61 %. Her response was that they use the purchase price of $ XXXX. 
My contract with the sellers has now expired. I am in breach of contract and am now open to being sued because PenFed did not do what they were supposed to do. I have sold my property based on the information they provided to me. I am now in a lease-back until XX/XX/2022 but I currently have no where to go. I am basically XXXX  and feel that PenFed is trying to extort more money after they already had agreed to loan terms and sent disclosures.

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