Consumer complaint received 2022-05-31 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Closing on a mortgage — 
Company: NAVY FEDERAL CREDIT UNION
State: GA

Complaint narrative:
This is the initial e-mail that was sent to NFCU : To whom it may concern my name is XXXX XXXX, I have been with NFCU since XXXX. This credit union has assisted me in developing and maintaining my personal and business financial portfolio. Recently, XX/XX/XXXX I applied for a mortgage with NFCU. I was given my first pre-approval letter XX/XX/XXXX XXXX. I received an updated pre- approval XX/XX/XXXX XXXX. XX/XX/XXXX I received a revised approval to fit the purchase price of home XXXX. XX/XX/XXXX I received a updated pre-approval XXXX. 
In XXXX I along with my ( XXXX ) children and mother moved from our ( XXXX ) bedroom home in XXXX GA to an apartment in XXXX GA to save money and eventually purchase a home in XXXX Georgia . The goal was to save for ( 2 ) years then purchase. My journey to home ownership with NFCU started XX/XX/XXXX. I was assigned a loan officer and provided ALL necessary document request needed to generate a pre-approval letter. I was told several times throughout this process that my credit score, finances and debt to income ratio were where they needed to be and it was estimated that my debt to income ratio was right at XXXX  percent. Throughout this process I made several solid attempts to purchase a home. Due to the quality of the market I lost several bids. 

On XXXX XXXX I successfully won a bid on XXXX XXXX XXXX XXXX XXXX GA XXXX. XXXX was that I utilized XXXX to provide all cash offer in addition to {$5000.00} option money. I also provided XXXX in earnest money and negotiated fees. The appraisal and inspection of the home was completed immediately. Because the home appraised for less than preferred, XXXX and my agent attempted to request a reconsideration of appraisal. In the interim, I was contacted by my loan officer and notified that my income was reviewed via underwritting, and it was determined that my income to debt ratio was 113 % and my loan was denied. Unfortunately, there was no opportunity provided to review debt, options or discuss income to ensure that all options had been exhausted.

The issue that I have is, I have worked ( 2 ) almost ( 3 ) years as a independent business women and also maintained a full-time job to purchase a home for me and my family. I have sacrificed everything that provided pleasure and followed the appropriate steps needed to achieve home ownership. I was transparent and detailed about my needs, expectations and wants. I even asked for increase because I saw a opportunity. 

I know that the underwriting process, specifically income and debt review can be scrutinized and there maybe financial obligations to address at closing. I knew that my pre-approval was contingent on multiple factors. 

NAVY Federal Bank operating as a not for profit, mission is to make members financial goal priority. my issue and complaint is that I do not believe MY financial goals have been consider nor are they a priority. Im currently locked into a contract that I cant fulfill and therefore have been put in a position to forfeit XXXX. I do not think that my application was handled with care and my ultimate goal in mind. My estimate was 63 % off, statistically speaking this would not be considered an estimation, more so a quote. If the home was added to the raw data including debt provided and income my loan officer should have projected that the home alone without my debt would have put me at or around 63 % debt to my income.

When I submitted my income simple math would have provided my total earnings. Confirming that all earning were provided without the ability to increase that number and only remove for deductions, simple math would have provided highest possible monthly and yearly earning. I was told that the average over the years was utilized to calculate income. Again, looking at this raw data this would have provided indication that I was no where fit to qualify for XXXX. 

What I find most interesting is that I was told the underwriters did not provide explanation or detail- just denial. However, my loan officer was able to move around numbers to see if it would change my DT from 113 %. If there was no information provided How was it possible to move around numbers? My Loan officer had the same numbers available to her before and after underwriting, therefore she should have known that my DT would be around/at 113 %.

The role of a loan office is to evaluate, authorize, or recommend approval of loan applications. Processing applications at nearly 63 % over what is required to approval a loan would mean that the loan officer does not have the necessary skills to determine such factors.

The worst part about this entire ordeal, is Im expected to wake up everyday knowing my life savings is GONE. Im supposed to wake up every day and just start over. I have been in complete shock, disgust and have had several breakdowns within the last 24 hours, all while trying not to cry in front of my children. How can this just happen and the only thing I receive is a Im deeply sorry XXXX XXXX, make sure you contact your agent. I would accept a denial and would walk away- no problem. But I lost XXXX! How could things be so drastically different and red flags not occur during the process? I can not just accept that I lost XXXX and that is it. 

I am asking that someone please reach out to me, Im not okay. Im human and this hurts bad. Someone is going to read this. I just ask that you please reach out to me. I know this is a professional entity, I get that. I know that business is business. But this is not ethical, these types of occurrences dont just happen. The very bank that has helped me reach my financial goal has played a major role in the loss of my savings. 



MISSION : As a member-owned and not-for-profit credit union, Navy Federal 's mission is to always put members first. Each area of the credit union operates with the same purpose in mind : making members ' financial goals the top priority Navy Federal Credit Union has contacted XXXX XX/XX/XXXX and terminated all contracts with XXXX due to lack of understanding.

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