Consumer complaint received 2025-06-19 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — Negative impact of inaccurate appraisal
Company: Rocket Mortgage, LLC
State: NJ

Complaint narrative:
XXXX XXXX, XXXX XXXX XXXX XXXX XXXX CFPB Complaint # : XXXX Loan # : XXXX We formally seek regulatory escalation through the CFPB and request immediate intervention, enforcement, and restitution based on Rocket Mortgages pattern of misconduct. Their XX/XX/XXXX response failed to disclose material facts, omitted critical servicing activity, and relied on reputational statements and boilerplate language rather than evidence or legal compliance. 
We urge Rocket Mortgage to refrain from responding further with slogans or internal " ISM '' references. These do not cure legal violations nor rebuild trust. At this point, we have no confidence in Rocket 's role as a fair, compliant, or transparent lender, and this matter now demands regulatory, legal, and public scrutiny. 
XXXX. Silent Internal Equity Reduction Concealed Admission ( See Exhibit Z ) At or immediately following the submission of our initial CFPB complaint, Rocket Mortgage silently recalculated our home equity reducing it by over {$43000.00}, from {$460000.00} ( XX/XX/XXXX ) to {$410000.00} ( XX/XX/XXXX ). This was not disclosed in their response to the CFPB, and no communication was made to us as the borrowers. 
This internal adjustment precisely mirrors the XXXX appraisals submitted as Exhibits A and A1, confirming that the original XXXX XXXX XXXX based on a falsely inflated GLA was materially inaccurate. 

We now formally request : The exact date Rocket executed this internal valuation change. 
A copy of the servicing log or system trigger that recorded the event, Discredit any assertion that this change was a mere " estimate. '' The amount and timing clearly indicate a deliberate post-complaint correction of prior malpractice Violations : TILA 12 CFR 1026.17 ( material servicing changes not disclosed ) Dodd-Frank 1639e ( b ) ( valuation manipulation ) UDAAP 12 U.S.C. 5531 ( a ) ( deceptive concealment ) XXXX. Inflated XXXX XXXX XXXX Refinance Qualification The appraiser provided an incorrect drawing within appraisal to justify inflated value, creating a non-compliant approval of Refinance. 
In XXXX, Rocket used an XXXX appraisal reflecting XXXX sq ft, over XXXX sq ft larger than actual XXXX GLA. This inflated our home value to {$480000.00}, justifying a refinance that would not have passed underwriting if based on correct data. The appraisal included an artificial XXXX expansion of the property footprint ( XXXX instead of XXXX ). Rocket has never corrected or invalidated this appraisal. 
XXXX : XXXX XXXX XXXX  | XXXX : XXXX XXXX XXXX ( disqualifying ) XXXX Inflated Property - Incorrect Drawing Please note this drawing was omitted by Rocket Mortgage in the Consumer Response attachments. Drawing shows a sketch with a XXXX added depth of 28 Violations : TILA 129E / Dodd-Frank Title XIV Appraisal independence and accuracy USPAP False valuation and physical misrepresentation XXXX. False Credit Reporting During CARES Act Forbearance In XX/XX/XXXX, while under a valid CARES Act forbearance due to job loss, Rocket falsely reported us delinquent, in direct violation of federal accommodations. Our dispute was ruled valid by TransUnion, yet XXXX refused to correct the report, sabotaging our XXXX FHA refinance. 
Violations : FCRA 1681s-2 ( b ), CARES Act 4021 UDAAP Retaining control through credit suppression XXXX. Refinance Sabotage and Coerced Equity Forfeiture Rocket in CFPB Stated XXXX, which is clearly incorrect Denied internal refinancing, Leveraged false derogatory reporting to disqualify us externally, Coerced us into a Home Equity Agreement ( HEA ) surrendering 40 % of future equity and mandating sale within 10 years. 
We were forced to sign under financial duress a direct result of Rockets own misconduct. 
Violations : FCRA / UDAP Coercive conduct Consumer Financial Abuse This exhibit presents evidence of a false delinquency reported by Rocket Mortgage for the account of XXXX and XXXX XXXX. According to the attached credit, Rocket Mortgage reported a missed mortgage payment for XX/XX/XXXX. However, due to standard reporting practices, this entry reflects a missed payment due in XX/XX/XXXX. This false report is a direct violation of the CARES Act amendments to the Fair Credit Reporting Act ( FCRA ), and relevant Consumer Financial Protection Bureau ( CFPB ) guidance. 
XXXX. Applicable Federal Protections and Violations CARES Act Section 4021 ( 15 U.S.C. 1681s-2 ( a ) ( 1 ) ( F ) ) : Requires that if a consumer was current prior to an accommodation ( such as forbearance, deferment, or modification ), their credit obligation must continue to be reported as current. 
CFPB Guidance XXXX # XXXX & # XXXX : Prohibits furnishing delinquency for any period covered by an accommodation. 
FCRA 623 ( a ) ( 1 ) ( A ) : Prohibits furnishing information to credit bureaus that is inaccurate or incomplete. 
CFPB Guidance XXXX # XXXX & # XXXX : Reporting must reflect the full status of the trade line ; comment codes alone are insufficient. 
XXXX. False Delinquency Reporting by Rocket Mortgage The credit report image shows an orange ' X ' under XX/XX/XXXX. This indicates that Rocket Mortgage reported a missed payment for the month of XX/XX/XXXX, as reporting of late payments is deferred by XXXX month. This delinquency was reported despite the Sciortinos being under hardship accommodation terms related to the COVID-19 pandemic. No payment was actually missed. This reporting led to credit score damage and contributed to a denied refinance application in XXXX. 
XXXX. Resulting Harm Credit score reduction Denial of refinance by XXXX in XXXX Forced Home Equity Agreement resulting in loss of 40 % property equity Legal claims under FCRA, CARES Act, and New Jersey Consumer Fraud statutes XXXX. Coercive XXXX Loan Modification Rocket imposed a XXXX loan without : Disclosing amortization schedules, Revealing the appraisal valuation it was based on, Acknowledging that the XXXX data had been internally corrected. 
This modification, rooted in fraudulent valuation, created {$190000.00} in additional interest burden, of which {$49000.00} is directly attributable to Rockets misrepresentations.

Violations : TILA 12 CFR 1026.17 Missing material disclosures RESPA / UDAAP Depriving informed consent XXXX. EXHIBIT K : {$230000.00} in Documented Damages Equity Forfeiture ( HEA ) {$140000.00} FHA Refinance Loss {$9600.00} Overpaid Taxes/Insurance/Interest {$13000.00} Credit Defamation {$7500.00} Forced Sale Clause Loss {$6000.00} Legal/Admin Burden {$2500.00} XXXX XXXX {$3300.00} XXXX Loan Interest Premium {$49000.00} Total Financial Harm {$230000.00} XXXX. Public Disclosure and Agency Escalation Given Rockets refusal to acknowledge wrongdoing or offer restitution, we are initiating full public disclosure and regulatory escalation. Rocket dismissed all complaints, offered no Remediations. Our formal complaints are being filed with : Federal Trade Commission ( FTC ) HUD Office of Inspector General New Jersey Attorney Generals Office FFIEC Appraisal Subcommittee This case is now a matter of public interest. It reveals the broader risk to American homeowners from lender-manipulated appraisals, forced servicing outcomes, and post-crisis credit defamation. 



Requested Relief : Immediate correction of all false credit entries. 
Disclosure of internal servicing records and equity adjustments.

Disclosure of the internal appraisal or valuation used for the XXXX note. 
Full restitution of {$230000.00} in documented damages. 
Rescission of the HEA agreement and restoration of forfeited equity.

Formal referral to CFPB Enforcement, FTC, HUD, NJAG, and FFIEC. 
Exhibit Index : Exhibit XXXX XXXX XXXX-Compliant Appraisals XXXX no GLA inflation ) Exhibit XXXX XXXX XXXX XXXX, Fabricated GLA Exhibits F/G TransUnion Disputes and Credit Reports Exhibits XXXX CARES Forbearance Documentation Exhibit J Home Equity Agreement ( HEA ) : XXXX XXXX Forfeiture Agreement & Sale Clause Exhibit K Financial Harm & Damages Summary Exhibit L XXXX XXXX XXXX Amortization Comparison Exhibit Z Rocket Mortgage Portal : Internal Equity Correction Screenshots Link to Exhibits https : XXXX # XXXX Appendix A : Redlined Response to Rocket Mortgage Letter Dated XX/XX/XXXX Borrowers : XXXX & XXXX XXXX CFPB Complaint # : XXXX Loan # : XXXX Rocket Statement # XXXX : " We did not find any evidence to substantiate the claims raised ... '' Redlined : This statement is conclusory, unsupported by fact, and contradicted by Rockets own internal recalculation of our equitymade silently in timeframe of initial CFPB complaint. Proof provided within Exhibit Z. 
Violation : UDAAP ( 12 U.S.C. 5531 ( a ) ) A deceptive act includes the withholding of material facts that mislead consumers. 


See : Exhibit Z Screenshots showing {$43000.00} equity reduction post-complaint Exhibits XXXX XXXX-compliant appraisals Rocket Statement # XXXX : " You agreed this was a fair estimated value of your home... '' Redlined : This mischaracterizes consent. We never reviewed nor received the underlying GLA calculation before closing. The " agreement '' referred to was procedural and without informed disclosure of inflated square footage. 
Violation : TILA 12 CFR 1026.17 Requires disclosure of material terms ( i.e., valuation basis ) USPAP / Dodd-Frank Title XIV Mandates accurate and independent valuation See : Exhibit XXXX XXXX XXXX XXXX showing inflated XXXX depth Exhibits C/D XXXX ANSI-compliant appraisals debunking Rockets value Rocket Statement # XXXX XXXX " Public records at the time supported the GLA ... '' Redlined : Rocket relies on MLS and outdated public recordsneither of which are ANSI-compliant nor sufficient under USPAP. This is circular logic, as prior public records were themselves shaped by previous inflated appraisals. 
Violation : Dodd-Frank 1472/ 15 U.S.C. 1639e Requires independent appraisal ; MLS is not legally sufficient USPAP Standard XXXX ( b ) Misleading reliance on unverifiable third-party data See : Exhibits C, XXXX XXXX verified measurements Exhibit XXXX Fabricated square footage diagram Rocket Statement # XXXX : " The appraised value did not impact your loan amount ... '' Redlined : This is factually and legally incorrect. The inflated appraisal allowed a loan-to-value ratio high enough to qualify for a refinance that otherwise wouldnt have passed. The modification and current loan would not exist but for the flawed origination. 
Violation : TILA 129E Prevents material misstatement that influences loan qualification UDAAP Facilitating a transaction through misrepresented valuation See : Exhibit J HEA contract ( resulting from inflated LTV ) Exhibit K Documented financial harm including {$140000.00} equity forfeiture Rocket Statement # XXXX : " You had XXXX business days to cancel ... '' Redlined : The Right to Cancel applies only when the borrower is in possession of all material facts. We were unaware of the false GLA and appraisal misrepresentation until years later. Therefore, the rescission window was legally void. 
Violation : TILA 12 CFR 1026.17 & 1026.23 Requires informed consent with correct valuation RESPA Prohibits closing on false or misleading terms See : Exhibits XXXX, C, D Timeline of corrected appraisals vs. Rockets GLA Rocket Statement # XXXX : " In XX/XX/XXXX, you were past-due ... '' Redlined : This reference to delinquency ignores our active CARES forbearance protection during this period. Reporting it as delinquent violates federal COVID accommodation laws and CFPB guidance. 
Violation : CARES Act 4021 ( 15 U.S.C. 1681s-2 ( a ) ( 1 ) ( F ) ) Credit must reflect current status if borrower was current before forbearance FCRA 623 ( a ) ( 1 ) ( A ) Prohibits furnishing incomplete or inaccurate data CFPB Guidance FAQ # XXXX & # XXXX See : Exhibit H/I Forbearance letters Exhibit G XXXX  dispute results Exhibit F XXXX XXXX screenshot showing false delinquency Rocket Statement # XXXX : " You did not accept the payment deferral ... '' Redlined : We were left with no other option due to the manufactured delinquency and loan blockage. The XXXX modification and HEA agreement were accepted under economic coercionnot voluntary negotiation. 
Violation : UDAP / UDAAP Economic duress invalidates borrower choice TILA 12 CFR 1026.17 Failure to disclose valuation or amortization RESPA Failure to ensure fair loss mitigation options See : Exhibit J HEA showing 40 % equity forfeiture XXXX XXXX Loan amortization table showing {$49000.00} premium Exhibit K Financial harm summary Rocket Statement # XXXX : " We are not required to provide a new amortization schedule ... '' Redlined : This is a misstatement. While not required under certain loan types, material modifications to loan term and equity structure trigger TILA and RESPA disclosure obligations. 
Violation : TILA 12 CFR 1026.17 ( c ) ( 1 ) Clear disclosure of payment obligations UDAAP Concealment of economic impact from servicing change See : Exhibit L XXXX vs. XXXX interest breakdown Exhibit J Modification documents with missing schedule Rocket Statement # XXXX : " Our records confirm the XX/XX/XXXX payment was reported late ... '' Redlined : This was during CARES Act coverage. Rockets system confirms they placed us on forbearance XX/XX/XXXX, XXXX failed to apply the accommodation retroactively or to dispute timeframes. This is an outright violation of federal credit law. 
Violation : CARES Act 4021 No negative reporting allowed for covered periods FCRA 1681s-2 ( b ) Failure to correct inaccurate credit data UDAAP Harmful misuse of inaccurate derogatory data See : Exhibits F, G, H, I Forbearance, credit dispute, and credit bureau results Exhibit E Refinance denial linked to false delinquency Rocket Statement # XXXX : " We trust our response helped clarify your concerns ... '' Redlined : This conclusion ignores the core issues raised : appraisal fraud, silent servicing adjustments, forced equity surrender, and false credit reporting. No evidence or lawful justification was presented in response. 
Violation : UDAAP ( 12 U.S.C. 5531 ( a ) ) Blanket denials in the face of evidence are deceptive CFPB Complaint Protocol Misleading the regulator constitutes an enforcement trigger See : Exhibit Z Rockets silent equity correction Entire Rebuttal Letter & Exhibits AL [ end of document ]

Company response to consumer: Closed with explanation