Consumer complaint received 2025-11-07 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Closing on a mortgage — Changes in loan terms during or after closing
Company: NAVY FEDERAL CREDIT UNION
State: MI

Complaint narrative:
Navy federal Credit Union ( " the bank '' ) discriminated against me based on my race and age through the mortgage application process. 

My closing date was delayed three times due to various issues the bank was having. 

Those issues as well as the timeline of events is as follows : - Prequalification letter issued XXXX XXXX XXXX ( START OF PROCESS ). The house was already selected and an offer was accepted. We had a purchase agreement at the time we sought the loan from Navy Federal. The expected closing date was XXXX XXXX 2025. 
- Loan officer ( XXXX XXXX ) went on vacation for 10 days and did not assign a back up or replacement person to continue to help me through the mortgage process. XXXX knew my race and age at this point in the loan process. This delayed processing and prevented us from moving at a reasonable pace. I made various attempts to call and get in touch with anyone who could help while the loan officer was out of office, but I never reached a person who could help and identify what information was still needed -- what information was needed to schedule the appraisal -- what were next steps. 
- Because of the loan officer 's absence- the appraisal was not ordered within a reasonable time and did not occur until XX/XX/year>, almost three weeks after the start of the application. 
- The appraisal returned and the loan process was passed on to Mortgage XXXX XXXX XXXX. The agreed upon purchase price was {$480000.00}. The appraisal returned for {$440000.00}. The appraisal company used was selected with bias by Navy Federal who intentionally wanted a lower appraisal. Navy Federal did not believe I would have the funds to cover the difference. When I did have the funds and was ready to move forward with purchase, Navy Federal took additional actions to sabotage the loan process and avoid lending to me because of my race and gender. 
- Mortgage XXXX XXXX XXXX began to request unreasonable information claiming they were required for underwriting per local, state and federal guidelines. I complied and submitted all information. 
- Allegedly Navy Federal 's system had technical issues for a " handful '' of applicants -- which my application was XXXX of. This technical issue prevented or slowed down underwriting 's ability to review all of my documentation. XXXX XXXX and XXXX XXXX avoided phone calls and emails during this period, further delaying the closing process. There was never a name mentioned for underwriting- just alleged, ghost-like " people. '' - The closing date was moved from XX/XX/XXXX to XX/XX/XXXX because of Navy Federal 's alleged tech issues. 
- XXXX then requested additional information that underwriting allegedly needed. This included communications from my XXXX XXXX XXXX parents proving that I live at home and do not pay rent. This also included proof that certain assets were paid off. Also explanations about why I changed my retire contributions and there were differences in the many pay checks I submitted to show income. XXXX requesting this information continued to delay the closing process. However, again, all information was provided. 
- ON THE DAY BEFORE CLOSING, XXXX, Mortgage Processor XXXX XXXX communicated that because my partner and co-borrower ( same race as me ) owned another property with an FHA loan, that he could not also get a conventional mortgage loan and use it as his primary residence. XXXX said that my partner would need a " waiver '' from the mortgage company that provided the FHA mortgage. I asked for the guidelines or statutes that prevent a person from having a FHA mortgage and also a conventional mortgage where their primary residence would be. I asked XXXX 's supervisor, Mortgage Production Supervisor, XXXX XXXX, to provide this information and she could not do so. Instead she offered options for us to choose a different mortgage product ( a Second Mortgage ), which would require another week of processing ( essentially starting the entire application and mortgage process over ). We asked her to provide the change in costs associated with choosing a different mortgage product. She said that she would do so in one hour from the time our phone call ended on XX/XX/XXXX. During this call, I expressed that I felt like Navy Federal was doing everything in their power to avoid lending to us and that I felt targeted and discriminated against. XXXX ignored these comments and spoke harshly the rest of the conversation. 
- Later on XX/XX/XXXX, XXXX communicated an entirely different requirement. XXXX claimed that per Navy Federal 's " guidelines '' we would need a waiver from the Mortgage Company that provided my partner 's FHA loan to pursue the alternative mortgage product. Meaning if we could not obtain such a waiver, there is no mortgage product Navy Federal could provide us. This was entirely different that what she expressed earlier on the call. On the earlier call, a waiver was not needed to do a different mortgage product. 

Based on the above, Navy Federal 's actions prevented the closing from occurring on XX/XX/XXXX. This has cost me significant damages, including time, money and the contracted for home purchase. 

Navy Federal did everything possible to avoid lending to me because of my race and gender. Navy federal made up requirements that do not exist. They could not provide the guidelines or cite to any public laws that support their alleged requirements. 

This has occurred before with other minority applicants and is documented in public court filings.

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