Consumer complaint received 2025-11-06 00:00:00
Product: Mortgage — FHA mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — Confusing or misleading advertising or marketing
Company: CrossCountry Mortgage LLC
State: IL

Complaint narrative:
I applied for a home loan with XXXX Mortgage ( XXXX ). I was assisted by XXXX XXXX, who presented herself as a loan XXXX and provided a detailed loan breakdown, rate, and cost estimate. Based on her presentation, I believed she was a licensed loan originator. 

After comparing offers, I discovered that XXXX XXXX is not a licensed loan XXXX. Another licensed lender confirmed that she appeared to be acting as an unlicensed middle person, which likely explains why her quote was more than XXXX percentage point higher than the rate I received elsewhere. 

During this process, XXXX XXXX and her associates at XXXX XXXX tried to persuade me to use their in-house realtor and presented a XXXX percent commission agreement. I later learned that the branch XXXX of XXXX also owns XXXX XXXX, creating a clear conflict of interest. 

No disclosure was ever provided about this affiliated relationship or any referral arrangement between XXXX and XXXX XXXX, despite the attempt to place me with their real estate office. I was never given any XXXX XXXX XXXX XXXX or similar document explaining that I was being referred to a related company. 

In Illinois, any affiliated business relationship between a lender and a real estate brokerage must be clearly disclosed under both RESPA and state law, specifically the Real Estate License Act and the Residential Mortgage License Act. XXXX and its representatives failed to provide this disclosure, which is required to inform consumers of potential conflicts of interest before they agree to use an affiliated company. 

In addition, XXXX XXXX and others connected with XXXX have advertised or mentioned that they can offer a free refinance. This statement is XXXX percent misleading because there is no such thing as a free refinance. Every refinance has costs that must be paid by the borrower or covered through lender credits that are reflected in the rate. Presenting a refinance as free misleads consumers about the true cost of credit and violates XXXX XXXX prohibition on deceptive advertising and misrepresentation of loan terms. 

Based on these actions, I believe XXXX and its representatives violated federal lending and disclosure rules under Regulation Z ( Truth in Lending Act ) and RESPA ( Real Estate Settlement Procedures Act ), as well as Illinois XXXX disclosure requirements, by : Misrepresenting the role and licensing status of XXXX XXXX. 

Steering me toward a higher-cost loan and specific affiliated realtor without required disclosures. 

Failing to provide an XXXX XXXX XXXX XXXX when referring me to their in-house real estate company. 

Failing to disclose an affiliated business relationship as required by Illinois law. 

XXXX or suggesting a free refinance, which is misleading and prohibited under Regulation Z. 

Failing to clearly disclose compensation relationships between XXXX, XXXX XXXX, and their representatives. 

I later found a XXXX video where XXXX XXXX publicly presents herself as a loan XXXX, confirming the misrepresentation concern : Video link : https : XXXX? XXXX

Company response to consumer: Closed with explanation