Consumer complaint received 2025-11-23 00:00:00
Product: Mortgage — FHA mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — Application denials
Company: SOUTHSTATE BANK CORPORATION
State: FL

Complaint narrative:
I recently acquired a new mortgage lender company XXXX South State Bank ) and was approved for a loan in the amount of {$160000.00}. The lender messaged me verbally the amount of loan I qualified for. She never forwarded a formal pre-approval letter. Upon located a property for approximately for {$130000.00}. I informed the lender ( XXXX XXXX ), I would need a copy of the mortgage application and under-writing summary in efforts to submit the city of XXXX XXXX for down payment assistance. She said I do not qualify for down payment assistance because my annually salary is over the median of almost {$80000.00}. However, an updated median for the city was forwarded to me by the city manager down payment assistance program staff displaying the median was updated to {$80000.00} annually. I submitted the down payment assistant program information to the lender. Hoping she would call and verify the updated information. In summary, the foundation for housing realtor forwarded all the properties to ( XXXX XXXX ), for review and she forwarded her the houses she could qualify because they had reserves, completed a 40-year inspection and adequate insurance. Unfortunately, the XXXX XXXX realtor cancelled the contract because the property she wanted to sell me was too expensive and had a massive leak in the roof. So, she cancelled out of anger. She showed me only one property in the city of XXXX at XXXX XXXX XXXX XXXX XXXX  We were not under contract, and she cancelled our ceremony engagement with no explanation. I located another realtor and was showed multiple properties within 2 days after locating her services. We went under contract for a property located in the city of XXXX for approximately {$130000.00} which was located in the same community the initial realtor showed a property to me at ( XXXXXXXX XXXX XXXX XXXX XXXX. The lender requested for another bank statement from my personal account which both accounts had over {$10000.00} dollars in both accounts. The lender initially said I qualify for 0 % down payment through South State Bank. But right after she viewed my second bank account she requested, I put down 25 % and the interest rate would be inflated. Her excuse was the condo association had no reserves, and the insurance was not warrantable. We went under contract again in a different community located in the city of XXXX for approximately {$190000.00}. She declined the application and informed me the master condominium insurance needed to have a 5 % Hurricane and windstorm deductible. The realtor pulled the master condo insurance from the lender and it displayed a 5 % hurricane and windstorm deductible. I submitted her a copy of it and she informed me the insurance does not cover more than one hurricane and windstorm per year it only covers one storm per year. In the state of XXXX laws have changed. Insurance policies are only allowed to cover 1 storm per year. So, technically there are no insurance policies in the state of XXXX  that cover multiple storms per year. I would like to file a discrimination complaint on the bank and lender. I tried to transfer my mortgage application to two lenders at South State bank XXXX XXXX XXXX and XXXX XXXX ). They left a message insisting management got involve and decided to let XXXX XXXX continue to work the mortgage application. So, obviously management got involve but never made contact with me. In the attachment below you will read some emails XXXX XXXX forwarded me confirming what she said in relation to the insurance and putting down 25 % down payment. I also included a copy of the last property condo master insurance policy which displays a 5 % hurricane and windstorm deductible. Also, she made it look as if I could not purchase my own private insurance that's what homeowners usually do. They have a master condo insurance and private XXXX OR XXXX private insurance company. My credit score has an inquiry on it now because of this. 

XXXX XXXX XXXX

Company response to consumer: Closed with explanation