Mortgage Process not very friendly especially for first time buyers

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Contributor

My wife and I finally decided to purchase our first home, and being USAA members for quite a while and having them finance our auto loan as well as our auto insurance policies, going with USAA didn't take a second thought.

 

We started last Monday March 16th with the prequal/approval, which we were and took very little time. I was told the "shopping letter" would be sent out via priority FedEx and we should receive it it a couple of days...awesome! Well we never received it, I called Thursday and was told it should be coming. Friday rolls around and I call again telling them we found a house but our realtor(which was also assigned to us by USAA) wanted the prequal letter so they agreed to fax it to me. We put an offer on the house, received a counter and accepted the counter which started the 10 day option period.

 

I called first thing Monday morning to start the final loan process which took over an hour to complete(understandably). I was told they were going to overnight(via FedEx) at which I expressed my concern because we never received our original letter. I was reassured several times that since it was early in the morning they could probably get it out that day(Monday) and since it was going overnight we should have it by Wednesday.

 

Well here it is Wednesday and FedEx just stopped by and guess what they dropped off....that's right! Our shopping/prequal letter that was supposedly sent out a week and a half ago and it was dated as being shipped March 24th overnight to be delivered today.

 

I called right away to find out what was going on and they put me through to another mortgage agent who then tells me that there's no way they would ever send anything out that fast, that it takes up to 7 business days to process before it is sent out via FedEx....when I told her that's not what I have been getting told and express my frustration on our first time through this process she would only apologize and say I'll pass along the feedback, but basically this was standard process.

 

I cannot begin to tell you how frustrated we are getting, and the absolute WORST part about this is we weren't even assigned a specific mortgage agent. We have to just call the number each time and wait on hold for about 15 minutes for the next available person to pick up at which point we have to start from the beginning. I can't begin to tell you how many times I've had to tell them yes it was going to be our primary resident, yes we are buying in Texas...and this is after we had already started the process! I've probably called almost 10 different times since starting this last Monday and I'm pretty sure we've spoken to some one different each time. Having a dedicated agent sure would give it a personal touch, especially for a veteran and a family going through this process for the first time and not knowing anything at all.

3 REPLIES

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Axis,

 

Great post on your experience.  There have been several post and some recent BBB complaints on USAA Mortgage process lately - I wonder what is going on there.

 

In 2007, when we did our original mortgage we applied on-line and received our pre-qual letter to print out right away.  We were assigned an agent who we worked with us through out the process, which ran very smoothly.  In 2012, we refinanced our mortgage and again we had a personal agent that worked it very smoothly.

 

Hopefully this is just a hiccup in USAA's process due to workload or manpower issues that can be resolved.  

 

Please post more your experience as you continue the process.

 

One of the community managers will probably respond shortly to help elevate this for you.

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Dear Axis,

I cannot apologize for the frustration and angst this situation has caused you. As a recent first time home buyer I empathize with the difficulties and cumbersome process. I have escalated your situation and a mortgage specialist should be in touch shortly to make sure you and your spouse are getting everything you need. Again, I am so sorry for the initial confusion, we look forward to talking with you and getting you the service you need.

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I too have eperienced a similar issue.  I was told our pre-qual letter would be FedEx'd out and it's been over a 1.5 weeks; still nothing.  I've phoned several times only to have to explain everything again.  Having a dedicated person to speak with would at least help not feeling like a number in the queue.  I've contacted another mortgage lender locally and they processed my paperwork and approval the same day and at a better rate than USAA quoted me.  I don't know first hand; however, our realtor has informed us USAA has been terrible as of late she now is recommending to military members to utilize other lenders, which is a complete 180 degrees from what she used to do.  Hmmm.  What's happened to USAA?

Note: Several years ago when I processed a pre-qual, I had the pre-qual letter to download the same evening.  The several ladies I've been dealing with inform me there's a new process and they don't load the documents anymore.  They now have to process, then print and mail them, which can take several days...