USAA, Home Loan Negligence

[Customer6]

I wanted to purchase a condo in my current location for my primary residence. I Contacted USAA and received quotes for mortgage rates and terms. I then sold stock and otherwise liquidated investments to ensure I had sufficient assets in my USAA checking account to pay my down payment and closing costs. My wife and I answered every question and provided all the information that was requested in moving forward with our loan application. Our credit score was significantly above average and we had no outstanding debts or other liabilities. Additionally, we had enough in our asset disclosures to purchase the condo for cash if we had to. 

    After two months of USAA stringing us along, and days before we were scheduled to close, we were informed that our condo did not meet the requirements of Fannie Mae and Freddie Mac, so our loan was denied. The denial was based on a very simple issue that could have been resolved during our first conversations with USAA. Every other bank we conatcted after being denied by USAA, told us about the issue within our first few minutes on the phone simply based on our location. The issue was that one person owned more than 10% of the units in our condo complex. This is against the terms set by Fannie Mae and Freddie Mac, so USAA would not be able to sell our motgage to them, so we were denied.

Be aware that when you are dealing with USAA, you are ultimately dealing with Fannie Mae and Freddie Mac. So much for the concept of a credit union. 

    USAA sells their mortgages to Fannie Mae and Freddie Mac. USAA may pretend to be on the side of veterans and their families, but the bottom line is they only care about making money by selling mortgages to third parties. 

    AVOID USAA AT ALL COST WHEN BUYING A HOME. THEIR AGENTS ARE INCOMPETENT AND ALL THEY CARE ABOUT IS MAKING MONEY BY SELLING YOUR MORTGAGE TO FANNIE MAE OR FREDDIE MAC!

[Angela Caban USAA]

Hi Customer6,

I have sent this over to our bank partners for review. They will be reaching out to you directly to address your concerns. Thank you for your comment in Community.

[Customer6]

Angela Caban,

I was never contacted by anyone from USAA. Additionally, I tried to call USAA directly to file a complaint, but the best I could do was get transfered to someone's voicemail. Furthermore, I contacted another bank to finance my home loan, and they offered a lower interest rate and their closing costs were 40% lower than USAA. 

I guess you just repond to posts on here to placate the the members who read these discussions. Either you just plain lied when you said I would be contacted, or USAA's customer response team is as incompetent as the mortgage advisors. 

I guess I have no other option than to take my business elsewhere and to file a complaint with the appropriate regulatory agency. 

[Briana Hartzell USAA]

Dear Customer6,

I sincerely apologize that no one has reached out to you.

I will again send your comments to a mortgage specialist to ensure they reach out to speak with you personally. Thank you

[Customer6]

I was contacted once ,during the work day when I could not answer my phone, by a woman named Misty. Misty then sent me a message on USAA about how to best contact me. I replied to that message, but I have not heard from anyone since then. I call Misty's direct line, and all I ever get is a voicemail. When I leave a voicemail, I get no response from anyone. 

How can I file a formal complaint with USAA about my mismanaged mortgage application and the subsequent failure of anyone from USAA to respond to my original complaint regarding this issue?

[Customer6]

Briana,

I was contacted once, during the work day when I could not answer my phone, by a woman named Misty. Misty then sent me a message on USAA about how to best contact me. I replied to that message, but I have not heard from anyone since then. I call Misty's direct line, and all I ever get is a voicemail. When I leave a voicemail, I get no response from anyone. 

How can I file a formal complaint with USAA about my mismanaged mortgage application and the subsequent failure of anyone from USAA to respond to my original complaint regarding this issue?

[NavySpouse78]

In my past experiences with companies that fail to timely address my concerns I have found that communicating with the senior management team helped to get my voice heard.

Maybe it is time to escalate this past the forums and address your complaints to the mortgage departments VP's, EVP's, and if needed USAA's CEO, via certified letters.

[scubasteve81]

I have a similar story. The Mortgage process with USAA was a complete NIGHTMARE and ultimately delayed our closing date by more than 2 weeks! Andrea xxxxx was rude and impossible to get a hold of. USAA tries to tell you they will fix everything and they know there are issues but we closed well over 18 months ago and it appears they haven't fixed anything. STAY AWAY FROM USAA MORTGAGES!!!! Steve

[Skidgel]

So I started my home buying search back in June and locked in a rate of 3.875 in July. I couldn't of been happier. But then there was an issue with the title. Not a big deal until my closing got delayed by it. Then I was informed that the process was taking to long and Usaa was going to cancel my application and I would have to resubmit. Not a big deal. I was then informed that even though the rates were lower I would have to pay a fee to extend my rate or be given worst case financing. Seemed odd but ok. Then we had to extend the rate again because of the tittle. Finally everything was done and resubmitted. This was a great feeling until I got a phone call that said my water and termite inspection had expired and they had to be redone which resulted in another rate extensions and another fee. Fast forward to closing. Now on my closing day I was like a kid on Christmas I couldn't sleep and was Barely holding in my excitement until I got my hud1 form which showed a 4.0 apr and over 1500 dollars in fees. Which is slightly higher then my 3.875 and no fees. So I call and am told that because I withdrew my loan I got worst case financing and had to pay for rate extensions and also pay to lock in my rate. So now I wasn't getting my original rate and paying much more then planned after talking to 3 different people I was basically told this was my fault because I withdrew my original loan. When I explained what had happened and that Usaa canceled my loan I was basically told that's not what my file said and to bad. So a long process turned into a nightmare where Usaa not only changed my rate but then charged me for it. When I explained my displeasure at the situation and asked as a long time loyal usaa member for some help in this I was told no. I explained to all 3 people that from this horrible experience I would start to look for banking else where and would stop doing business with them. I was told ok go ahead. I have never felt so beat down from a business. So fair warning to anyone looking to use usaa home loans mistakes will be made and the only person that will be found at fault is you the consumer. I guess the family image they try to portray is only when it benefits them. So now I will start looking for a new banking and insurance company. Maybe one that actually cares about their customers.

[Angela Caban USAA]

scubasteve81 and Skidgel,

I have sent over your comments and concerns over to our mortgage team for review. A mortgage team member will be in touch with your directly. Thank you both for your comment in Community.