Guild Mortgage Company Case Study
Guild Mortgage Company (“Guild”) is in receipt of your correspondence dated August 10, 2016 from the Consumer Financial Protection Bureau (“CFPB”). Guild appreciates the opportunity to review and respond to your concerns.
Your correspondence indicates your dissatisfaction with the lack of communication you received form you loan representative and with the delays you experienced throughout the closing process. You also expressed concern as it relates to obtaining the Mortgage Credit Certificate (MCC).
Your correspondence mentioned that there was lack of communication on the part of the loan representative. The loan comments noted in your file indicated your loan representative provided updates on the status of the loan and continued to communicate with you during the course of …show more content…
the loan through emails and telephone calls several times a day. You were informed throughout the entire loan process. In fact, there was a time where the loan representative spoke with you six times during the Mother’s Day holiday because you were uncertain about whether to proceed with purchasing the home.
Guild understands your frustration with the delays you experienced during the closing of your loan; thus, we empathize with your situation. We work diligently to ensure all loans are processed and closed in a timely, accurate, and quality manner.
There were several factors that contributed to the delay in closing your loan. The loan representative was unable to secure the real estate agents’ signature on the Amendatory Clause which caused three delays. You did not have adequate funds to cover the cost. Your IRS debt had to be cleared with an explanation. In addition, the seller’s payoff statement was no received in a timely manner which caused a further delay.
Upon meeting with your loan representative you informed her expectation were to have your loan close within 45 days. On 05/11/2016, your Purchase Contract was received. Your loan representative immediately advised your realtor and you that the date was not reasonable and that you would need to renegotiate a more realistic closing date.
Following your initial meeting with your loan representative expressed she expressed her concerns regarding your credit score, debt-to-to income ratio, and inadequate funds to close. She informed you that you did not meet the qualifying criteria for the TSAHC DPA/MCC. Once again, on 05/13/2016, she emailed you and explained the eligibility criteria. She stated your credit FICO score determined you were eligible for a 5% down payment as your FICO score did not increase following your credit rescoring.
The loan representative attempted to assist you further by reviewing alternative programs with your realtor and you when determining you did not meet the criteria for the TSAHC DPA/MCC.
On 05/15/2016, your loan program was then changed to Southeast Texas Housing Finance Corporation (SETH) program because it allowed for higher income, Down Payment Assistance, and the guidelines were more conducive for your situation.
On 06/04/2016 you were sent a Change of Circumstance (COC) which showed your loan program changed to the SETH program. On 06/06/2016, you signed your Loan Estimate, and on 06/20/2016, you signed your Closing Disclosure. Your loan closed on 06/23/2016, and you were made aware prior to your closing by your loan representative that the MCC fee was not reflected on your Closing Disclosure statement. However, the above-mentioned documents did reflect the 1% origination charge and the $225.00 State Bond Application Fee.
With respect to the MCC, your loan was never submitted to underwriting with the MCC, it was determined the property did not meet the program criteria for the MCC. Specifically, the SETH MCC program is not available in Dallas County where the property is
located.
Guild apologies for any miscommunication conveyed through the email you received concerning the survey. The response you received was not intended to offend or berate you. The loan representative was upset and expressed her frustration and disappointment in the email. We have since addressed this matter with the loan representative and taken the necessary actions to ensure this does not occur in the future.
Additionally, Guild was made aware you reached out to our corporate office in Grandbury and spoke with Jedd Rudd, who also acknowledged your correspondence and addressed your concerns.
We appreciate the opportunity to review and address your concerns. If you would like to further discuss this matter, please feel free to contact us via email at (btitiyevskaya@guildmortgage.net) or in writing.
Your correspondence indicates your dissatisfaction with the lack of communication you received form you loan representative and with the delays you experienced throughout the closing process. You also expressed concern as it relates to obtaining the Mortgage Credit Certificate (MCC).
Your correspondence mentioned that there was lack of communication on the part of the loan representative. The loan comments noted in your file indicated your loan representative provided updates on the status of the loan and continued to communicate with you during the course of …show more content…
the loan through emails and telephone calls several times a day. You were informed throughout the entire loan process. In fact, there was a time where the loan representative spoke with you six times during the Mother’s Day holiday because you were uncertain about whether to proceed with purchasing the home.
Guild understands your frustration with the delays you experienced during the closing of your loan; thus, we empathize with your situation. We work diligently to ensure all loans are processed and closed in a timely, accurate, and quality manner.
There were several factors that contributed to the delay in closing your loan. The loan representative was unable to secure the real estate agents’ signature on the Amendatory Clause which caused three delays. You did not have adequate funds to cover the cost. Your IRS debt had to be cleared with an explanation. In addition, the seller’s payoff statement was no received in a timely manner which caused a further delay.
Upon meeting with your loan representative you informed her expectation were to have your loan close within 45 days. On 05/11/2016, your Purchase Contract was received. Your loan representative immediately advised your realtor and you that the date was not reasonable and that you would need to renegotiate a more realistic closing date.
Following your initial meeting with your loan representative expressed she expressed her concerns regarding your credit score, debt-to-to income ratio, and inadequate funds to close. She informed you that you did not meet the qualifying criteria for the TSAHC DPA/MCC. Once again, on 05/13/2016, she emailed you and explained the eligibility criteria. She stated your credit FICO score determined you were eligible for a 5% down payment as your FICO score did not increase following your credit rescoring.
The loan representative attempted to assist you further by reviewing alternative programs with your realtor and you when determining you did not meet the criteria for the TSAHC DPA/MCC.
On 05/15/2016, your loan program was then changed to Southeast Texas Housing Finance Corporation (SETH) program because it allowed for higher income, Down Payment Assistance, and the guidelines were more conducive for your situation.
On 06/04/2016 you were sent a Change of Circumstance (COC) which showed your loan program changed to the SETH program. On 06/06/2016, you signed your Loan Estimate, and on 06/20/2016, you signed your Closing Disclosure. Your loan closed on 06/23/2016, and you were made aware prior to your closing by your loan representative that the MCC fee was not reflected on your Closing Disclosure statement. However, the above-mentioned documents did reflect the 1% origination charge and the $225.00 State Bond Application Fee.
With respect to the MCC, your loan was never submitted to underwriting with the MCC, it was determined the property did not meet the program criteria for the MCC. Specifically, the SETH MCC program is not available in Dallas County where the property is
located.
Guild apologies for any miscommunication conveyed through the email you received concerning the survey. The response you received was not intended to offend or berate you. The loan representative was upset and expressed her frustration and disappointment in the email. We have since addressed this matter with the loan representative and taken the necessary actions to ensure this does not occur in the future.
Additionally, Guild was made aware you reached out to our corporate office in Grandbury and spoke with Jedd Rudd, who also acknowledged your correspondence and addressed your concerns.
We appreciate the opportunity to review and address your concerns. If you would like to further discuss this matter, please feel free to contact us via email at (btitiyevskaya@guildmortgage.net) or in writing.