Mortgage -- Applying for a mortgage or refinancing an existing mortgage -- Complaint #4738496
Complaint Overview
Complaint ID: 4738496
Company: Better Mortgage, INC.
Product: Mortgage
Sub-Product: Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage
State: Pennsylvania
ZIP Code: 19320
Date Received: 2021-09-20T12:00:00-05:00
Date Sent to Company: 2021-09-20T12:00:00-05:00
Company Response: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Submitted Via: Web
Tags: Older American
Consumer Narrative
I am trying to get a mortgage on a new property from Better.com. I was told that my mortgage was approved and that we were ready to go to closing when that step was necessary. A week later, I was told that there were other requirements for the approval of my loan, that my current mortgage needed to be paid off, the closing date needed to be moved or the mortgage contingency on the contract of sale of my current house needed to be removed from the contract. I complained that they had already approved my mortgage and that these late requirements made it almost impossible. I sent a complaint to their complaint department and to their CEO and they reiterated their demands. Then they told me that they were not going to use my current mortgage in my debt to income ratio but that I needed to get a distribution plan from XXXX, the company where I have my IRA- this is not possible, there is no such thing- it is a self directed IRA. I made plans to purchase the new house with cash and choose another mortgage company in the future and so removed funds from the IRA as a short-term loan using the once-yearly rollover ability for IRAs. This morning, XX/XX/2021, I was told that my mortgage was done and that I should wait for underwriting to send me the paperwork to review and approved so it can go to closing in time for the closing on XX/XX/2021. Just hours later, I am sent the same demands for contingency removal and distribution plan. 1- Better wants proof that I, as a retiree, can prove that I will have solid income for the future when they do not require this of people with jobs. 2- Better has told me on two occasions that my mortgage was approved only later to tell me they had the same requirements, requirements which I was told were no longer required. 3 - Better waited until no more time was available for me to get another mortgage before they started adding requirements to what was already an approved mortgage. 4- Better required that I reinvest my IRA into an annuity so they could have proof of income. I am not sure that Better has the legal status to be providing securities advice and hold that advice as a requirement in their mortgages. I am prepared to buy my new home on XX/XX/2021 with cash but will suffer when applying for a mortgage after the fact because of my rejection by Better and because it will be a cash-out refi on an already paid off home. If I can get a Better mortgage before XX/XX/2021, I will, as that would be the simple solution even though I prefer not to do business with them any further. My concern is that those without financial knowledge may be being coerced to do things for which Better has no right to require. I can provide an email trail, which will take some time to gather, to support the above.
Frequently Asked Questions
What is Complaint #4738496 about?
Complaint #4738496 was filed against Better Mortgage, INC. regarding Mortgage specifically about Applying for a mortgage or refinancing an existing mortgage. It was received by the CFPB on 2021-09-20T12:00:00-05:00.
How did Better Mortgage, INC. respond to this complaint?
The company responded with: "Closed with explanation". The response was timely.
What is the risk level of this complaint?
See the risk assessment section for details on this complaint's risk profile.
How do I file a similar complaint?
You can file a complaint with the CFPB at consumerfinance.gov/complaint. Select the appropriate product category (Mortgage) and describe your issue in detail.
Can I see other complaints against Better Mortgage, INC.?
Yes, visit the Better Mortgage, INC. company profile at readthecomplaint.com/company/better-mortgage-inc to see all complaints, risk scores, and analysis.
Disclaimer
This analysis is AI-generated based on publicly available CFPB complaint data. It does not constitute financial or legal advice.