This is Daniel [redacted], an owner of Millenium Home Mortgage and Mindi [redacted] direct supervisor. I am very sorry for Ms. [redacted] that her mortgage application was declined. I have reviewed the file thoroughly and would like to discuss the reasons with her. I have tried to...
contact the customer by phone and email. Privacy Law and company practices do not permit me to explain the specific reasons here, but I will provide some general information. The PreQualification letter standard verbiage which Ms. [redacted] received is as follow: "This qualification is based on information we have at this time. A final loan approval will be conditioned on receiving a completed application, a satisfactory appraisal, financial data being verified in writing by our processing staff and our underwriting department, an in house credit report has been obtained and reviewed, all credit, asset and income data being acceptable to our underwriters, all conditions recommended by our underwriters being satisfied, and all required loan closing conditions being complied with prior to closing."The intent of this language is to make clear the Prequalification is not a loan approval. During a loan approval more documentation is needed and reviewed and must support information we receive at time of the Prequalification, much of it verbal from the customer. When during the underwriting process something is discovered which is different than the information supplied at the time of the PreQualification, it can lead to a mortgage application being declined. This is rare, but does happen.A loan denial can be very disappointing but it is important to understand that a loan denial happened for a reason. Typically there is too much risk of a loan default. It is in the best interests of all parties, including the customer, to avoid closing on a risky loan. We determined it would not be in our or the customers interest to approve this loan. As disappointing as that can be to a customer, it is far better than losing a home later after a loan default. I hope Ms. [redacted] will understand this and work towards improving her qualifications so that in the future, when she is ready, she is able to finance her new home as safely as possible. Should Ms. [redacted] choose to give us the opportunity to assist her I will personally make sure I do the Prequalification and review her documents.Our records indicate the customer did not pay any money in connection with the loan application.
This is Daniel [redacted], an owner of Millenium Home Mortgage and Mindi [redacted] direct supervisor. I am very sorry for Ms. [redacted] that her mortgage application was declined. I have reviewed the file thoroughly and would like to discuss the reasons with her. I have tried to...
contact the customer by phone and email. Privacy Law and company practices do not permit me to explain the specific reasons here, but I will provide some general information. The PreQualification letter standard verbiage which Ms. [redacted] received is as follow: "This qualification is based on information we have at this time. A final loan approval will be conditioned on receiving a completed application, a satisfactory appraisal, financial data being verified in writing by our processing staff and our underwriting department, an in house credit report has been obtained and reviewed, all credit, asset and income data being acceptable to our underwriters, all conditions recommended by our underwriters being satisfied, and all required loan closing conditions being complied with prior to closing."The intent of this language is to make clear the Prequalification is not a loan approval. During a loan approval more documentation is needed and reviewed and must support information we receive at time of the Prequalification, much of it verbal from the customer. When during the underwriting process something is discovered which is different than the information supplied at the time of the PreQualification, it can lead to a mortgage application being declined. This is rare, but does happen.A loan denial can be very disappointing but it is important to understand that a loan denial happened for a reason. Typically there is too much risk of a loan default. It is in the best interests of all parties, including the customer, to avoid closing on a risky loan. We determined it would not be in our or the customers interest to approve this loan. As disappointing as that can be to a customer, it is far better than losing a home later after a loan default. I hope Ms. [redacted] will understand this and work towards improving her qualifications so that in the future, when she is ready, she is able to finance her new home as safely as possible. Should Ms. [redacted] choose to give us the opportunity to assist her I will personally make sure I do the Prequalification and review her documents.Our records indicate the customer did not pay any money in connection with the loan application.