RCN Capital

The prospective borrower
proposed a loan scenario with a plan to pay the loan (an “exit strategy”)
of refinancing the loan with a conventional lender, but the borrower’s credit
was too low to make that a realistic possibilityAs a result, our Sales
Associate indicated that we would want to see her list one or both of the
properties for sale as that would be the only reasonable exit strategy in
accordance with our underwriting guidelinesThe prospective borrower sent
through a listing for one of the properties indicating the property was For
Sale by Owner with an asking price of $500k ***
On her application she entered “$300,000” for the present market value of this
property*** estimated the property to be worth only $108kThis led our
underwriters to believe that she was not serious about selling the property and
they decided not to proceed with her loan request, as it was already on the
brink of being declined due to credit/background concernsAt no point was it
indicated to the prospective borrower that they were “approved” for financing
An “approval” comes in the form of a commitment letter, which is issued once
full documentation has been received and an appraisal has been performed,
reviewed, and acceptedThe prospective borrower in question was declined for
financing early in the application process, before an appraisal could be
performedShe did not pay any appraisal, application, or processing feesWe
are confused as to exactly what the basis for her complaint is and what sort of
desired settlement she is looking forWe protect all of the personal
information we receive from prospective borrowers during the application
processThe individual’s personal information was not shared with anyoneWe
are unsure of what she is looking for

The prospective borrower is
welcome to list the home as she sees fit, but if the asking price is not
reasonable, the loan is less likely to be repaid, and thus not a smart loan for
our company to makeAs we said in the previous response, we did not think
there was a high likelihood of refinancing with conventional financingWe did
not order an appraisal because we had decided we were not going to make her a
loan
We do not make loans unless we believe the
borrowers have the ability to repay themIn this case, we were not convinced
This complaint should be removed immediatelyWe should not have to justify the
decision to decline a loan proposalThat is a strategic business decision that
is entirely unrelated to good business practicesWe delivered prompt,
attentive, and respectful service to this prospective borrower, we simply
decided not to make her a loanMaking loans to
people who are unable to repay is irresponsible, predatory, and
contrary to the borrower’s best interestsWe do not engage in those types of
business practices and we make no apologies for that

That was not the conversation there is two property, the one I was using was my *** *** *** *** *** ** *** property and only one needed to be listed, the said property was on the market already before he change the term the loan, I can list my home as I see fit, also this was only if I could not repay them back in timely matter, I still was looking for conventional loans, which I would had use to repay RCN capital since a application was not given, I didn't think they was serious about funding my business *** which is of course another avenue of repaymentThe Florida house Would been use to repay the loan, if I could not in a timely matter, both was listed 12-months ago*** *** *** is my business address which I would not have sold until I receive my asking price of 500,which I would had sold to continue my businessAs I stated this was alternative to non payment of the loanIf an application was present this would been clear! They knew I had rental property that was not renter at the time of initiallyThe loan amount I request was from 50,to 180,There was No appraisal on either houseLast thing I heard They was going to set one up with my credit card, of So I believe we was going forwardIf I want to use fund from the sell of my house would had, but it did sell my house in Fl was fast as I like!
Complaint: ***
I am rejecting this response because:
Sincerely,
*** ***

Review: This is letter I received from company, they state they do more than rehab loans took my banking information set aprrasail and told me I was approved: they was working to help next I know I get this email Hi [redacted], After in depth review of your application we have determined that the only way we are comfortable proceeding here is if you agree to list one of the two properties for sale just prior to closing so that you can pay back the loan with proceeds from that sale. We are not comfortable with your ability to refinance out of our loan within the term. Please advise if this would be acceptable to you and we can proceed, if not we will not be able to make this loan. Thank you, [redacted]Broker Program Specialist P \ ###-###-####F \ ###-###-#### [redacted]RCNCapital.comDesired Settlement: I want to know did they pretended to give me a loan to get my bank information to someone else, such as law enforcement, I did not receive no application which I found suspect, do they give loan just on assets? Which I was inquiring which is why I was surprise when I receive that email. I need explanation why they service me such a way?

Business

Response: