loan application cancellation

Hi tomas!

Welcome to forums!

The lender can cancel your loan application though you paid for a faulty appraisal. If you do not satisfy all the required criteria of the lender he has the right to disapprove your mortgage request.

Feel free to ask if you've further queries.

Sussane

If if a Bank/loan Officer cancels your application after you have paid for an appraisal necessary for a loan--which is usually arranged by the Bank--you will likely have a claim against the Bank for damages. It is likely not a significant enough amount that you lost--unless you spent much time on the application(?)--that you need to go to a lawyer, but you should surely write the Bank and the federal banking authority to at least leave a record of this somewhat dishonest action by your Bank...and maybe go to another Bank.

If the Bank you are dealing with is a federal Bank you should consider filing a complaint with the Federal Reserve Consumer Help bureau indicating that the Bank in question cancelled a loan application without your request and causing you damages that you incurred based on their representations www.federalreserveconsumerhelp.gov/.

claim? damages? dishonest?
tomas, why in the world would you have failed to respond to the bank for 3 months? this puts the onus on you, i'm afraid, and i don't believe you can hold the bank responsible for much of anything. they tried to help you out, it seems, but you neglected to get back with them.
how did the appraisal get done with a faulty address? and did you pay for it upfront, before it was done?

Tomas,

address was given by you. you are delaying payment. Now you are saying bank is cancelling your loan application?

i don't think that's the case at all, however.

Sorry I should have explained. I of course gave the loan officer the address but somehow the appraiser still got it wrong!

Moreover, when I brought this to the loan officer's attention she said she can not and will not do anything about it because the appraisal had already been paid for! It took me so long to reply to this because I was so shocked and wanted to get other opinions.

If this is not dishonesty then what is. Of course she could have done something and I agree with Office (??) that the bank should pay for my damages for their dishonesty and their own screw up.

Wouldn't you feel bound to do something to help your perspective client George?

Yes, I had to pay up front. The loan officer said I had to.

i would absolutely take care of this if you were my client, tomas. why didn't you call me? (that's just a joke, people)

seriously, though...the appraisers with whom we have relationships would absolutely be contacted and we'd require that they go and inspect the correct property. if you provided the correct information, there is no way we'd make you pay it. i fully understand that you'd pay an appraisal fee upfront, as that is the way of the world these days, but not in the case where someone other than you made this big a mistake.

by all means, take your case to a higher authority - you don't deserve to pay for an incorrect appraisal for which you provided the correct information.

as for the delay and the penalty you're paying for that...i don't suppose they'll be too forgiving about that.

I have been working with my loan officer/realtor (shes both)for 60 days to get financing to purchase a home. Throughout the process she has been dishonest about several pertinent factors such as: interest rates, fees, approval status, etc. it's so much I'm not going to go into detail. To make it short after working with her for 60 days to secure a loan that was suppose to take 30 days I gave her a deadline date or I was going to cancel the loan. On the deadline date she called me and said that the underwriter approved my income and we were "partially approved". Since this seemed very strange to me, and I did not rust her anymore do to all the lies and complications I experienced thus far I asked her to send me the "partial approval" letter that she received from the underwriter to my email. She sent me a text message saying since she is unsuccessful in maintaining my trust during this process she is canceling the loan. This affirms my suspicion that there was no "partial approval" from the underwriter, she was simply trying to buy more time . Since she can else the loan and it was not at any fault of my own; we were not denied financing and I didn't cancel, can I sue her for my losses: appraisal, good faith deposit, and inspection?

Hi Tyler,

You may sue her. You should contact a real estate attorney and he will let you know more about this.

Thanks