Initial Business Response / [redacted] (1000, 8, 2015/11/10) */ As Mr [redacted] has mentioned, [redacted] is a new employee to Loan SimpleMr***'s past experience working with Mr [redacted] at another company is not something we can comment onIt is also information that should not be combined with a complaint against Loan SimpleWith that being said, we have not received any other complaints regarding Mr [redacted] in the very short time he's been with Loan SimpleHowever, we appreciate the feedback and will be certain to implement any changes we feel could prevent any further confusion or frustration In regards to Mr***'s loan application and experience with Loan Simple, it appears that Mr [redacted] had many challenges that were preventing him from gaining loan approvalBased upon the details of the complaint description it appears that Mr***'s difficulty gaining loan approval predates working with Loan Simple Please note, Mr [redacted] signed a formal loan application whereby he certified that all the information submitted to Loan Simple was true and accurate on the applicationAs a lender we rely on the details of the initial loan application Mr [redacted] certified, to determine if the loan is likely to gain loan approval before proceedingThe application is also run through Desktop Underwriter (DU), which grants a preliminary loan approval based upon VA's specific lending guidelines However, when the file made it to the validation stage of the process, where a VA certified mortgage underwriter reviews the borrower's federal income tax return and entire credit profile, the underwriter discovered many critical inaccuracies within Mr***'s loan applicationThe loan could no longer gain approval through the automated system, and the borrower's excessively high debt ratio exceeded manual underwriting guidelines Mr***'s annual income turned out to be considerably lower than stated on the signed loan applicationThis pushed his debt ratios out of qualifying ratios and this was communicated to Mr*** As a result of Mr***'s difficulty qualifying, Mr [redacted] was looking for additional ways to help him qualifyVA does allow some leniency for higher debt ratios, when the borrower can demonstrate a certain amount of residual income(Residual income is excess income available after the Veteran pays all monthly expenses)The VA residual income calculation considers the number of household dependents, and fewer dependents can make it easier to meet the residual income requirementsIt appears there was a large miscommunication between Mr [redacted] and Mr***, where they were trying to determine if Mr***'s daughter would continue to be a dependentOrdinarily, it wouldn't be open for discussion, but Mr [redacted] was moving to a new state and his daughter was not moving with him Unfortunately, this did not work out to be a solution that was put into place In reading the file notes and looking at this loans progression, it appears that Mr [redacted] tried incredibly hard to help Mr [redacted] gain loan approval, which inevitably caused delays as he tried all the different solutionsSometimes that effort works against the loan officer because it requires a lot of work from everyone, and when it doesn't work out the loan applicant can often times feel as though they were misinformed or misleadThe end result was not a loan approval, and I understand why Mr [redacted] may have perceived the process negativelyEspecially, since he had issues with a prior lender well before Loan Simple received the loan application I suspect that because Mr [redacted] was the common denominator with both lenders that did not grant him loan approval, Mr [redacted] felt he was the problemBut the truth was the common denominator preventing Mr***'s loan approval with two separate lenders was in fact Mr***'s financial position in terms of qualifying within the VA Debt Ratio Guidelines both lenders have to adhere to There is nothing in Mr***'s file or the communication that we reviewed that substantiates a complaint against Loan SimpleWe followed lending guidelines and provided communication and updates through multiple chains of communication I'm sorry we could not approve his request for mortgage financing and wish him the best finding a lender that can help him Loan Simple does not profit in any way when we are unable to close a loanIn fact, it costs us a sizeable amount of money to underwrite a loanWhen that loan doesn't close we end up in a deficit We work very hard to avoid these losses and always look for ways to make loans workWe are very proud of the number of VA loans that we have approved in the last two decadesOur founder, [redacted] ,is a two tour Vietnam Veteran and we've always worked hard for veterans Unfortunately, Mr.***'s loan simply did not meet the guidelines set forth regarding debt ratio through VA
We at Loan Simple believe that [redacted] must be mistaking Loan Simple for another mortgage companyWe do show that [redacted] inquired about a mortgage but Loan Simple never received any kind of required qualifying documentation that would be needed to issue any form of Pre-Qualification In order for Loan Simple to issue a Pre-Qualification our Underwriters would require income and asset documentation in addition to a recent credit bureau on all applicantsWe did not receive any documentation of any kind from [redacted] .Anyone applying for a loan would be required to meet the qualifications for the loan in questionThis includes providing documentation of the ability to repay the loanTo substantiate the Borrower(s) ability to meet the obligations of the loan we review income and asset documentationThis includes but is not limited to pay stubs, W-2, Tax Returns, Bank Statements, or investment account statementsWe did not receive any documentation from [redacted] and could not have issued any kind of pre-qualification.Due to the lack of any documentation from [redacted] we believe there must be an error in this complaint being filed against Loan Simple.We did not issue a pre-qualification to [redacted] .Thanks for your time and please let us know what we can do to resolve this issue
Initial Business Response / [redacted] (1000, 8, 2015/11/10) */ As Mr [redacted] has mentioned, [redacted] is a new employee to Loan SimpleMr***'s past experience working with Mr [redacted] at another company is not something we can comment onIt is also information that should not be combined with a complaint against Loan SimpleWith that being said, we have not received any other complaints regarding Mr [redacted] in the very short time he's been with Loan SimpleHowever, we appreciate the feedback and will be certain to implement any changes we feel could prevent any further confusion or frustration In regards to Mr***'s loan application and experience with Loan Simple, it appears that Mr [redacted] had many challenges that were preventing him from gaining loan approvalBased upon the details of the complaint description it appears that Mr***'s difficulty gaining loan approval predates working with Loan Simple Please note, Mr [redacted] signed a formal loan application whereby he certified that all the information submitted to Loan Simple was true and accurate on the applicationAs a lender we rely on the details of the initial loan application Mr [redacted] certified, to determine if the loan is likely to gain loan approval before proceedingThe application is also run through Desktop Underwriter (DU), which grants a preliminary loan approval based upon VA's specific lending guidelines However, when the file made it to the validation stage of the process, where a VA certified mortgage underwriter reviews the borrower's federal income tax return and entire credit profile, the underwriter discovered many critical inaccuracies within Mr***'s loan applicationThe loan could no longer gain approval through the automated system, and the borrower's excessively high debt ratio exceeded manual underwriting guidelines Mr***'s annual income turned out to be considerably lower than stated on the signed loan applicationThis pushed his debt ratios out of qualifying ratios and this was communicated to Mr*** As a result of Mr***'s difficulty qualifying, Mr [redacted] was looking for additional ways to help him qualifyVA does allow some leniency for higher debt ratios, when the borrower can demonstrate a certain amount of residual income(Residual income is excess income available after the Veteran pays all monthly expenses)The VA residual income calculation considers the number of household dependents, and fewer dependents can make it easier to meet the residual income requirementsIt appears there was a large miscommunication between Mr [redacted] and Mr***, where they were trying to determine if Mr***'s daughter would continue to be a dependentOrdinarily, it wouldn't be open for discussion, but Mr [redacted] was moving to a new state and his daughter was not moving with him Unfortunately, this did not work out to be a solution that was put into place In reading the file notes and looking at this loans progression, it appears that Mr [redacted] tried incredibly hard to help Mr [redacted] gain loan approval, which inevitably caused delays as he tried all the different solutionsSometimes that effort works against the loan officer because it requires a lot of work from everyone, and when it doesn't work out the loan applicant can often times feel as though they were misinformed or misleadThe end result was not a loan approval, and I understand why Mr [redacted] may have perceived the process negativelyEspecially, since he had issues with a prior lender well before Loan Simple received the loan application I suspect that because Mr [redacted] was the common denominator with both lenders that did not grant him loan approval, Mr [redacted] felt he was the problemBut the truth was the common denominator preventing Mr***'s loan approval with two separate lenders was in fact Mr***'s financial position in terms of qualifying within the VA Debt Ratio Guidelines both lenders have to adhere to There is nothing in Mr***'s file or the communication that we reviewed that substantiates a complaint against Loan SimpleWe followed lending guidelines and provided communication and updates through multiple chains of communication I'm sorry we could not approve his request for mortgage financing and wish him the best finding a lender that can help him Loan Simple does not profit in any way when we are unable to close a loanIn fact, it costs us a sizeable amount of money to underwrite a loanWhen that loan doesn't close we end up in a deficit We work very hard to avoid these losses and always look for ways to make loans workWe are very proud of the number of VA loans that we have approved in the last two decadesOur founder, [redacted] ,is a two tour Vietnam Veteran and we've always worked hard for veterans Unfortunately, Mr.***'s loan simply did not meet the guidelines set forth regarding debt ratio through VA
We at Loan Simple believe that [redacted] must be mistaking Loan Simple for another mortgage companyWe do show that [redacted] inquired about a mortgage but Loan Simple never received any kind of required qualifying documentation that would be needed to issue any form of Pre-Qualification In order for Loan Simple to issue a Pre-Qualification our Underwriters would require income and asset documentation in addition to a recent credit bureau on all applicantsWe did not receive any documentation of any kind from [redacted] .Anyone applying for a loan would be required to meet the qualifications for the loan in questionThis includes providing documentation of the ability to repay the loanTo substantiate the Borrower(s) ability to meet the obligations of the loan we review income and asset documentationThis includes but is not limited to pay stubs, W-2, Tax Returns, Bank Statements, or investment account statementsWe did not receive any documentation from [redacted] and could not have issued any kind of pre-qualification.Due to the lack of any documentation from [redacted] we believe there must be an error in this complaint being filed against Loan Simple.We did not issue a pre-qualification to [redacted] .Thanks for your time and please let us know what we can do to resolve this issue