Union Savings Bank

Revdex.com: I am accepting the business's response to this complaint, because having the complaint open is only causing more stress on my wife and I, and we are confident that nothing will be resolved as long as we are working with Union Savings BankThe part of the response that I disagree with the most is: "Project management: The bank is not a party to the agreement between the builder and the borrowers with respect to project management Since the loan is in the name of the borrowers, they are ultimately the General Contractor with responsibilities for oversight of everything from construction quality to budget management The Bank’s construction department’s primary responsibility is to ensure that the Bank’s money is used for the construction of the home which is the underlying asset securing the Note Our regulators require us to manage our process to ensure sufficient funds remain to complete construction as originally approved With 18.3% of the funds remaining and 15.5% of construction remaining, this appeared to be sufficient to finish the project." The text in red above has been proven by several reputable builders in the Cincinnati areaThe money remaining is not sufficient to even make the house livable, let alone finish the construction as originally approvedThat is my number one complain in this entire process, the money was not managed in the way that was outlined to me from the very beginning We know that we cannot win when it comes to an argument against a bank, but we wanted our frustration to be heard by someone who would listen Regards, [redacted] ***

Revdex.com: I have reviewed the response made by the business in reference to complaint ID [redacted] , and have determined that this does not resolve my complaint For your reference, details of the offer I reviewed appear below The application and included payment was clearly for a differnt loan I was assured multiple times that the loan was ready to close at the time I made the payment I understand the non-refund policy but that was for a loan different from the original loan which was mutually agreed upon in writing by both parties I have tried numerous times to move forward with the original loan but Union Savings Bank assures me that this was a fictitious loan and is not available If I would have known thet the alternate loan was my only choice then I would have never moved forward with the loan and I certainly would not have paid prepaid closing costs The only resolution is to move forward with the original loan as promised or return of my prepaid closing cost fee Attached are the terms I agreed to in the form of the Truth-In-Lending Statment and the Good Faith Estimate I still would agree to these terms of this loan and closing costs Regards, [redacted]

Union Savings Bank (Union) will be refunding Mr [redacted] application fee Mr [redacted] states that he wants a refund in the amount of $ Union’s standard application fee is $and our records do not indicate that Mr [redacted] paid an amount in excess of that If he has proof that he paid $I will gladly refund him that amount Mr [redacted] was unaware of the fact that Union does not do investment or second homes outside of our lending footprint For that reason we are refunding the application fee and apologize for the misunderstanding I would also like to know if the inability to use your standard response process is due to issues on your end or ours If it is ours, I would like to get it addressed and fixed for future responses [redacted] Vice President/Compliance Officer Union Savings Bank Cincinnati, OH *** [redacted] *** [redacted] www.usavingsbank.com NOTICE:This e-mail is intended solely for the use of the individual to whom it is addressed and may contain information that is privileged, confidential or otherwise exempt from disclosureIf the reader of this e-mail is not the intended recipient or the employee or agent responsible for delivering the message to the intended recipient, you are hereby notified that any dissemination, distribution, or copying of this communication is strictly prohibitedIf you have received this communication in error, please immediately notify us by replying to the original message at the listed email addressThank You

After researching the facts involved in this situation it became apparent that Union was responsible for the processing delay With that knowledge it was determined that Union will be honoring the expired rate lock agreement and will originate the year loan at the 2.875%, if [redacted] still wants the loanAlso, see attached document

Revdex.com: I have reviewed the response made by the business in reference to complaint ID [redacted] , and have determined that this does not represent any additional information and does not resolve my complaint In the business reply, there is incorrect information and points that do not make sense For example: - When all documents were accepted for the May 28, closing and the only change for another loan was to reduce the loan amount, how could it take months to update the file There should have been a June closing - Union Savings Bank references obtaining a new subordination agreement Per the originator of the Subordination Agreement (PNC Bank), their original document that was used for the May closing was acceptable for any additional closing as long as the loan amount did not exceed the original amount (the loan amount was reduced) - Union Savings Bank never informed me that a new loan application was applicable (Cox told me it was a simple correction and the new loan should only take two weeks to process) - It is 100% for Union Savings Bank to state they requested bank statements from me several times and what I sent was incomplete Per my response history in the attachment, except for the one time I was traveling, all responses were met within hours of the request The delay that Union Savings Bank references on me was all due to their own errors My account was confused with another customer's account and Union Savings Bank delayed my loan processing Also, the incomplete document was due to Union Savings Bank incorrectly sending my documents within their own organization (I sent the full documents and they mishandled them) - Union Savings Bank consistently mishandled my loan processing through their requests, coordination with me and other organizations and most importantly through poor organization plus follow-up - I have become a victim of financial losses either due to their loan mismangement or Union Savings Bank's attempt to obtain additional funds (beyond advertised amounts) or avoid processing a loan at a rate below the current market (my locked rate was below current market rates in June and beyond) Regards, [redacted] ***s

Can you please get some additional information from Mr [redacted] I need to know the approximate date this happen and what number he called Thank you

Revdex.com: I have reviewed the response made by the business in reference to complaint ID [redacted] , and have determined that this does not resolve my complaint For your reference, details of the offer I reviewed appear below.Refusing to address my complaint it terrible business practice, unethical, discriminatory, neglect, etc I would like this moved up the chain of command immediately and a formal legitimately response to my complaints clearly outlined in my complaint dated 5/13/ Regards, [redacted]

Subject client closed on a Construction/Permanent Loan with Union Savings Bank on May 24, The Bank structured the loan for $205,based on 80% of the lower of cost or appraised value The cost of the project was $213,plus the lot cost of $43,= $256, The appraised value at the time was $258,based on an as-completed value and the contract submitted as part of the borrower’s application The borrowers had given the builder whom they had selected on their own accord a deposit of $12,before work had even started The Bank funded an LIP (Loan In Process) account of $200,to disburse the balance of their construction contract ISSUES: 1) Late payment: The borrowers signed the original Note which committed to monthly payments beginning July 1, 2012, with interest only due during the first months for monies disbursed from the loan account Since interest on construction loans are calculated in arrears, the Bank identifies interest due based on draws taken through the 21st of each month and interest bills are sent at that time While payments are due on the first of every month per the Note, there is a day grace period before a late fee is assessed There were two late fees of $ waived in the first two months until the borrowers understood the system Furthermore, the construction loan department personally e-mailed the borrowers every month with their billing information This is a customer service beyond our automated process 2) Draw process: a The first draw was not submitted until late November The initial draw was within budget and the percentage of funds disbursed matched the percentage of project completion based on the Bank’s inspection As with every draw, co-payable checks were made to the builder, and to their un-paid subcontractor at that time, and to the borrowers b Conversation was held with Ms [redacted] on 12/3/regarding late project start due to soil issues and the Bank offered to extend the interest-only construction period to 5/1/to complete c A second draw was requested in mid-January and the Bank short paid the Builder’s reimbursements Some cost over-runs were identified related to the slab cost and the builder elected to use contingency funds in the budget Copies of cancelled checks to subcontractors and materialmen were provided as supporting documentation d The mid-February draw brought the project back into alignment with respect to percentages of completion and percentages of the budget released, but the builder again elected to use contingency funds for minor increases in the lumber package The borrower was also consulted about the number of draws taken to date Only inspections were paid for at closing and additional draws would cost $each Builder was advised of the borrower’s concerns e The next draw in late March included a request from the homeowners for a deposit for cabinets The Bank allowed 50% of the budgeted amount, and notified the customer they were responsible for the cost upgrade for the cabinets they selected The homeowners were also directly reimbursed the budgeted amount for front and garage doors which were paid from personal funds f At this time, the customer and builder both related to the Bank that another days was required to complete the house (target date of September 1st) and the Bank agreed to extend the interest-only period even further g Monthly draws in May, June, July and August continued to appear to be within budget As of August 9, 2013, the project was only disbursed 81.7% and the construction was 84.5% complete by industry standards The builder continued to purport that in-house labor was used and any sub-contractors presented affidavits regarding the amounts due at that time h In October, the borrowers contacted the Bank and we assured them that their builder could not access the funds remaining without their awareness since the checks are all co-payable I Mr [redacted] met with the homeowners on November 18, to discuss the draws taken and the remaining amount of funds to draw j In December, the bank provided the borrowers with copies of ALL affidavits submitted by their builder, and it was at this time that the builder informed them that he could not finish the project 3) File management: The construction department maintains a separate mini-file of each construction loan which consists of copies from the master loan file of pertinent data to the construction department If papers were “separated from the file” as they allege, then it must refer to papers held in the master file which they were requesting 4) Project management: The bank is not a party to the agreement between the builder and the borrowers with respect to project management Since the loan is in the name of the borrowers, they are ultimately the General Contractor with responsibilities for oversight of everything from construction quality to budget management The Bank’s construction department’s primary responsibility is to ensure that the Bank’s money is used for the construction of the home which is the underlying asset securing the Note Our regulators require us to manage our process to ensure sufficient funds remain to complete construction as originally approved With 18.3% of the funds remaining and 15.5% of construction remaining, this appeared to be sufficient to finish the project 5) Subsequent action: The borrowers hired another builder to complete the project When it was determined that it would take an additional $50,to complete the project, the homeowner deposited funds into the escrow fund They simultaneously asked the Bank to re-appraise the project in the hopes of obtaining additional bank funds to complete construction They cited some of the upgrades to cabinets and the market improvement as reasons to believe there was increased value to draw from Unfortunately, the new appraisal resulted in a lower value ($251,000) than the original appraisal The Bank then denied their request for extension of any further credit 6) Referrals: As the leading residential mortgage lender in the Cincinnati market, Union Savings Bank receives referrals from many different sources including realtors and builders Each loan is evaluated on its own merits and no preferential treatment is shown to favor any third parties Copies of all correspondence between the construction department and the borrowers are available if so requested All correspondence should indicate a responsive and friendly approach towards servicing this client In the nearly two year history with this client, no concerns were ever expressed with respect to the management of the disbursement process

[A default letter is provided here which indicates your acceptance of the business's response If you wish, you may update it before sending it If you and the business have reached an agreement and compliance is set for a future date, we trust the business will comply Please contact us after that time if the matter is not resolved as agreed and we will review the complaint and proceed accordingly.]
Revdex.com:
I do have a GFE that states the appraisal fee is $and my bank statement, besides the application fee.I have reviewed the response made by the business in reference to complaint ID ***, and find that this resolution is satisfactory to me.
Regards,
*** ***

Attached you will find a copy of several emails that were sent between Mr*** and Union Savings Bank (Union) and a copy of his signed Application Fee Policy form that clearly states the $application is non-refundable. Union sells all of its fixed rates loans on the secondary market
and is subject to the underwriting and pricing requirements of both *** *** and *** ***. At the time an application is taken many factors are not knownThe most important of these are credit score and the loan to value (LTV) ratio. Both of these are key factors in pricing a loan. If the middle credit score of either borrower is below and the LTV is less than 75% both *** and *** will access fees on the loan. These are not fees charged by the Union. In Mr***'s case both the LTV and the credit score caused an assessment of 2.75% of the loan amount in fees. These fees could not be known at the time the application was taken. The fees are not applicable on a year term mortgage but that choice was not acceptable to Mr***. He applied for a year mortgage and that is what he wanted
The Application Fee Policy form that was signed by Mr*** clearly states the fee is not refundable and we will not be returning his money to youI can assure you and mr*** than Union's behavior does not consitute predatory lending

Mr*** *** is not a signer on the mortgage loan he complained about. We are not permitted by law to discuss this mortgage with anyone other than the signer(s) on the note
(*** ***)without written permission from the signer. We do not have this written permission.
I discussed this situation with the individuals who talked to Mr*** on the phone. They remember him very well because of his behavior. Mr*** was informed that he was unable to make his payment over the phone because we only provide the check by phone service days prior to cut off and days prior to the end of the month. He called on December 1st and was informed that he could go to a branch or mail the payment. He starting screaming “YOU ARE GOING TO TAKE MY PAYMENT OVER THE PHONE” and would not let anyone get a word in edgewise. At this point he was transferred to a supervisor who also was unable to talk to him because he continued to scream “YOU ARE GOING TO TAKE MY PAYMENT OVER THE PHONE”
We will not be refunding Mr*** his late fees
*** ***
Vice President/Compliance Officer
Union Savings Bank
*** ** ***
*** *** ***
*** *** ***
***

I was a first time home builder coming to Union Savings Bank for financingUnion Savings Bank was a preferred lender from my builderI had perfect credit and was told on the spot financing would not be a problem, by *** ***l, the loan officer*** frequently left significant information out and was not up front regarding costsSeveral times I told *** *** I felt mislead by his conversations I submitted our construction plans for appraisalI had emailed *** *** to check on the status and was sent via email a notice that our appraisal did not meet the loan amount we required for constructionI followed up with *** *** and asked about my other options or what we could do to obtain financingI was told "I have no options for you." I feel this is an unacceptable statementWhen I reviewed the appraisal I found the appraiser was an in house, non certified appraiser, never went to my lot to view it, and was also not appraising appropriate comparable homes to what we were buildingI have since taken my business elsewhere and obtained financing without issue

They like to fleece little old ladies out of hundreds of dollars when they make a mistake in timing due to extenuating circumstances and major life events

I believe we have responded appropriately to Mr***s and will be taking no further action

Would not recommend this bank I found they do not go above and beyond (let alone the amount) for their clients We incurred 1600$ in construction loan interest due to their lack of experience and incompetencies Would recommend you shop other banks first We dreamt of our home for years and they completely ruined the excitement surrounding our new home

I have had multiple discussions with our Columbus staff regarding this situation. Everyone I have discussed this with has stated that the completion of the bathroom did not occur three days after the appraiser was on site at *** ***’s residence. The expiration of the rate lock was
caused by the delay in completing the bathroomUnion sells all of its fixed rate loans on the secondary market. Rate locks are executed for all fixed rate loans. In a declining rate environment Union will always give the borrower the better of the two rates (locked rate/rate at time of closing). When rates are increasing we are unable to extend rate locks after the expiration unless the delay in processing and closing the loan was Union’s fault. However, when Union has no control over the events that caused the delay they will not honor the rate lock agreement. As stated previously, the delay was not caused by UnionI can understand *** ***’s frustration but it is our position that we were not responsible for the delay and therefore will not honor the expired rate lock agreement

I applied for a loan and was pre-approved I told the loan officer I was looked for a "fixer upper" when I applied I found a fixer upper (*** repossion), I applied for the loan They waited until the time limit under *** was expired, and then told me they wouldn't give me the loan because the house needed repairs So I lost the house, and my earnest money, and the money that I paid to Union Savings $1,lost Wouldn't use this bank again

The bank has fully responded to the complaint and no new information has been presented by Ms*** so
we will not be responding again

Attach you will find the Interest Rate Conversion Agreement that relates to the [redacted] mortgage loan with Union Savings Bank. The agreement was effective on March 1, 2016 with a date of April 1, 2016 for the first payment in the amount of $2,470.43. The [redacted] made a payment on their loan on March...

31, 2016 in the amount of $1,772. This was the amount of their payment prior to the rate conversion. The difference of $698.43 was due on the account, which they paid on April 19, 2016. I am sorry if there was any misunderstanding and apologize that Ms. [redacted] was treated rudely when she called the Bank for an explanation. I have advised the manager in that area what occurred and it will be discussed with all the employees.

I have attached a copy of a letter sent to Mr. [redacted]s from our legal counsel.  This letter addresses the issues Mr. [redacted]s stated in his complaint.
Dear Mr....

[redacted]s,
When you closed your refinance last year, you disputed the cost of the loan. There were extra costs due to a second mortgage that affected the DV. After Union Savings Bank explained the situation, you elected to rescind the loan after closing and restructure it to avoid the additional costs. Union Savings Bank explained at that time, that Union Savings Bank would have to obtain updated documents (income and asset statements) and that you would have to submit a new loan application. Furthermore, you were told Union Savings Bank would need to obtain a new Subordination Agreement with the decreased amount available for the line of credit to avoid the additional charges which caused you to rescind the original closed loan.
Your loan officer, [redacted], requested the additional bank statements from you several times. The statements you sent were incomplete. This delayed the process; however, Union Savings Bank was still able to approve the loan subject to a new Subordination Agreement being provided by you.
While you and the Title Company were attempting to obtain the new Subordination Agreement, your rate lock expired and Union Savings Bank was no longer able to close at the same rate (2.875%). You stated that you did not want to close at a higher interest rate, and although Union Savings Bank offered a lower rate than what was available at that time to the public, you were not interested because it was still higher than the rate on the loan you rescinded.
As time passed, the rates dropped to 3.25% and Union Savings Bank offered you a 3.00% rate. You felt that was the rate anyone off the street would get, even though you were advised via email that 3.25% was the going rate on that day. You stated you would not accept 3.00% because you wanted the 2.875% and nothing else.
Union Savings Bank believes it has made every effort to accommodate you, even though Union Savings Bank was not responsible for the additional cost and/or delays. Therefore, until interest rates permit a rate of 2.875%, Union Savings Bank cannot proceed with your loan request.
Sincerely


 


 
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cc: [redacted]