You’ve done all your homework: compared home prices in the neighborhood of your choice and you’ve spent months calculating the cost of homeownership. Then you’re denied a mortgage and the lender keeps your $12,000 deposit.
This financial nightmare scenario was all too real for Navid and his wife.
The couple thought they had found a house they could afford. “All of these things were new to us,” Navid said of the mortgage process. “In a very short period of time, we lost $12,000.”
The U.S. Consumer Financial Protection Bureau is focusing on this couple’s story to bring attention to the agency’s role in addressing lender complaints submitted by borrowers. Many U.S. consumers don’t know that the agency can step in and help if they believe that a lender has committed a wrongdoing.(See video below.)
Navid said he tried to contact the lender but was getting nowhere. He assumed his money was lost forever until he found out about the CFPB.
“One night we were watching the Daily Show with Jon Stewart and the director of the Consumer Financial Protection Bureau was the guest,” Navid recalled. “He talked about this organization and what they do.”
After the show, Navid submitted a complaint to the CFPB. Soon afterward, the couple received a full refund and a formal apology from the mortgage company.
“I came to [the] United States because I thought this is a country [where] there are rules and regulations, and the government is for the people. This is why I chose this country,” Navid said.
The CFPB: “We know that buying a home can be complicated, and that’s why we’ve created tools to help home buyers understand and shop for mortgages. We’re glad that Navid and his wife got the help they needed. To share your experience or learn more from others, visit us at consumerfinance.gov/yourstory.