Complaint / review text:
Currently, I have a 15-year fixed VA mortgage with CitiMortgage, which was refinanced in 2004 at 4.875%. Three weeks ago, I attempted to talk with CitiMortgage about lowering my interest rate with a new streamline VA refinance for a new 15-year term. I am a 100% service connected veteran and do not have to pay a VA funding fee, which should lower closing costs/fees. I had also talked to three other VA refinance companies and had GFEs with interest rates between 2.5% to 2.75% for a 15-year fixed VA and closing cost under $2,000 before I called CitiMortgage. I also had a 10-year fixed conventional GFE at 2.375% with about $3,000 in closing costs/fees. So I called CitiMortgage hoping they would match or come real close to the VA and/or conventional interest rate/s and closing costs I already had GFEs for.
I was told the by CitiMortgage the best they could do was 3.1% on 10 or 15 year refinance and the closing cost would be $3,000 plus. My credit score is around 800, never been late on payments, no bankruptcy, no equity taken out and great home equity. I was shocked at what they stated and how they are unwilling to work with an existing customer. CitiMortgage is one of the most uncaring and greedy companies I ever encountered and cannot believe our government lets them get away with this. What is wrong with the refinance business when our government allows these companies to continually take advantage of its customers? It should be a very streamline and simple process to lower your interest rate on an existing loan when there is good to great credit involved.
It appears to me the only thing CitiMortgage and banks like them need to do is make sure there are no liens or judgments against the property, charge a small processing fee and lower the rate with a new loan term. The cost for such a refinance should be a $1,000 or less but in turn, our government allows too many to have their fingers in the consumers pocket and run costs and fees 2 to 4 times higher than they should be. It appears our government is not about “We The People”, but is about greed and corrupt companies first. It makes me wonder why I ever served in the military. I thought it was about protecting our rights and freedoms but now I know that isn't the case. It is a very sad day in the USA to see the continual wrong that our government just turns a blind eye to.