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Flagstar Bank Complaints & Reviews

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Flagstar Bank - Michigan, Troy / Missconduct / bad business practice

BiBi Hassan on Apr 3, 2013
with all the complaints on file this company should not be allowed to write any more loans... I have been making all my mortgage payments on time by auto pay set up from bank to bank, then one day I receive a foreclosure letter. I was shocked never behind my mortgage payments how could this happen, I thought a home owner have to be behind their mortgage payments for 90 days before getting a foreclosure letter so what is going on with this Bank what accounting system this Bank has... Now is my job to prove to this Bank who I believe doesn't have a clue of what it feels like to pay your...

Flagstar Bank - California / Insurance money being delt out in 1/3rds

mechelf on Oct 11, 2012
On September 2, 2012 my husband and I lost half of our house due to a plumbing leak. We have followed all the insurance requirements and have notified our lender (Flagstar). Since notifying our lender we have since been informed that Flagstar will take full control of our insurance funds, to be dulled out in increments of 1/3rd with an inspector that we pay for to inspect the jobs after each job is completed and before any other money is released. This is also after we had to have a notary notarized a document from Flagstar that required a supplemental form since the original required form wa...

Flagstar Bank - Florida, Starke / loan modification

screwedinflorida on Jun 15, 2012
My husbank suffered a heartattack the end of Jan. 2011 he was unable to work due to complications to bypass surgery. He had great credit, but we got behind 8mnths on mortgage they said we qualified for loan modification so we went thru there process and we got approved this is what they told us to sign papers and that we qualified for our new payment is 10.00 higher than original plus our interest rate was raised from 3.8 to 5% and they tacked on another 10yrs making it a 40yr loan where did this help us out?

Flagstar Bank - Washington / Loss Mitigation/ Foreclosure

ddjohn3 on May 9, 2012
I feel that I have been fraudulently denied the ability to short sale my home or receive any assistance through their Loss Mitigation program. In March of 2011, based on a host of medical issues and the very strong advice of my Doctor, I left my job. I was not able to draw unemployment so I had no income. At that time I contacted the Loss Mitigation department of Flagstar to pursue a Deed in Lieu of Foreclosure. Between March of 2011 and July of 2011 I had a total of 26 conversations with the Loss Mitigation department. The process requires providing a list of documentation. During this time...

Flagstar Bank - California / Mortgage Payment Process

wondries on Feb 17, 2012
I have a home mortgage got sold to Flagstar Bank. When I sent in extra money by check for "Principal Payment" only, they always use that principal payment money to pay for my regular monthly mortgage payment. (Even though I marked my check clearly with "Principal ONLY"; and I have automatic monthly payments set up online). Every time, I have to call them to fix the problem. and they cannot tell me why they always do the same thing to my mailed in checks which marked clearly "Principal Payment Only" . If I failed to double check and call in on their mistakes(deliberately made mistakes), they would...

Flagstar Bank - Michigan, Coldwater / Unreasonable Charges

matthewOna on Jan 15, 2012
I would like to complain about the lack of communication regarding transfers of my own money between my own accounts(checking and saving in the same bank). I don't see why I should be penalized for moving my own money between my accounts at will. It seems another gimmick for them to steal my hard earned money, and pay pennies for interest. I was an over the road truck driver, gone for weeks at a tie, and unable to even check my mail. I have lost plenty of money to this bank because they steal $10 per transaction for this, and I was not told about this fee at all, the only way I found out...

Flagstar Bank - California / Bank refuses to sign a certified on time payment

Janet Molina on Jan 3, 2012
This institution is the worst I have ever experienced. I got sold to them in 2002 and my problems began in 2003. However, I'm fast forwarding to Dec 2011. In November of 2011 I received my escrow statement and it showed that it was short $495.90 and it gave me the option to either send in the entire amount (and my payments would remain lower) or to do nothing and began a new increase schedule beginning Jan 2012. On Dec 6th, I sent a Western Union MO for t he $495.90, along with the enclosed return voucher to their PO Box. USPS states that because it is a PO Box they, by law and their...

Flagstar Bank - Michigan, Troy / Overcharging

Et1123 on Sep 20, 2011
I just got off phone with Flagstar. I had called to inform them that my escrow analysis was incorrect as it had used the wrong insurance amount. I was told that since my insurance was only $135 less and not the $250 less they would do nothing and instead force me to pay and extra 10 - 20$ a month for the next year because they won't do another analysis. This error on their part is 4 months old and they just did the analysis last week but didn't update their info and ran it on bad numbers. I would never get another loan from them and will move this loan as soon as I can. I should have...

Flagstar Bank - Texas, Austin / Loss Mitigation/Loan odification

isaarbor on Aug 29, 2011
A year and a half ago, I applied for a loan modification from Flagstar Bank. (Two years prior, I had refinanced with them receiving favorable service, only to find out later that the bank officer who asited in this process was let go.) To continue, I was told that I had to be 3 months behind in payments, I was only two at the time, so "made" myself three so that I could qualify for the modification; had been sent paperwork and promptly completed it and faxed it in. I was also working full time at that point; teacher for 23 years. In June of 2010, I lost my teaching job due to budget cut...

Flagstar Bank - California / 2nd Mortgage

Leanis on Jul 6, 2011
I tried to submit a payment to Flagstar Bank for the balance of my 2nd mortgage through my credit union's bill pay. Flagstar rejected it saying the amount was too great and had to be submitted through certified funds or a wire transfer. I then tried to submit a wire transfer through my credit union for the payoff amount that Flagstar sent me plus extra interest. The wire transfer was rejected. My credit union resubmitted the wire transfer and it was rejected again with no explanation. My credit union called Flagstar and was told they needed to include the mortgage company name on the wire...

Flagstar Bank - California / Additional Insurance

Steve.A.M on Mar 31, 2011
Flagstar claims that my homeowners insurance is insufficient to cover the cost of rebuilding if there's a total loss or the amount of my mortgage. My homeowners insurance guarantees replacement at 150% of the homes value which is much higher than my mortgage balance. I have called multiple times and cannot get a straight answer from them. They claim to have their own algorithm to determine how much coverage I would need. I think it's just a flat lie and an excuse to force an additional $700 charge against my account.

Flagstar Bank - Texas / Worst Short Sale Department

shortsalexpertdfw on Mar 29, 2011
Our company specialized in short sales her in the DFW area, that is all we do. After closing over 100 last year with a variety of banks I want to let every borrower know Flagstar Bank is by far the worst we have dealt with. After submitting the short sale in July 2010 and month updating with bank, pay and financial information I was just informed their financial worksheet has changed and they will not be postponing the foreclosure set for one week from today since the wrong form has been returned for the month! This bank only deals with short sales once there is a schedules foreclosure sale...

Flagstar Bank / Placed insurance on our property when we already have coverage

Duked on Feb 15, 2011
We refinanced our condo with Flagstar 1/2010. In December 2010, after submitting insurance documentation many times, they force-placed flood insurance on our condo and added the premium to our monthly mortgage payment. If i do not pay the "additional premium" part of the payment, they send me to a collection agency, then send us information on foreclosure. There are 76 condos in our building and every other mortgage company has accepted the HOA flood insurance coverage. Flagstar is the only bank that has not accepted the coverage. They are a total ripoff!!! They will not tell me what i need in...

Flagstar Bank / Poor Customer Service

Ladysm on Feb 14, 2011
My husband and I have been trying to get a mortgage modification since 2009. We call them and all they do is string you along. Month after month you send in the requested documents and they don't call you to acknowledge they have the documents. When you call them they say we will assign you an adjustor, but you never hear from an adjustor. Then the next thing is you call and they tell you that your property is in forclosure status. But they won't give you a foreclose sale date. The staff there are very rude and will not try to work with you. Like someone else stated, they know the...

Flagstar Bank / F**k them

914runner on Feb 11, 2011
I applied for a loan modification in September 2009 when my job was cutting back hours and I thought that would be a good temporary lifeline which I thought was available and I also thought the company would be willing to fix a minor problem. I was just told to send in the same paperwork every month without a response and when I would call they just would tell me it was getting sent to a modification specialist and to just keep sending in pay stubs and bank statements. Finally got an answer when I called on October 14th 2010, they told, me my modification was denied and house was being sold at...

Flagstar Bank / Loan Application Runaround

Kevin Batler on Feb 8, 2011
After seven months of application review, Flagstar denied refinance based on an inaccurate determination on residency. Despite more than 35 years of stellar credit, proven ability to repay credit - and a cost of $700 for appraisal and subordination fees (which have yet to be repaid) - and the fact that residency was not an issue, the loan application was not approved. One must wonder how federal stimulus funds are being used. If credit worthy consumers are denied loans based on unjustifiable reasons, then who is receiving the funds? Flagstar loan determination practices are at best questionable, and should be reviewed by appropriate authorities.

Flagstar Bank / Nightmare

Killo on Jan 9, 2011
After the sudden death of my co-borrower and love of my life to brain cancer, I contacted Flagstar Bank to see if I could get a loan modifacation to lower my payments so I could manage them myself. They have drug this process on for nearly 2 years. Asking me over and over for the same information. Which I continue to provide to the best of my ability. I do not want to loose my home. It is also where I make my living. But I can't seem to be able to provide the Bank with what they need to help me. I am terrified! And need help.

Flagstar Bank - Indiana, Indianapolis / Overdraft Fees

Alright, this is the FIFTH time in the past two months we've had to deal with this bank. They charge you overdraft fees when you have money in the bank stating that your money was 'on hold and not technically there' when they cannot tell us WHAT went overdrawn, what was on hold, etc. Then once one fee hits, you keep getting hit with fees for the account being overdrawn. We've even had this happen when the account has a positive balance. They are excessively rude about it, refuse to refund, and refuse to admit it is a problem with their banking system. It is positively...

Flagstar Bank - California / Poor service

I applied for a refi loan thru the new federal program to reduce my monthly payment. It's been almost 4 months since I started the process. I was told by the loan offficer that he would only use a portion of my income to qualify. Lo and behold, I received a denial letter about a month later saying I did not qualify based on my income. I contacted them and asked why all my income was not considered in the first place. Then, I faxed over proof of all of my income, which was more than suffcient. Another month passed and I received an email indicating conditional loan approval. More time...

Flagstar Bank / Waste of time

What a waste of time and money. Flagstar took my application. Appraised my home at $170, 000 below market. My rep tried to get the appraisal re-done, but after several weeks of wasting time, I went to another lender who appraised my home $170, 000 highter than the appraiser that Flagstar used. I ended up having to put thru a credit card dispute to get back my appraisal fee. The appraiser actually comped my home against a modular home that had 1700square feet still unfinished. The whole second floor was 2 by 4's. Flagstar said that with the changes and controls in place by the feds that they have no control over who appraises the home, however they do hire the third party. What a joke.
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