ComplaintsforAAG

• Initial Complaint

  03/03/2024

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  1/24/24, my ******** entered into a pre loan app for a refi on our existing reverse mtge w/ AAG w/ rep, J Varma. NPB, CA. He said before we get started, Im going to run a SOFT CREDIT CHECK. Not the case. Scores took a big hit. Went thru HUD counseling & appraisal. J said we had comps in the area of 800K, I told ******** dont think it would appraise for 800K but maybe 725K; but he was fixated the $800K figure & I finally said well Im sure you know what youre doing. 2/1, a Processor came by & notarized our *********** it to AAG. 2/6, appraiser came. I heard from no one other than 1 w/ a 248 area code, saying he needed to be paid for the appraisal. I asked the appraiser, "Who do I pay?" She didnt know. Called again after appraisal & said we owed $561. Told him the last time he sent this via text message, he had it. I was leery, w/ all the scams. The appraisal, (which came up in AAG's favor at 698K. It seemed to be short. Tax appraisal, 641K. On the appraisal, which I dispute, it showed our dining rm as a sun rm. Not hearing from AAG over 2 wks, I called, & the operator asked how my call could be directed. I said to anyone. ************************* had the loan & had told him it was approved & just pending closing. ****** called on 2/27. and notified me it was rejected. Said he would take it to his superiors & let me know by 2/29. Haven't heard from him yet !! Can't get any other contact info on his office. So, I feel that for our neglect, we should be reimbursed for the appraisal, HUD counseling, time spent on gathering, tax info, receipts, etc. & other expenses. All someone had to say was we didnt have enough equity, which I still dont understand. We were forced to pay upfront fees for what we didn't qualify for. Our Complaint is for Deceptive practices, predatory lending, excessive fees,elder abuse,etc. All they had to do was tell us we weren't going to qualify. We paid money for something that was never going to happen & a lot of time spent on gathering ****************

  

  Business response

  03/08/2024

  Please allow additional time for us to research and respond to the complaint filed.
  
  Thank you. 

• Initial Complaint

  04/07/2023

  Complaint Type:

  Order Issues

  Status:

  Answered

  More info

  I applied for an HECM on Feb 9 2023.I went through the all the procedures and provided all the requested documentation. On March 6th I was told I needed to purchase Federal flood insurance which I did at a cost of $3152.00. There was a thirty day waiting period before the policy would be in effect. On March 17 The loan processor called my insurance company and said AAG wanted to close the loan that day and they needed the policy effective that day. My insurance company had to cancel the policy and reissue at an additional cost of $1087.00. Then on March 21 I was informed that I needed to increase the coverage by $50000 which cost an additional $330. I was then told all was going well and we would close in March. Then on April 3 I was informed that my loan request was denied. I am now out $4569.

  

  Business response

  04/21/2023

  Attached herewith please find a response letter to the following complaint ID: ********

• Initial Complaint

  11/16/2022

  Complaint Type:

  Product Issues

  Status:

  Answered

  More info

  On October 10, 2022, we contacted AAG to start the process of obtaining a reverse mortgage on our home. On November 2, 2022, I received a call from our loan agent, *****************************, in which he told me about the value of our home according to their appraiser. It was extremely low at $700,000 when it's valued more realistically in the $850,000 - $900,000 range. I understand that their appraiser would be conservative to protect their interests, but this was so low we wouldn't qualify for the reverse mortgage. However, our loan agent said he talked to his supervisor (sounds like a used car salesman to me) and we could still close the deal if we brought $42,000 to closing. If I had that kind of cash laying around I wouldn't want a loan.So now we're out the $140 for a HUD required "counseling" session, and $640 for the appraisel. We have left multiple phone and e-mail messages to several people at AAG to find out what we need to do to cancel our application, but have received no return contact. We feel like we've been scammed and want our $840 dollars back.

  

  Business response

  12/01/2022

  AAG is working on the response and would like to request an additional seven (7) day extension to respond to the above referenced complaint.  With your kind consideration and anticipated approval, the due date will hereby be amended from 12/1/22 to 12/8/22.We hope you find this to be fair and equitable
  
  Thank you in advance for your professional courtesy.

• Initial Complaint

  11/03/2022

  Complaint Type:

  Service or Repair Issues

  Status:

  Resolved

  More info

  Failure by AAG/Reverse Mortgage *************** to secure a reappraisal; unreasonable delays and lack of communication.-- We were given until Nov. 22, 2022 to have certain repairs completed, forms sent in and reappraisal made.-- Repairs were completed on 10-12-22; forms sent in 10-19-22 (confirmed by them as having been received 10-20-22). We asked to have the reappraisal scheduled.-- Scheduled date for reappraisal was 10-25-22, 12 pm. 20 minutes before 12 noon, an employee from the ************************************ (selected by AAG/RMS) called to cancel the appointment, saying they'd call back later that afternoon. They failed to call back on the 25th. They also failed to call any other day that week. I called them to try to find out what the hold up was, left messages but got no return call.-- Oct. 26th (to present, Nov. 1st) called AAG/RMS multiple times to try to find out what the hold-up was, but AAG/RMS didn't have any answers, and no new information. Multiple failures to return calls, email us about progress. We were essentially in compliance (work specified was completed) as of 10-12-22, but needed to have contractors come back to fill out HUD-specified Lien Waivers, which was done as of 10-19-22. (Our initial closing on the refinancing of our Reverse Mortgage was completed on 11-22-21, and we were given time to get the work done until 11-22-22. -- However, Nov, Dec'21, Jan'22 - Mar'22 are *WINTER MONTHS*, and no outdoor work could be done. We also had to find a qualified contractor to do the work of *repair* rather than rebuilding, which took from Mar'22 and into Apr'22. Finally, both our front porch and deck repairs were completed as of 10-12-22, and here we are 11-1-22. AAG/RMS has stalled, in our opinion, failed to secure a reputable appraiser for us (one who would honor an appointment, for example). If repairs are not recorded by AAG/RMS, we could be *erroneously* placed in a default status, and DENIED MONIES FROZEN. That's malfeasance in our view.

• Initial Complaint

  10/16/2022

  Complaint Type:

  Order Issues

  Status:

  Resolved

  More info

  AAG's over promise and under value is cruel deceptive predatory elder abuse. AAG reverse mortgage deceptive practices. Started refi of reverse mortgage AAG in April of 2022. GFE $275,000 $130,000 payoff $36,000 cash @ closing 87-year-old widow, Refi purpose, home improvement/maintenance, vacation, medical.Suffered a stroke on 7/24 afterwards informed AAGs loan officer ********************** #NMLS ******) of her difficulty reading and comprehending the paperwork in a phone conversation. Appraisal was far undervalued (average of sold comparable homes) by $25,000. Yet paint and caulk, set aside for repairs, $950.00. Cash at close was $850 with the rest $X0,000 held in escrow for taxes / insurance. Balance of unavailable for 2 years. History of late paying taxes late by one quarter a few times earned a penalty and the privilege of now having her finances and property professionally managed. If known/understood this @ any time she would have stopped. If taxes and insurance are secured now, why the 2-year hold accessing remaining principal limit of equity?Incompetent sub-contractors. Foundation inspector failed a certified full perimeter concrete foundation for no lateral tie downs on real property with an EXISTING HUD reverse mortgage.Requiring a handyman to remove/replace exterior siding to provide photographic proof of perimeter tiedowns, providing photos and copies of original certificate of attachment documents. With no apologies the foundation inspection was revised and approved.Non-Disclosure / counseling of changes/addition to Life Expectancy Set Aside. No counsel how this affected cash at closing or penalty period. Requesting counseling recordings.Notary issues, no documents were stamped at signing, visiting notary took them back to office. As of 10/6/22 has not received signed copies.3-day cancelation period is impossible when all final documents/payments are/were pending or still not received.

  

  Business response

  10/21/2022

  Hello,

  AAG is working on the response and would like to request an additional fourteen (14) day extension to respond to complaint ID: ********. With your kind consideration and anticipated approval, the due date will hereby be amended from October 24, 2022, to November 7, 2022. We hope you find this to be fair and equitable.

  Thank you in advance for your professional courtesy.

• Initial Complaint

  09/20/2022

  Complaint Type:

  Order Issues

  Status:

  Answered

  More info

  AAG forced us into a contract for $5000 less than than the agreed on $13000. by saying they would close in 90 days and we should take advantage of the pandemic no payment till later with our old mortgage company who was calling and writing putting us on the edge of foreclosure just days before the letter of intent to foreclose AAG stepped in after 6 months gave us a sign or lose everything we own for $5000 less than the agreed upon sum. and NOT giving us a copy of the contract,I would like our $5000 an appolagy and a change in there ability to make these claims in spite of their actions

  

  Business response

  10/04/2022

  AAG is working on the response and would like to request an additional ten (10) day extension to respond to the complaint Id: ********.  With your kind consideration and anticipated approval, the due date will hereby be amended from 10/4/2022 to 10/14/2022.We hope you find this to be fair and equitable
  
  Thank you in advance for your professional courtesy.

• Initial Complaint

  08/30/2022

  Complaint Type:

  Order Issues

  Status:

  Answered

  More info

  September 2021 is when the reverse mortgage was started with the mortgage company AAG we were told that a reverse mortgage would give us the ability to help my mother financially we were promised a certain amount of money at the end of the loan not the end of the loan but in a year after the loan had appreciate it we were told we were allowed to get a certain amount of money if we wanted them to stop paying the insurance and taxes on my mothers home well a year goes by we wait we call back and they say the guy who told us that has been fired because of his conduct with the company which I'm assuming is because he was lying to people and now we have to try to refinance the house with my mom's credit and a home with its equity we're here to find out there's not enough equity in the home but we were promised when we started the loan that it would be available to us a year later we were counting on that money to set my mom up to take care of her and now they're telling me that the money that was set aside is for insurance and taxes on the property for her life expectancy which we weren't told so the problem is the money that we were originally promised to get in to this reverse mortgage we don't get because it's being saved for the remainder of the loan for her property tax and insurance but we weren't told that or we would not have done the reverse mortgage so I would like someone to contact me because I believe this is against the law and I believe that there should be some form of something thank you

  

  Business response

  09/12/2022

  Hello,
  

  AAG would like to request an additional ten (10) day extension, as we complete our research/response into BBB Complaint ***********.

• Initial Complaint

  08/15/2022

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  My wife and I took out a reverse mortage loan that closed June 2022. We started the process last year in 2021. We were working with, ********************************* as our agent. It was a terrible process with many delays and unanswered phone calls. We were given a good faith estimate early on. It said that we were entitled to over ********* as a lump sum. We were to receive this as a cash lump sum along with our property taxed and homeowners' insurance paid every month. We had several GFEs after that first one. All of them showed we would receive over ********* lump sum. We had several home estimates done at their request. Each time the value only increased to our favor. We were told the day before closing that we were only receiving ********* as our lump sum. We were told we would have to wait 4 months before we could go to another company since we had already went this far with them, We were in financial stress and AAG knew this. We never seen another GFE that showed the final loan terms. We did not see them until the evening we closed the loan. we felt such pressure that we had to sign the contract or lose everything. They are holding over ********* dollars for the lifetime of our taxes on the home. The original amount of the loan is, 129.844.00. We had spoken to them many times that we needed the loan to do house repair and to have a little in our saving in the event of emergency. We have called them to discuss our concerns but never are contacted back. Also, they were late paying our homeowners insurance. We received a letter stating we were in danger of losing our coverage. We have never been late on that payment until they took over. We want to work this out with them but can't get them to return our calls. We need more money out of this loan. It's unfair to us as seniors to take advantage of us. They knew we were hurting financially but they did not care. We don't understand why we didn't get a final GFE before signing the final papers. Everything was so pressured.

  

  Business response

  08/24/2022

  AAG is requesting an extension on this complaint. 

• Initial Complaint

  04/28/2022

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  My mother has Alzheimer's and dementia and I am her POA. Back in ********************************* applying for a reverse mortgage. The agent at that time had no problem speaking with me (*****) on the phone. Nor did he have a problem with her financial situation or poor credit report at that time. I believe they just wanted to get their hands on my mother's home. But at the time we were so financially strapped the house was our final choice. And these leeches knew that. They know we can never pay them back. So circa 2022, I want to refinance the house. They make me jump through so many hoops, and they change agents on me so much I don't know whose who. They call, then they don't call. Me and my lawyers are accused of fraudulently having my mother sign her POA. You don't know how ****** my lawyer was at that insinuation. But this was just another hold up. Now here comes the dreaded credit report that didn't mean a thing in the beginning but it does now. What did they expect. My mother's 88 with Alzheimer's and dementia, the last thing were worried about is her credit. But we were never going to get the refinance. That's the point. But you get the house.

  

  Business response

  05/05/2022

  AAG is still working on finalizing the response to the complaint requested by April 28, 2022. Allow me to submit a one-time request for a 10 (ten) day extension of time to respond to the BBB, so that AAG can address the complaint with the appropriate consideration. With your kind consideration the projected extension date will allow the additional time needed to finalize and obtain formal approval prior to submission to your office. Since the actual due date May 6, 2022, AAG respectfully requests the date be amended from May 6, 2022, to May 16, 2022. We hope you find this to be fair and equitable. (Please note do not close complaint until a final Resolution has been provided).
  
  
  We look forward to your feedback and anticipated approval. In the interim, should you have any questions or concerns please feel free to contact me at the number below.
  
  ***********************************
  Compliance Specialist II
  AAG | American Advisors Group
  Phone: **********************
  Email: *************************************
  Mailing Address: ***************************************************************************** 92612

  

  Business response

  05/16/2022

  AAG is still working on finalizing the response to the complaint requested by May 21, 2022. Allow me to submit an additional request for a 5 (five) day extension of time to respond to the Department so that AAG can address the complaint with the appropriate consideration.  With your kind consideration the projected extension date will allow the additional time needed to finalize and obtain formal approval prior to submission to your office. AAG respectfully requests the date be amended from May 21, 2022, to May 26, 2022. We hope you find this to be fair and equitable.
  
  We look forward to your feedback and anticipated approval. In the interim, should you have any questions or concerns please feel free to contact me at the number below.

  *****************************
  Compliance Analyst II
  AAG | American Advisors Group
  Phone: **********************
  Email:***********************************  
  Mailing Address: 18200 ************************., 10th Floor, ******, ** 92612
  Office Location: 18200 ************************., Suite 300, ******, ** 92612
  
  
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• Initial Complaint

  04/18/2022

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  In 12/2021, I inquired about a reverse mortgage from AAG. My contact was *********************************. Over a couple of months he collected information required for the loan. In mid-Jan. he told me that *************** would hire an appraiser for me and that the cost would be $620. I was alarmed at the high cost and told him so, but he stated that they had to go through a broker (***************), who added a fee onto the appraisal for their management, by law. I checked with the BBB and found out they had a B rating and complained to ******** that they were using an inferior company with many complaints against it. He said not to worry, that they used them frequently. The 1st appraiser cancelled, I later found out, because he didn't have time to do "a farm." The second appraiser showed up and asked me if I wanted him to do the "farm land first". Rather shocked, I told him the appraisal was for a house on five acres, not a farm. He said he was told there were 40 acres. His appraisal was lower than expected. He listed on his comparables that I had 7 rooms when he photoed 8. I complained to AAG. They said because the appraisal came in low, they could not handle my loan. I found a firm who would and tried to get the appraisal transferred to the new company. I got a **** from *************** for $775. I had already given ******** $100 for the appraisal. He had no idea where they got $775. I called *************** and they stated that the 2nd appraiser charged more and they got permission from AAG though no one got permission or notified me. Now, after two weeks of calling every department and asking to escalate the complaint with AAG, I am getting no response from anyone but ******** who is trying to get it resolved but also not having any support from AAG. I told them I will pay the $520 immediately over the phone but AAG refused to accept money for the appraisal stating that they "can't". *************** won't lower their ****. I am broke and desperate for this mortgage.

  

  Business response

  04/27/2022

  AAG is still working on finalizing the response to the complaint requested by May 2, 2022. Allow me to submit a one-time request for a 10 (Ten ) day extension of time to respond to the BBB so that AAG can address the complaint with the appropriate consideration.  With your kind consideration the projected extension date will allow the additional time needed to finalize and obtain formal approval prior to submission to your office.  Since the actual due date is May 2, 2022, AAG respectfully requests the date be amended from May 2, 2022, to May 12, 2022. We hope you find this to be fair and equitable.
  
  We look forward to your feedback and anticipated approval. In the interim,should you have any questions or concerns please feel free to contact me at the number below.

   

  *************************
  Compliance Specialist II
  AAG | American Advisors Group
  Phone: ********************** .Fax: ************
  Email: **********************************
  Mailing Address: ***************************************************************************** 92612
  Office Location: **************************************************************************** 92612

  Customer response

  04/27/2022

  
  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID ********. I will wait for the business to perform this action and, if it does, will consider this complaint resolved.

  They have until May *************************************************************************************** and the higher cost I was forced to pay.
  
  Regards,
  
  ***************************
  
   
  

*Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business. ↩