Regions Financial Corporation Mortgage Complaint

Regions Financial Corporation Mortgage department,

Other mortgage Settlement process and costs Ohio

We were the sellers in a transaction where the Regions Bank Loan Officer provided preapproval letter. On Friday, - -, 2016, we received notification that the borrowers loan was approved. The purchase agreement called for a closing date on Friday, - -, 2016 - seven days later - and that the borrower was to be provided with a 'walk-thru ' 48 hours prior to the closing. On Saturday, - -, 2016, we entered into a lease agreement with a local apartment complex where we had to pay fees and prepay first months lease which totaled $1200.00. On Monday, - -, 2016, we received an email that the borrower could not complete the transaction pursuant to the contract since his down payment money was to be provided by a - loan and he could not submit a request for the necessary funds until Friday, - -, 2016 -the day of closing. Regions Bank, in providing an approval for the loan for their borrower, did not have the capacity to do so since the bank had not verified the ability of the borrower to complete the transaction per contract dates and caused us to incur expenses based on the loan approval. We feel that Regions Bank did not act in good faith, provided false information to us as sellers, caused us to expend energy and money in complying with the contents of the contract. When Regions Bank was contacted regarding this matter and a claim of reimbursement for the apartment application fees, prepaid items and lease payment, the Bank responded that it would be investigated. However, contact with Regions Bank has gone unanswered and unresolved to our satisfaction. We would think that if a financial institution provides a preapproval letter for a potential borrower that sufficient research and due diligence would be performed to ensure that the borrower has the ability to meet the components of the contract and not cause the seller to incur undue expenses.