Bait and switch. I wonder if there is a class action deceptive advertising and/or other potential claims in the making here.

USAA increased substantially the amount of money we needed down based on supposed "oversupply" of houses. Of course, this was not until after they had our application fee only refundable after a denial, and they claim we are not "denied" because we can get "a loan." It's not the loan we applied for or we were all but promised - of course they leave themselves legal copy that allows it to fall short of an actual promise. Conveniently the increased amount is what we have in the bank, very similar to other complaints I've read. All of this very close to closing.

We are dropping our insurance, banking, and investments.

Please if you suspect any funny bait and switch tactics please please post here and contact the better business bureau. If you are an employee and know they are deceiving customers, please contact a lawyer and whistleblow! NOW!

Has anyone had a house appraise that was not in a declining market and/or in an oversupply market putting less than 20% down? It's fine if USAA wants to limit to 20% down, but they need to tell people that upfront, not reel people in until they have no time to find other alternatives.

Horrible first time home buyer experience. My processor could not be reached by me for over a month prior to my closing date. Sent us a Good faith estimate of closing costs for est. 7708 in which seller was paying 7000, I already paid $500 to realtor and 350 to USAA. We were told through email that we would not need anything at closing, since we rolled the VA funding fee into our loan. Closing was at 1:00 pm, at 12:59 the processor faxes over a new good faith estimate to Escrow and title place where we were doing closing at with a difference over 2396, in which they expected us to have a certified check for at that time. To me going from bring no money to bring a certified check for 2396 in a one minute time frame is BS. Before signing we called to speak to the processor to find out why and what is going on, of course unable to contact, spoke with his "supervisor" who told me "we verified that you have this money in your account and can pay it" in which I replied It does not matter what I can or can not pay and it is not for you to determine where my money in my savings account goes, if you wanted this amount of money then you should have let me know in the beginning or at least hire someone who can do better estimates within a reasonable amount. Basically it came down to having to pay it, or turn the 24 ft uhaul, my kids, my dogs and my cat back around and go back to the state I just came from. It turned in to a horrible day for me, I would not recommend them to anyone especially a first time home buyer. Good luck if you choose USAA and pray you don't Ricky for a Processor.

Horrible rates...make sure you shop around and compare all costs. A lower origination fee doesn't make up for paying more over the life of the loan.

I had my preapproval all set with USAA. I had a pending offer on a short sale that took almost 100 days to get approved. I would check weekly on the USAA website to see rates. I would input the state, city, and county. Along with loan data that showed a 5% down payment. Everything looked great.

Then, my contract got accepted. Three hours latter USAA called me. Congrats on the home. However, your zip code is in a declining market. Instead of 5% down we need 10% down.

I said, but I have been checking on your website. 5% down works!

They said sorry.

Fannie Mae appears to be their source of cash. And FM calls the shots not USAA.

Words can't describe how disappointed I am in USAA right now. And to cap off my disappointment I just got a junk mail postcard for USAA saying how I was pre approved and USAA would stand by me while I look for my dream home. Wow. Thanks USAA for nothing.

Here is a fun article to read. Basically, USAA yanked financing the DAYS BEFORE CLOSING because the home was suddenly in a declining market and the buyer couldn't cough up the extra 5%.

http://www.washingtonpost.com/wp-dyn/content/article/2008/01/12/AR2008011200269.html

Shame on you USAA!

I understand what water is saying in that the application fee was a bit surprising. They did go the extra mile for me however and provide me with an overall good experience. I must defend the USAA in this case.

Application fee a deal killer.

USAA was the only mortgage company I found that required an upfront nonrefundable application fee. Oh they do apply the fee to your mortgage, but if you don't go with them, you're out of luck.

The application is a long one, but the approval is quick after you submit. They have excellent customer service. This is my first home purchase so I have had a lot of questions, and they have paitently answered every single one. They also offer a program called Movers Advantage that helps you find a real estate agent and offers a cash rebate after closing in most states - I am getting $1250 back.. For control freaks like me they have an online loan status page so you can check the tasks that you need to do and the ones that USAA is working on.