Guaranteed Rate.com Mortgage refinancing applicant Boca Ratan Florida

Beware of this company!

I applied for a refinancing on my Florida second home with this company in late May 2013, fixing a rate.  After providing requested information and completing their application, I was advised on June 18th that my loan was approved.  Guaranteed Rate then asked me to provide information on my existing insurance and a few other less critical issues.  

In reviewing my existing insurance policy, Guaranteed Rate advised me that their underwriters required 100% of the loan amount in insurance coverage.  I thought this was strange and my insurance agent commented this made no sense, because it completely ignores the significant value of the land.    However, the Loan Officer was adamant this was critical, or they would have to reduce the loan amount.  I reluctantly agreed, after being advised by my insurance agent that I can't just change my insurance amounts with ease.  Once I increase it (based on submission of the appraisal from Guaranteed Rate) I won't be able to reduce this. 

After I agreed to the insurance increase, I assumed the final loan documents would be coming shortly.  However, instead, the Loan Officer called me to say they realized they needed more information.  This went on for about 6 weeks, asking for proof of earnings, business statements, etc., and at one point (late July) the Loan Officer advised me that my loan rate had expired and they would need to adjust my rate by 1/2%.  Reluctantly, I agreed.  I thought this would be the end; however, was again told the Underwriter needed more information.  I continued to provide bank statements and other materials until last week, when I was told Guaranteed Rate had declined my mortgage. 

The fact that I spent almost 3 months providing information and materials for this waste of time was frustrating enough.  In retrospect I have no idea what Guaranteed Rate means when they say they have an "Approval."   However, I have my suspicions, given interests rates were increasing and my locked rate from may was attractive. 

However, worse than their jerking me around, my insurance premiums have increased by almost $700 PER YEAR because of the demands by Guaranteed Rate.  I can't get out of these increased premiums.