NAVY FEDERAL CREDIT UNION HELOC

16 Replies

Applied for a HELOC with Navy Fed Credit Union almost 6 weeks ago and it's still not finalized. Every document they've asked for was sent to them within 5 hrs.

Has anyone experienced this with Navy Fed?

I'm thinking about walking away from the deal.

Mr. Perez I definitely have dealt with them and they are slow at best. Do they give the best rates no. A HELOC I got from US Bank took 60 days. If you call the loan officer it to cancel and find another bank it will be up to 60 date for your next loan. If you cannot wait then go through with it.

Good luck

@Laureano Perez they certainly have taken a turn for the worst.  When I first opened my account with them people answered the phone, they were responsive, it was a really good bank.  Now, they are just like every other "big" bank out there.  Kind of disappointing.  Try a smaller bank in your area to see if you can get a better response.  Don't close out the Navy Federal transaction but try another bank to see if they can close quicker, etc.  

@Laureano Perez

It does take a while. It took me almost 45 days. But Navy fed has one of the best HELOC programs. At least in my opinion. You can borrow up to 95% if it's your primary and you only pay 1% of what you owe or $100, whichever is more.

Other than that, I wouldn't buy a home through Navy Fed. 

Originally posted by @Andrew Postell :

@Laureano Perez they certainly have taken a turn for the worst.  When I first opened my account with them people answered the phone, they were responsive, it was a really good bank.  Now, they are just like every other "big" bank out there.  Kind of disappointing.  Try a smaller bank in your area to see if you can get a better response.  Don't close out the Navy Federal transaction but try another bank to see if they can close quicker, etc.  

 I believe it started when they opened up membership to folks unconnected to the Naval Service. So, basically, this is the Army's fault. :)

@Laureano Perez

As a former sailor, and a VA friendly Realtor here in San Diego, frankly I'm getting to the point where I won't even work with clients who use Navy Federal. They quote 60 days to close and 5 weeks to get an appraisal back which is INSANE. They kill deals and cause strained relationship amongst local agents. I attempted to use them to purchase my duplex before I became an agent and could not get a call back from my "Processor" after a week of calling multiple times a day. And I was Active Duty Navy! I ended up getting a local broker who answered who phone every single time, got back to me at lighting speed, and got me a higher pre-approval. I am working with Navy federal now as a favor to a friend who actually works in the customer service dept. and it's terrible. The loan processor will not call me back.

I recommend talking to a local reputable broker, they should be able to take over the file. 

Best, 

Ben 

@Ben Biggs Thanks for that eye opening view on NFCU.  I could see this being the case, because if I am not mistaken, they also seem to be extremely conservative on their numbers.  Now I will say this, I have one conventional loan through them, and I called a while back and asked for a rate mod and they just knocked my percentage down since I had been a good customer or had been paying the loan on time for two years.  It was so easy and just took me 10 minutes to make the call.  Now I do this every two years on all my loans.  Never hurts to ask.  In fact, I am due to call them again. haha  Have you had experience with USAA?

@Ryan Phillips I'm sure that once you already have the loan with them they're probably fine, and will offer good customer service like you experienced. However the problem is that they are so slow to respond that actually getting a mortgage, at least here in CA in the market as it is now would be next to impossible. With brokers able to close deals in 30, 24, or sometimes even 20 days if I tell a Listing agent we need 60 days they will probably ask for more money which a lot of times clients don't have or it will just be a flat no. I've never worked with USAA on the mortgage side but an associate of mine says they are even worse than NFCU! I always recommend a local broker who knows this market, has work ethic, you can call them anytime and their personal reputation is on the line. Processors at big banks like USAA and NFCU are just paper pushers who work a day job. 

@Ben Biggs  I didn't mean to give them much credit.  When I went to get a second loan through them, well... let's just say it didn't happen.  I would say USAA was much of the same.  It has been my experience to not work with either.  

Hello Everyone,
Any suggestions on banks or credit unions that help with the process of buying your first home ? Also has anyone heard of anything about Chase Bank ?

Thanks Everyone

Chase Bank? Never heard of them. Sorry, couldn't resist. :-)

Back to Navy Fed and the other CUs like them.... We are working on a investment property LOC with PenFed right now and they have been responsive AND proactive! So far, so good. Caveat with PenFed is that you can only own three properties total when applying for their ELOC.

I thought HELOCs were faster.  No idea what gave me that impression, as I'm working on my first one right now.  Also have been working with Navy Federal and also taking some time. Over a month.  We additionally were having to do a full appraisal, ordered about a month into the process. 

The kitchen is gutted, and a new one ordered.  Windows have been ordered. AC already in. Electrical panels are being replaced, and live wires aren't a great sign to an appraiser.  

So, now at 42 days in on a HELOC with Navy Federal, with underwriting all GO, the kitchen being gutted is too much, and NFCU won't complete. It wasn't gutted when I started, and I told him what I was doing the entire way through. Sigh.

I don't know what's "faster" about HELOCs, despite that being an oft-repeated description. We can close a purchase mortgage in 30 days, no problem. We opened a HELOC earlier this year and the bank said it would take six weeks. It too six weeks; no more, no less.

Just a thought.  I have used NFCU for both heloc and mortgage and I have nothing but good to say about them.  They gave me the 95% rolled in costs which were less than conventional and I did ask about the time which took about 60 days.  I was told that they farm out the mortgage department for processing but they keep it in house for servicing.  I also have USAA and find NFCU is better.  At least they definitely have your back if you have any problems down the road.  I use my heloc for flips and very happy with them.  Go NAVY!  I wish you well and I also bank with Chase and find them slow and more restrictive with docs.  

As a side note I did my home re-fi and the heloc at the same time which was a great advantage for me.  one stop shopping.  I also find they give the best credit lines as well.

As a side note I did my home re-fi and the heloc at the same time which was a great advantage for me.  one stop shopping.  I also find they give the best credit lines as well

I'm in the middle of a fixed Home Equity Loan with PenFed, and same story. Coming up on month 3 and nothing but horrible communication, lost paperwork, asking for the same previously-submitted paperwork multiple times, missed target dates etc. I have literally returned every requested document same-day, and there's nothing unusual or complicated about the loan. Well under any LTV or DTI issues, no unusual title, drive-by appraisal only etc.

I have an existing HELOC with them, and a previous fixed HEL that I paid off last year - so you think a relationship or history might help.

Their rates are great, but definitely factor in poor communication, and a looooong closing time with PenFed.

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