I know a lot of people around hear swear by USAA and I have always heard they are a a fine company, but I have to warn you about their mortgage side.

I have a client buying a house, putting about 30% down, owner occupant. So here is the timeline. We go under contract on Sept 6 and list a closing date of Sept 30th in contract, which most mortgage guys on here would say is reasonable.

USAA says the earliest they can close is OCT 6. I roll my eyes and the seller is OK and says in fact, they will be out of town and want to move it to OCT 17, buyer is ok.

We were at the inspection on Sept 10th and the appraiser walks in the door and does his thing so I figure we are good. Yesterday USAA claims to not have the appraisal OVER a month after it was done. they blame the appraisal management company of course but this is an item that should have been taken care of, oh about 20 days ago.

Then, I was having lunch yesterday with a closer from a title company and she said she has had 2 almost identical sounding scenarios happen with USAA in the past month and they closed late. They seem to be dropping the ball.

Plus, their rates are nothing special either. Many times I have been told by borrowers that they doubt I can beat the estimate they already have because it is from USAA but that is not how it usually plays out.

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[This message has been edited by Jay@AgsReward.com (edited 10/14/2011 11:08a).]

I have had good and bad experiences with USAA. Sometimes they have been ok, other times they were a nightmare. That being said, I haven't done a deal with them recently....

As of a year ago they didn't write 80/10/10 or 80/15/5 loans either - they just stick you with PMI if you don't have 20% - which means they could be selling a lot of loans to their members that may not be in their best financial interest.

I love everything about USAA except their mortgage service. Worst experience ever.

We used USAA for our mortgage (and just about everything else) when we bought our last home about 4 years ago. They were great. This time, we went to apply and they wanted $60 just to fill out the online application. Combined with all the recent bad we've been hearing about their mortgage services, we went elsewhere (Jay@agsreward).

bad experience as a seller with a buyer that used USAA......they messed up our closing twice, dragging their feet on things.

I refi'd with usaa ~2.5 years ago.. flawless experience, and a low rate.

To the person who said 'they aren't the lowest'.. I don't think they ever claim to be the lowest rates for home or car, but whichever companies they don't beat, they make up for it in customer service.

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I don't think they ever claim to be the lowest rates for home or car, but whichever companies they don't beat, they make up for it in customer service.

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I made no comment on thier home owners or car insurance rates as I was referring to their the mortgage interest rate quotes I have seen.


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they make up for it in customer service.

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USAA has had the absolute worst customer service for any mortgage company I have seen in at least the last 2 years. It has taken days in some cases just to get someone on the phone or to answer an email.

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I made no comment on their home owners or car insurance rates as I was referring to their the mortgage interest rate quotes I have seen.

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I didn't comment on 'insurance' either.. not sure why you thought I was.
I was talking home and car.. loans.

I used USAA mortgage in the past eyar and had no problem. My loan processing agent had a bit of an attitude, but everything got done on time (~30 days from contract to close)

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I didn't comment on 'insurance' either.. not sure why you thought I was.
I was talking home and car.. loans.

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Fair enough, I guess the inclusion of the car was what gave me that impression. I have zero experience with their car loan rates or customer service. I do, know however, they outsource most of their mortgage operation, no idea about the car loans.


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I've been a member for 20 years -- excellent company except for mortgage services. Will never engage them again in that respect -- remarkably bad mortgage service and frankly they are either incapable or disinterested in fixing.

Steer well clear

We just used USAA on our first home purchase. We had some problems getting ahold of our loan rep. Near the begining, while trying to make sure they had gotten everything correctly, it took over a week including 3 VMs and at least 2 emails (including the final one to CCing the supervisor). I finally got an email that was unfortunately CC'd to my wife stating that we didn't have enough money to close (really they didn't have all of our bank statements) but damage was done and wife was freaking out. The loan rep didn't like to answer when I called, and once I immediately called the general number and they wanted to forward me to her... then she answered. Those things pissed me off. We did close on time and didn't have any other issues, but I might have gone with a different lender in hindsight. We locked our rate in around sept 20th at 4.00% and paid .625 points; if that helps anyone with comparing USAAs rates.

I missed one closing when i bought financing a conventional 20% down loan through them. They decided the day before closing that they wanted a new survey. Of course in all the previous conversations with my helper monkey, I mean agent, "everything is fine, it all looks great!" When we finally did close they were so late getting the doc's to the title company we were able to get everything signed, but by the time the funds arrived it was too late for the title company to file everything at the courthouse so they wouldn't release the keys. SO I spent a weekend sitting in my apartment staring at boxed stuff that I couldn't move.

The appraisal industry is really backed up these days. It is a minimum of 3 weeks before you can get an appraisal.