I assisted a family member in purchasing a house. Flagstar Bank is the lender and was ridiculous in the paperwork and procedures they required.
I was helping with the down payment and Flagstar Bank required a letter from me concerning my involvement. The initial letter was not enough and they required a "re-write". Instead of taking the funds to closing, even in a certified check, they required the funds to be wired to the title company ahead of time. This is in spite of the fact that we have an excellent credit and financial history.
Their requests were above and beyond normal practices for home purchases just to get to closing. After reading some of the other reviews concerning Flagstar Bank, I am afraid what will be encountered during the management of the loan. I recommend anyone considering using Flagstar Bank to check out the reviews very carefully. People have choices and it is competitive out there.
No one has to deal with banks that treat all their customers like high risks, no matter what their credit history is.
Product or Service Mentioned: Flagstar Bank Mortgage.