Complaints
This profile includes complaints for The Federal Savings Bank's headquarters and its corporate-owned locations. To view all corporate locations, see
Customer Complaints Summary
- 64 total complaints in the last 3 years.
- 21 complaints closed in the last 12 months.
If you've experienced an issue
Submit a ComplaintThe complaint text that is displayed might not represent all complaints filed with BBB. Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business.
Initial Complaint
Date:07/05/2025
Type:Product IssuesStatus:ResolvedMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
I engaged The Federal Savings Bank for a VA mortgage. I paid for an appraisal in the amount of $$495.00.I then decided to go with another lender and asked that the Appraisal fee be refunded. **** only refunded me, $363.05. I am asking that the remaining refund balance of $98.95 be issued to my credit card. I have the statements from them in emails and on my credit card statement, indicating the $495.00.Business Response
Date: 07/17/2025
Please see attached.Customer Answer
Date: 07/17/2025
Complaint: 23559472
I am rejecting this response because: I was not told either in writing or verbally, that any services were completed at a cost to me, third party fees were incurred for the credit
report, flood determination, and fraud report, all of which I never approved or was told about. either in writing or verbally, the loan estimate showed the fees, but did not indicate they were actually paid for, please sxe attached.
Sincerely,
***** *********Initial Complaint
Date:06/27/2025
Type:Service or Repair IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
Applied for refinance. Turned in every piece of information asked for in a quick timely manner and was told I would have the cash out by a certain date. I was told I would hear back in one day to set up closing and now account has been showing "with underwriting" for over a week and neither the banker or his manager will return my call, email or text message. The date this was supposed to be settled by is in 3 days.Business Response
Date: 07/17/2025
Please see attached.Initial Complaint
Date:06/26/2025
Type:Order IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
Me and my wife ****** ******** we applied for a mortgage Refi with Federal Saving back in Jan 2025 I had to wait until I guess credit was down but that's not the issue here mortgage this **************** has gotten their monies, and we are left with a check that my wife has been frustrated she had an auto loan due on the 15th of June and we closed on June 9 2025 and since that time we are given the run around as if its not Federal *********** that can't get the results we signed up for the purpose of the loan was to payoff my wife's auto loan and it wasn't done we were sent the check and the auto loan company reported to my wife they don't have it??? so the former mortgage company been paid and we are left looking very stupid A BLANK CHECK THAT NO ONE WANTS , you'll NEE RESOLVE THIS MATTER IT'S 17 DAYS LATED AND WE ARE LEFT HOLDING A CHECK WOW NOT WHAT WE EXPECTED??Business Response
Date: 07/17/2025
Please see attached.Customer Answer
Date: 07/17/2025
Complaint: 23520938
I am rejecting this response because:
Sincerely,
**** M ******** As of July 17 2025 this account holder ****** ******** has accessed late payment & late fee's on credit bureau report as of July 17 2025? A very terrible experience wouldn't wish on anyone the continued stress added to us we closed this loan on June 9 2025 45 days later Ally Auto account not paid??????Business Response
Date: 07/22/2025
Please see attachedInitial Complaint
Date:06/17/2025
Type:Product IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
I began working with Mr. **** ****** from The Federal Savings Bank on February 14, 2025, and submitted our documents for pre-approval. On March 5, we made an offer on a home and paid an application and appraisal fee. That home fell through before an appraisal was done. Mr. ****** told us our deposit would roll over to the next property.On March 24, we made another offer. While reviewing the banks disclosures, we saw closing costs that were $10K$15K higher than expected. Mr. ****** said the numbers were inflated as a buffer and would decrease. We also noticed the quoted interest rate was 7.25%, while the market rate was 7.00%. When I asked, he said that was standard unless we paid $850 to buy the rate down. I told him I would call other lenders, and he ended the call with, If $850 is too much, why are we even working together?Another lender offered the standard rate with no buy-down, and we closed with them without issue. I informed Mr. ****** via email that we were not moving forward and requested cancellation and a refund, since we never signed or had an appraisal. He never responded.After weeks of no contact, I reached out to his manager, Mr. **** ********. He eventually texted me asking if I saw a $368.05 refund, which had posted on April 9. I confirmed and asked why no one had contacted me. He acknowledged the lack of communication and said he was working on resolving it. I explained again that we never signed anything and never received an appraisal. He agreed but has not responded sinceits been over 15 days.This experience has been frustrating, and Ive now seen others have similar issues. I am requesting a full refund of all fees, as services were not provided.Business Response
Date: 07/14/2025
Please see attachedCustomer Answer
Date: 07/14/2025
Complaint: 23482000
I am rejecting this response because:
Thank you for your response, but I do not accept it.
I was led to believe by Mr. **** ****** that I would receive a competitive, fair market interest rate. At no time was I told that I would need to buy down the rate to access what other lenders were offering as standard. Only after I questioned the inflated 7.25% rate was I told Id need to pay $850 to reduce it. This is fraud, as I was misled about the true cost of the loan.
The rate and fee structure should have been clearly disclosed before asking for any payment. I should not have to pay to learn what rate I would receiveespecially after being told I was getting a fair market rate. Instead, I was given a vague estimate and pressured to continue, only to later discover additional costs that were never mentioned up front.
Mr. Forkers dismissive behavior, including saying If $850 is too much, why are we even working together? shows a lack of professionalism and respect. I canceled the process before services like the appraisal were ever provided. It took multiple follow-ups and weeks of silence before a partial refund of $368.05 was issuedwithout any communication or explanation.
This experience was deceptive, unprofessional, and fits a troubling pattern Ive seen in other complaints. I am again requesting a full refund of all fees paid. I was not given the service promised and was charged under false pretenses.
Sincerely,
***** *********Business Response
Date: 07/17/2025
Please see attached.Customer Answer
Date: 07/17/2025
Complaint: 23482000
I am rejecting this response because:
I do not accept this response and consider it fraudulent.
The bank claims that the Loan Estimate disclosed a 7.25% rate with no discount points, and that I was told a 7.00% rate would require payment. That is not true. I was assured by Mr. **** ****** before paying any fees that I would receive a fair, competitive market rate. At no point prior to payment did he mention that I would need to buy down the rate to receive the market standard. That key detail was withheld until after fees were collectedthis is exactly why I am calling the conduct fraudulent.
The bank continues to misrepresent the timeline. The rate buy-down requirement was only disclosed after I questioned the high rate and considered shopping around. I paid based on misleading verbal assurances, not based on full and fair disclosure of terms.
I never agreed to pay third-party fees just to find out basic rate information that should have been disclosed transparently up front. Had the buy-down requirement been clearly explained before taking my payment, I would have never proceeded.
Your loan officer made verbal representations that contradict what the bank now claims. That is deceptive. The fact that another lender offered better terms without a buy-down is not the issueits that I was misled before payment was taken and only received the full picture after asking pointed questions.
I am again requesting a full refund. Your refusal to acknowledge this misrepresentation only supports my claim. This is not a simple misunderstandingit is a breach of trust and a deceptive business practice.
Sincerely,
***** *********Initial Complaint
Date:05/29/2025
Type:Billing IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
The Federal Savings Bank in **********, ** will not stop harassing me about refinancing a loan. I don't even have a loan, and have informed them several times. Whenever I ask them to stop calling or tell them that I do not have a loan, they hang up on me. They will not stop harassing me and I want them to put me on their DO NOT CALL list.Business Response
Date: 06/03/2025
Please see attached.Initial Complaint
Date:05/21/2025
Type:Billing IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
2nd mortgage with ***. Before my 1st payment was due, they sold the mortgage to a scam company. I called this company and they said they were a debt collection company and they refused to answer my questions and hung up on me. I contacted ***, first regarding them selling my mortgage without my knowledge. Also, my winter taxes (about $25) was due to *** said (and closing documents prove it) that they were going to pay my taxes. They never did. Now I had to pay penalties. *** never responded to either of my emails regarding these issues. I will never trust this company and no I am getting a different loan through my own bank to pay off this scam company that *** sold my mortgage to. The company they sold to is ********** and you only have to read the reviews on ********** to know - or call them and they will tell you that they are debt collection company. I asked if they deal in mortgages and was told "we are a debt collection company". Also, *** sent me a letter that my 1st payment should be paid to them but Shellpoint sent me a letter that I received the same day stating that my 1st payment should be paid to **********. Done with this. Also - while getting the 2nd mortgage, I was working with one person, then all of a sudden I was working with someone else on refinancing my 1st mortgage which I didn't want to do. What a mess. Of all companies they could have sold my mortgage to - *** chose this *************** company. And 1st payment - I made one to both *** and ********** and *** said they would forward the payment on to ********** but haven't. Where are they putting all my money?? Where are my tax monies that they were suppose to pay and the documents show the funds came out of the loan??Business Response
Date: 06/10/2025
Please see attached.Initial Complaint
Date:05/07/2025
Type:Product IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
I paid for a appraisal that I never got, and they refuse to refund my moneyBusiness Response
Date: 05/30/2025
Please see attached.Initial Complaint
Date:04/14/2025
Type:Billing IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
i was getting a loan they went up on closing cost and i would not continue with loan they took a $500.00 off my credit card for a apprasial was told they was keeping ***** for credit check ending up refunding 183 and keep the restBusiness Response
Date: 04/18/2025
Please see attached.Initial Complaint
Date:03/30/2025
Type:Billing IssuesStatus:ResolvedMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
On 12 March 2025, I spoke with an agent at The Federal Savings Bank to maybe get an equity loan. The Agents name was ******. The Agent said that he would get some numbers together and contact me more before we pulled a credit report. At no time did I authorize him to pull my credit. He said that there would be a $150.00 app fee and that I may need a home appraisal. Then next thing I know, I get some notifications that my credit has been pulled. Then I got an email saying to pay $510.00 which I thought was for the app fee and the appraisal. I paid for it by credit card on the 12th of March. Then on the morning of the 13th, I email ****** back and cancelled the loan process. He said he would initiate a refund. Then weeks later I get a refund for only $155.00. No appraisal was done and again I never authorized a credit check. So they kept all of my funds except for $155.00. This is not the first time that The Federal Savings Bank has done this as there are other customers that had the same experience. I cancelled the loan process the very next morning so I feel like they should have refunded everything except for maybe the app fee which was $150.00. So this company did nothing for me. I never authorized a credit check, a appraisel was never done, so really I paid $510.00 for no reason. I did contact the agent again and he said that he contacted the finance department with his company The Federal Savings Bank and that there was nothing else they could do so they kept my funds for no reason. I did file a credit card dispute with my credit card company and the charge was credited back to me but then later, it was charged back to my credit card. I feel this company took advantage of me and looking into the history of this company, looks like I am not the only one that has had the same issue. Other people are complaining about the same issue I had of this company pulling credit reports without authorization. This was not right and I feel that I should have gotten the fundsBusiness Response
Date: 04/08/2025
Please see attached.Customer Answer
Date: 04/09/2025
Better Business Bureau:
I have reviewed the response made by the business in reference to complaint ID ********, and find that this resolution is satisfactory to me.
Sincerely,
**** ********Initial Complaint
Date:03/25/2025
Type:Product IssuesStatus:AnsweredMore info
Complaint statuses
- Resolved:
- The complainant verified the issue was resolved to their satisfaction.
- Unresolved:
- The business responded to the dispute but failed to make a good faith effort to resolve it.
- Answered:
- The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.
- Unanswered:
- The business failed to respond to the dispute.
- Unpursuable:
- BBB is unable to locate the business.
We completed an application for a cash out refinance mortgage on February 24, 2025. I worked with ****** ******** (NMLS ID# ****** and advised him that my boyfriend was not on my home title. I asked if we should wait until we were married and then add him to my title. Mr. ******** advised that this was not necessary as an *** loan did not require both borrowers to be on the title. The loan progressed and I shared all title and necessary documents. We received conditional approval for the loan. Mr. ******** never mentioned the title until we were fully engaged in the final loan approval step. On March 19, ***** ***** advised that the underwriters needed a few more items to approve the mortgage. Again, adding my boyfriend to the title was NOT mentioned at this time or at any previous time. On March 24th, Mr. ******** advised that the loan could not proceed unless my boyfriend was added to the title. I feel that Mr. ******** committed loan fraud by withholding crucial information that would have deterred me from applying for the loan/mortgage. I have incurred financial costs due to Mr. ********** fraud. I am requesting a full refund from The Federal Savings Bank (Amount Paid: $835.00 Date Paid: March 4, 2025 Transaction ID: *************Business Response
Date: 04/08/2025
Please see attached.Customer Answer
Date: 04/09/2025
Complaint: 23112711
I am rejecting this response because: Mr. ******** never told me that Mr. ****** needed to be added to the title. In fact, just the opposite. He said that he would NOT be required to be added. I would NOT have proceeded had he given me the correct information. IN addition, Mr. ******** failed to tell me that we needed to have a foundation inspection (and his supervisor personally called me to apologize that Mr. ******** had made such a basic mistake!). This case has been filed with the appropriate government agencies and I have been assured that they will be looking very closely at the Federal Savings Bank misconduct. I am deeply troubled that such a financial institution exists and that they are not being held accountable for this mortgage fraud!
Sincerely,
******* *******Business Response
Date: 04/11/2025
Please see attached response.Customer Answer
Date: 04/14/2025
Complaint: 23112711
I am rejecting this response because ***** ******** did NOT tell me that Mr. ****** would need to be added to the deed. Everything else that was needed was in writing - show me where he ever stated in writing that this was required. I regret working with your institution and feel that Mr. ******** committed mortgage fraud. I will continue to post poor reviews in the hopes that another person is not hurt financially by your dishonest institution.
Sincerely,
******* *******
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