Consumer complaint received 2024-01-17
Company: M&T BANK CORPORATION
State: CA
Product: Mortgage
Sub-product: FHA mortgage
Issue: Trouble during payment process
Sub-issue: Trying to communicate with the company to fix an issue while managing or servicing your loan

Complaint:
I am a XXXX XXXX and had been XXXX  twice due to XXXX. I have fallen behind with all of my creditors, includes M & T bank my mortgage servicer. In XXXX of XXXX  I started discussing workout options as I was {$9800.00} behind. 

I was advised to apply for the California Mortgage Relief program as well as applying for workout plans with M & T Bank. I did both. 

I was approved with an internal M & T Bank workout called " Partial Claim '' and before executing the documents I specifically asked if proceeding with the M & T work out would jeopardize my application with the state. The partial claim is backloaded and still owed and the state funds were not. I was assured it would not, as " often the sate approval take longer and in this case, state funds would either pay off the partial claim, be applied to payments, or a combination of all ". These calls are recorded and I encourage anyone to listen, as I used to work in Mortgages and I asked a very black & white question and received a very clear answer. There was no confusion on my part. With that information I proceeded with the M & T Partial Claim. 

In the meantime, I was approved for the state program and approximately XXXX dollars were sent to my servicer and ae currently being held. I inquired how the funds were to be applied as a XXXX payment was due I have spoken to XXXX different agents ( the first being XXXX, second date I am unsure and today XXXX ) since funds have been received and the first stated there was a special department with M & T bank that no one can communicate with ( myself or representatives from M & T ) Call XXXX on XXXX : Said they would " note the system " asking how my funds would be applied Call 2 on unknown date in first week of XXXX : I was told I had been misinformed and that they had to send the XXXX back to the state due to my loan being current through a partial claim. I again begged them to reach out to the M & T department in control of the funds asking them to communicate with the state to at least payoff the partial claim. She said she would ( I believe I had insisted on my call being escalated, so this was some type of superior ) Call XXXX on XXXX : I was introduced to a single point of contact ( first time for this ) XXXX XXXX, who seemed more knowledgeable than the rest, but he stated that in the notes, there had not been any previous requested to the internal M & T department handling my funds. He said he would do so asking for payment on the Partial Claim. He recommended I reach out to my state, so I did. I asked for my case to be escalated as I had ben misinformed along the way and I am familiar with mortgages, documents and terminology, so I can only imagine how confusing and frustrating this could be for someone that has no mortgages knowledge. 

On XXXX I reached the state XXXX representative and she stated if M & T does not void their partial claim or somehow apply the state funds ( which to date has not been returned to the state, rep confirmed ) I would have to reapply for another program. They also stated this happens " often with servicers '' and was told to file a complaint here. 

Of course I am hoping to fix my situation, but I also want to help the " next guy/gal '' as it is unfair that M & T Bank has the power to foreclose on people 's homes, but every agent is misinformed and gives different information. In addition, they do not have the ability to talk to internal departments and / or did not follow through with communication to said internal departments as requested and was told would happen. 

Again, all of these calls are recorded so I encourage someone ( ideally M & T Bank for training purposes ) to review so this doesn't happen to anyone else. 

It would also be advantageous for M & T Bank to have someone for me to relay this information to so they an improve but to my many requests I was told there was no one. Again, selfishly I hoped to rectify my situation, but at the very least M & T Bank needs to learn and grow from this for people in the future, which to date they will not.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation