Consumer complaint received 2023-09-11
Company: TD BANK US HOLDING COMPANY
State: FL
Product: Mortgage
Sub-product: Home equity loan or line of credit (HELOC)
Issue: Trouble during payment process
Sub-issue: Interest rate

Complaint:
TD Bank Complaint Re : Loan XXXX XXXX XXXX In XX/XX/2020, I opened a new XXXX credit line with TD Bank upon refinancing of my house. I took advantage of the fact that at closing the rate was 2.99 %. 

Based on information that I was provided by Branch and Loan Officer at the TD Bank location at XXXX XXXX XXXX XXXX XXXX, FL XXXX I acted in good faith by entering into a XXXX  loan. At the time of closing, I specifically asked the TD representatives in person ( Acting Branch XXXX ( as the XXXX XXXX branch was closed at the time ) and the Loan Officer ) what the rate would be for the for the term of the loan. 

Both TD Representatives informed me that the rate would be fixed at the date of withdrawal. I specifically inquired upon this point to ensure understanding before closing and withdrawal. 

Upon receiving this information shortly after I closed on the loan, I withdrew amounts totaling XXXX from my XXXX  credit line. I was under the impression that the rate was 2.99 % for that amount at time of withdrawal based on the information provided by the TD agent at closing. 

I only noticed this a few months after the rates started to rise and visited the XXXX XXXX XXXX XXXX XXXX branch and rates were at 5 % at the time. They would not give me any relief on the situation, only the option to lock it at the much higher rate, which defeated the purpose of me withdrawing the money at the 2.99 % rate. XXXX XXXX also told me that rates would decline later this year, which is why I did not lock it at that time and in fact the rates have risen even higher since then. 

Granted I was dealing with multiple people during the closing because of irregularities from XXXX, I was conversing with multiple people at closing. 

My complaint against TD is as follows : Misrepresentation from two TD Bank Representatives of how rate is applied to withdrawals from the loan. I was told that the rate would be XXXX based on the day that I withdrew the money. 
I was not directed that the rate had to be fixed upon withdrawl No technology-based information or ability to lock in that rate as an option available within the TD Bank App, or TDbank.com website which I now believe to be intentional. 


My situation is troublesome to me and the bank has not given me any suitable options but to accept the higher rate which has led to a significant financial burden on myself. 

I would appreciate some restorative options to the rate of 2.99 % as I was given incorrect information regarding procedures for withdrawals from this XXXX  Credit line. 
Im raising the below complaint for your support in helping to seek a resolution. I received a call today from the XXXX regarding the below complaint and did not receive any feedback from the complaint itself. It was only proposed additional options to fix a rate at a much higher cost. 

My specific concern regarding this situation is that at time of closing I specifically asked to ensure understanding of terms of withdrawal and both TD Bank Representatives in the branch at closing confirmed that the rate was fixed at the time of the withdrawal -this was the core reason thus I withdrew the funds during this time and refinanced the XXXX  at a 2.99 % rate. This was a clear misrepresentation by the agents of the underlying terms of the loan documents referencing variable versus fixed and how the rate was fixed. 

Based on todays conversation and the conversations at closing, there seems to be a lack of knowledge and understanding from representatives regarding the option of fixed rate options within your XXXX  products. 

Much appreciate steer and support to seek a resolution and to also addressing the underlying concern and how this may impact other customers that have similar products.

Company response to consumer: Closed with explanation