Consumer complaint received 2023-09-27
Company: WEBSTER BANK, NATIONAL ASSOCIATION
State: MA
Product: Checking or savings account
Sub-product: Checking account
Issue: Problem caused by your funds being low
Sub-issue: Non-sufficient funds and associated fees

Complaint:
Good morning, I would like to file a complaint about Webster Bank. Here is a timeline of our experience : 1. We originated a home mortgage in XXXX and a condition of our rate was to pay from a Webster bank account. We established a checking account for autopay and transferred the mortgage amount to that account each month. This worked great for 7 years.

2. Earlier this year, Webster changed their policies and started assessing a {$12.00} fee per month. I only learned about this after the fact and wasn't told that this new fee was being added and only found out in XXXX. In a recent call, Webster Bank said this change happened when they merged with Sterling Bank. During that merger, my checking account was separated from my personal account, so I never received notification of the fee changes and also stopped receiving checking account statements. 

3. Because I only sent enough money to that account to pay the mortgage ( and not the fee ), I started getting overdraft fees. Again, I wasn't told about this and I only found out in XXXX and was never notified of the fees or the overdrafts themselves. 

4. In XXXX, my mortgage payment was made on the first, but then was reversed on the XXXX without my authorization. When I called Webster Bank 's mortgage department, they said they could confirm the payment was reversed but not applied back to my checking account. They can't tell me where my mortgage payment of {$3200.00} went after being reversed but did say it was not in my checking account. They did confirm that they did, however, apply a late fee to the mortgage because the payment was reversed. 

5. It was during that call with the mortgage department that they told me about the new checking account fees and my overdrafts. I went to check on the checking account and the account was no longer associated with my Webster Bank online profile. So I can't verify the charges, access my own checking account, or see if the mortgage reversal went into that account. 

As it sits now, I still don't have access to my checking account. Webster Bank hasn't reversed the fees or given me access to my checking account. Webster Bank can not tell me where my mortgage payment is or what happened to the money after the mortgage payment was reversed. They can not tell me why the mortgage payment was reversed. 

I find it appalling that Webster Bank would : 1. Change the checking account fee structure after 7 years of having the account 2. Not notify me of the fee changes 3. Not notify me of the overdrafts 4. Reverse a mortgage payment without my direction 5. Not be able to tell me where the reverse payment went. 

I was only contacted by Webster Bank after they reversed the mortgage payment to tell me that I missed a payment ( that I had made 6 days prior ). 

I would be happy to provide any additional information that you may need. 

XXXX XXXX XXXX XXXX

Company response to consumer: Closed with explanation