Consumer complaint received 2016-11-25
Company: CITIBANK, N.A.
State: AR
Product: Mortgage
Sub-product: Conventional fixed mortgage
Issue: Loan servicing, payments, escrow account

Complaint:
I 'm a XXXX veteran and Homeowner who NEVER missed a mortgage payment. My Mortgage servicer Citi instituted Illegal Foreclosure proceedings against me. I was forced to file Bankruptcy to protect my home from the Illegal foreclosure. Ireporting Mortgage servicing abuse by Citimortgage Inc. as follows : Citi, at all pertinent times acted as an agent for XXXX the actual owner of the mortgage loan. Citi, failed to properly apply payments consistent, with the terms of the loan modification and original note. Citi, failed to properly apply credits to the escrow account. Citi, failed to conduct proper analysis of the escrow account.Citi, unlawfully held funds in an unapplied funds or suspense account.On XXXX XXXX, XXXX the loan entered into a modification with Citi. Despite having no payment due until XXXX XXXX, XXXX, pursuant of the modification agreement. Citi, unlawfully withdrew XXXX additional payments of {$580.00} from my bank account on XXXX XXXX, XXXX and XXXX XXXX, XXXX.The terms under the modification contract stated that NO Payments were due or required for 2 months with the effective due date for the first payment on XXXX XXXX, XXXX. I was not given or allowed the 2 months grace period. I submitted a written and oral notice to Citi to stop payment for the {$580.00} collected under the Forbearance Agreemen.Citi withdrew funds without my authorization XXXX, XXXX and XXXX, XXXX. I contacted Citi and was informed that the funds could n't be refunded directly back to me. Citi, on XXXX XXXX, XXXX held {$2900.00} in the Unapplied Funds Account. Citi failed to properly transfer funds to pay the required {$1100.00} due for Homeowners Insurance on XXXX XXXX, XXXX. Citi on XXXX XXXX, XXXX held {$2900.00} in the Unapplied Funds Account and created a shortage in Escrow Account that reflected a negative balance of minus - {$1000.00} dollars in the Escrow account. Citi, willfully and illegally withdrew funds from my Escrow Account and paid Property Taxes. I am a XXXX veteran and hold a XXXX Exemption status. Citi was provided with the proper documentation in XXXX. Property taxes are not included in the mortgage loan contract. Only Homeowners Insurance.Citi willfully submitted a false inspection report to XXXX stating that my home " May Be Vacant '. XXXX declined to renew my homeowner 's policy due to the inaccurate report. Citi, willfully tried to force place Homeowner 's insurance on the residence.Citi, improperly refused to accept payments from me in my efforts to have my account corrected. Citi, improperly charged the mortgage account with late charges, property inspection fees, broker price opinion fees, and foreclosure fees and cost. Citi repeatedly failed to investigate and respond to inquires that I made regarding transaction errors and misappropriation of funds.Despite continued and regular payments to Citi, my mortgage loan account fell further and further behind due to misapplication of the escrow account.Citi, willfully and knowingly maintained errors on the mortgage loan account yet continued to order and run escrow analysis on the loan. This reflected an inaccurate escrow account balance and delinquent status on the loan. XXXX, reversed XXXX regular payments, and failed to provide an explanation or response to validate why the XXXX regular payments were reversed. The above actions or inactions, resulted in the mortgage loan account being shown in a delinquent status, when in fact, all post-modification payments were made on the account in accordance with Citi 's instructions. Citi improperly and willfully instituted statutory foreclosure proceedings against me and my property when the account was not or should not have been delinquent and despite my continued effor to have the account corrected. On XXXX XXXX, XXXX Citi submitted a fraudulent Proof of Claim in XXXX Arkansas Bankruptcy Court.

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