Consumer complaint received 2023-08-31
Company: FIFTH THIRD FINANCIAL CORPORATION
State: GA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Struggling to pay mortgage
Sub-issue: Trying to communicate with the company to fix an issue related to modification, forbearance, short sale, deed-in-lieu, bankruptcy, or foreclosure

Complaint:
Follow-up to complaint # XXXX THIS IS NOT A DUPLICATE : new issues are being addressed in this CFPB complaint. 

THIS COMPLAINT APPLIES TO BOTH THE PRIMARY AND EQUITY FLEXLINE MORTGAGES. 

I want to address XXXX issues that were not adequately addressed by XXXX ( these issues were addressed in letters dated XX/XX/XXXX and XX/XX/XXXX and other subsequent correspondences ) : XXXX ) PRIMARY MORTGAGE the letter states that I am listed as a co-borrower with my ex-wife on the primary mortgage and in order to remove her name, I have to refinance! The problem, which I mentioned in the last CFPB complaint, is that XXXX took almost 9 months to process the last hardship application and during that time frame interest rates have significantly increased making it difficult to afford a mortgage at the higher interest rates. How could it take 9 months for XXXX to respond to a hardship application with no accountability and no concern for fluctuations in market interest rates. 

XXXX ) XXXX  XXXX  XXXX mortgage : there are XXXX issues here a. the XX/XX/XXXX letter states that XXXX has confirmed I am not listed as a borrower on the Equity Flexline and at this time they are unable to provide any details regarding a loan that I am not listed as an owner of. 
b. But as I pointed out in my CFPB complaint, when we finally received the response from my hardship application ( that took almost 10 months to receive a response ), Fifth Third underhandedly attempted to bind me to the loan WITHOUT REFINANCING ; this is financial sleight of hand of the worst sort.... The first paragraph on the first page of the LOAN MODIFICATION AGREEMENT states : START OF PARAGRAPH... 

" This Loan Modification Agreement is made on XX/XX/XXXX, between XXXX XXXX XXXX, XXXX XXXX XXXX ( " Borrower ( XXXX ) '' ) and Fifth Third Bank , National Association ( " Lender '' ). The parties recite and declare that : a. Lender is the holder of a note made by XXXX ( XXXX ), dated XX/XX/XXXX principal sum of XXXX XXXX and XXXX/XXXX ( XXXX ) {$85000.00} together with interest thereon at a fixed rate more fully set forth therein ( the " Note '' ). 

END OF PARAGRAPH... 

My main issue with this XX/XX/XXXX paragraph is that Fifth Third tried to illegally refinance the flex loan and bind me to the flex loan but then ONLY AFTER I pointed this financial sleight of hand out to XXXX, and then they come back on XX/XX/XXXX ( 3 months later ) with a letter confirming that I am not listed as a borrower on the Equity Flexline without admitting that I caught them trying to refinance my name on to the Equity Flexline. This is not cool and violates the bank 's duty of care. So XXXX can use a financial sleight of hand to refinance me into a mortgage but then want to read the riot act to me that I need to refinance to remove my ex-wife from the primary mortgage. 

Both of our names ( my ex-wife and myself ) are on the primary mortgage and likewise, both names should have been on the flex loans. It is very insulting that Fifth Third is attempting to add me to the flex loan to make it appear that " well you ( XXXX XXXX ) agreed to be added to the flex loan hardship offer and you signed the document '' and now you have to refinance both loans to remove your ex-wife from the loans. 

This is a major screwup by XXXX and now they want to hold me accountable. 

XXXX ) FORECLOSURE : In an XX/XX/XXXX letter under the paragraph titled Additional Important Information, Fifth Third says If we receive your package within 37 days of a scheduled foreclosure sale, we will make every effort to expedite our review of it prior to a scheduled foreclosure sale... : my issue is what foreclosure is XXXX talking about? I am making my monthly payments on the primary mortgage even though I am struggling while taking care of XXXX daughters including XXXX who is mentally ill ( I sent in the official XXXX order documents making me the legal guardian and conservator ) daughter. So why mention foreclosure in this letter when my name is only on the primary mortgage that I am making payments on? I am not responsible for the XXXX XXXX since my name is not on the paperwork. 

The other problem is that my ex-wife does not and is not paying anything towards the XXXX mortgage monthly payments and I can not make her because we are not married. 
Both names should have been on the flex loan when we signed up for it. Also as previously noted, due to the long time frame to process the original hardship application which covered both the primary mortgage and the flex loan, my hardship is much worse and an affordable REPAYMENT PLAN workout option should be approved for both mortgages ; I have no problem paying both mortgages if they are refinanced in my name at affordable mortgage rates this XXXX up is not my fault. 

It is not fair to penalize me for XXXX Thirds ' errors and delays by obligating both of us to a loan that is only signed by XXXX responsible party. In order to add me, XXXX XXXX, to the flex loan, Fifth Third has to refinance. I am requesting that Fifth Third refinance both mortgages to remove XXXX XXXX 's name and offer an affordable REPAYMENT PLAN that fits my budget as I am recovering from the pandemic that shut my business down. I have started a new business that has just reopened and this has to be taken into consideration in the REPAYMENT PLAN. 

It is not our fault that the flex loan was processed incorrectly. I do not see any legal grounds for Fifth Third to underhandedly attempt to add me, XXXX XXXX, to the flex loan and then 3 months later admit their attempt to trick me into signing the equity flex to bind me to the closing documents. It appears that we are being forced to sign documents to cover up Fifth Third 's errors. 

In addition to all of the above, how can a hardship modification result in a higher monthly payment which makes our hardships much worse? If Fifth Third can try to add me, XXXX XXXX, to the flex loan, I see no reason why they can not remove my ex-wife 's name from the primary mortgage! 

The bottom line is that due to XXXX errors pointed out above, I can not afford to refinance at todays interest rates and it makes no sense for a modification approval to result in a higher monthly payment AND foreclosure should not be an issue if I can not make monthly payment on an Equity Flexline XXXX mortgage where my name is not on the closing documents.

Company response to consumer: Closed with explanation