Consumer complaint received 2020-04-13
Company: EAST WEST BANK
State: CA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
East West Bank Branch in XXXX XXXX tricked me to do line of credit morgage instead of traditional morgage. 

5 years ago, I was switching from another bank to East West Bank for refinancing the home morgage. I explained my intention to the loan officer XXXX XXXX XXXX, who he is no longer with East West Bank, at that time. He told me that this is amount of money every month you need to pay for the following years within your morgage term. The interest rate would be adjusted accordingly based on the market. He also told me you have a credit of {$50000.00} to cash out within 5 years. After 5 years, you need to pay more if you use some of the money. I said to him that I would never be using that money within 5 years. 

I did not know why he recommend me to do that. He never mentioned anything about that within 5 years, you only pay interest. After 5 years, you will be starting to pay interest with principle. 

I have already told him that I would never use the credit he provided within 5 years. 
I did not anything about load. I thought to myself that this is just another morgage that I had with another bank. Simplying pay and make the principle less as each year goes by. 

Today, I have received a letter from East West Bank that says I have to pay double of amount of what I currently pay monthly starts on XX/XX/XXXX. I was confused I have paid my monthly morgage in the past 5 years. Why am I paying more in the following years? 

I started to call the load department on XX/XX/XXXX. They told me that I have been paying interest only in the past 5 years. I said to them, I am so confused. I have been paying my morgage in the past years. Now they said that I have been paying more than {$80000.00} for the interest only in the past 5 years. I have to starting paying principle with interest for next 15 years? They told me because I have an line of credit morgage. I said to them that the load officer never told me that I will be paying interest in the first 5 years. Also, I have never use line of credit in the past 5 years. Not a single cash out from the account. Why would I go with line of credit? 

Apparently, the loan officer mis-guided me, and took advantage of me. 
East West Bank load department told me that you should have known because you signed the contract. I said that I did not understand English. Besides, the contract like more than 10 pages long who would thoroughly reviewed each line. 

I had no idea what was going on back then. The loan officer tricked me to pay such large amount of money to bank only for interest. This is making no sense. I HAVE NOT EVEN TOUCHED LINE OF CREDIT. WHY WOULD I WANT TO GO TO THIS TYPE OF MORGAGE? 

He was not explaining these details to me at that time. East West Bank is really cheating on me, and possibly other consumers. I need justice. I tried to negotiate with them. They did not bother to listen to me. 

PLEASE HELP ME TO RESOLVE THIS ISSUES. I AM LOSING MORE THAN {$80000.00} IN THE PAST 5 YEARS FOR NOTHING.

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