Consumer complaint received 2021-12-06
Company: FIRST CITIZENS BANCSHARES, INC.
State: SC
Product: Vehicle loan or lease
Sub-product: Loan
Issue: Managing the loan or lease
Sub-issue: Billing problem

Complaint:
RE : First Citizens Bank, Questionable application of Principal payments In XX/XX/XXXX the car dealership initiated a loan on our behalf through First Citizens Bank. 
First Citizens Bank mailed a coupon book, which clearly specifies the following : If you wish to obtain information about the account, including the amount due, past payments, transaction activity and partial payments, or for error resolution call First Citizens bank at XXXX or write to XXXX XXXX XXXX, XXXX, NC XXXX. 

We were informed multiple times that First Citizens Bank restricts access to online account information to ONLY those loan holders who also have a First Citizen Bank account, so we were unable to verify the payments being made. 

Payments are being made at a local branch location. Additional principal payments have been made with each monthly payment, but we had no way to verify that those payments were being properly processed. Sometimes two separate receipts were received, one for the regular monthly payment, and one for the additional principal payment. Other times just one receipt was received, and supposedly the principal payment had been applied. According to the branch tellers, they are unable to supply a printed transaction history. 

We had zero confidence in the proper processing of these payments. 

Starting in XXXX of XXXX, multiple requests were made by calling First Citizens bank at XXXX to receive a transaction record of payments made, it was not until XX/XX/XXXX, when we informed them that a formal complaint would be made to your agency, that we finally received the requested payment record ; along with access to review the account online and make online payments. 

The requested transaction history confirmed my suspicions ; payments were not being properly processed. 

On XX/XX/XXXX, I spoke with the XXXX branch manager, XXXX XXXX, at XXXX, and expressed my concerns regarding the Principal payments not being properly processed. He reviewed the account and indicated that even though the payments were not made as specified, applying the additional Principal payments monthly, that the outstanding balance was still accurate I do not believe his assessment. 

I also questioned XXXX XXXX regarding the inability to specify additional Principal payment amounts when making payments online at https : //www.firstcitizens.com. His response was that I could notify him when additional principal payments were made online, and that he would make sure the payments were properly processed. 

A {$1000.00} payment was made online on XX/XX/XXXX, and an email sent to XXXX XXXX on that same day requesting that the full {$1000.00} payment be applied directly to Principal. 
A follow up phone call was made to XXXX XXXX on XX/XX/XXXX to ensure that he had received my email. He indicated that he had received the email and would address the request. 

As of today, XX/XX/XXXX, the payment was never applied directly to the Principal, but was instead applied as a regular monthly payment. 

The combination of XXXX XXXX Bank initially refusing to supply the requested detail payment history, and also refusing to supply online access ; coupled with the inability to specify Principal payments when making online payments, leads me to believe that XXXX XXXX Bank is intentionally and deliberately trying to hinder its customers from accelerating the pay down on their loans in an attempt to generate additional interest payments for itself. 

We respectfully request that you look into this matter regarding XXXX XXXX Bank. 

Thank you in advance for your attention and assistance in this matter.

Company response to consumer: Closed with explanation