Consumer complaint received 2017-12-18
Company: U.S. BANCORP
State: WA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Struggling to pay mortgage

Complaint:
XXXX XXXX, I received a recorded call from US Bank XXXX Mortgage saying it was an attempt to collect a debt. In responding to the customer service line, we discovered that though the course of my divorce ( finalized XXXX XXXX XXXX, my ex-wife had changed her mailing address which affected where mortgage statements were sent XXXX she is a co-borrower on the loan ). Thus, I had not received the notification that there was a {$30.00} dollar increase in the mortgage. In addition they were going to fine me an additional {$140.00}. 
After we sorted out what happened, I agreed to pay the additional {$30.00} to get current and they agreed to waive the fine given the circumstances. 
In closing the call, the representative wanted to remind me that if I ever had any emergency situations such a loss of job, medical emergency, or inability to pay other bills, for example, they XXXX have ways at US Bank to assist, so I should not hesitate to reach out. 
I am the founder and COO of a technology startup, XXXX XXXX, and we are pre-revenue, which means at this stage, we depend on investors to provide cash-flow. As an entrepreneur, my funds have been less than consistent.As a result, I reflected on what the US bank representative had offered, so in XXXX, I called to inquire. I explained to this representative what the initial rep had shared about any emergency situations that XXXX arise and US Bank 's willingness to help in various ways. I explained that I was in a rather tight financial situation and wanted to explore options the initial rep had alluded to. 
I also explained the fact that I had gone through a divorce and that my ex-wife 's name was still on the mortgage, but I hoped to refinance in time to remove her from the loan as " co-borrower. '' This representative explained that she was unable to get into various options until I missed a mortgage payment. When I asked for an explanation, she said that right then, it was " hypothetical, '' as I had not yet missed a payment. She essentially suggested that I miss a mortgage payment and then we could discuss ways to help alleviate my mortgage burden either temporarily or through some form of " modification. '' When asked about impact on credit, the response was minimizing or vague on the impact. 
It was never disclosed clearly to me, given the totality of my situation the severe impact that missing a mortgage payment ( s ), or entering into some form of modification would have on my credit, my ex-wife 's, and my ability to refinance down the line. 
There was no discussion or disclosure of even a range of " points '' that might be taken off my XXXX XXXX. In addition, I never received " disclosure documents '' which indicated these impacts and/or credit reporting processes. For example, in XXXX following my missed payments that I was ENCOURAGED to miss, my XXXX XXXX and my ex-wife 's dropped by roughly XXXX points -- -from mid-to high XXXX 's to mid-to high XXXX 's. If I had been properly apprised of the true impact and implications, I would have done whatever possible to borrow from friends and family to make sure no payments were missed. 
We have been stellar loan recipients up until recently as records will show -- -- excellent payment history and excellent credit, so this should not appear as some kind of recurring struggle as history repeats itself. 
One could argue that it is a loan, and in the original loan documentation, there are numerous clauses relating to default scenarios, yet each subsequent representative I spoke to seemed to lead me farther down the path of how the various forms of modification, repayment plans or temporary forbearance could benefit me by alleviating my current financial hardship. 
I have recently been informed by US Bank that my " loss mitigation file '' is complete and it has been forwarded to the underwriters for recommended options. This process has taken quite some time and meanwhile, I continue to miss payments and incur fees associated with the defaults. In addition, as I have now come to find out, once any forbearance is agreed to or loan modification, our credit will take another hit for who knows how many points. Again, this picture was n't adequately painted -- -if not omitted altogether. For this reason, let it be clear that we will NOT agree to any forbearance/modification plan, especially with what recently has come to light. I feel duped. 
I am not only reporting this to the Consumer Financial Protection Bureau, but I also plan to retain a mortgage fraud attorney. 
I am not an uneducated individual unable to decipher sophisticated communications and or policy descriptions. At every step of the way, as I have mentioned, I have given each and every representative a full accounting of my personal and financial context, past, present and desired future. Nonetheless, I was continuously led down a path which ultimately was not in either my or my ex-wife 's best interests, not to mention our XXXX and 10 year-old children. This entire process was seductive, and has put us all in jeopardy.

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