Consumer complaint received 2020-07-07
Company: M&T BANK CORPORATION
State: LA
Product: Mortgage
Sub-product: FHA mortgage
Issue: Trouble during payment process

Complaint:
XX/XX/XXXX <unedited> Around XXXX of XXXX we received a letter from M & T Bank stating that they have taken over our mortgage loan ( from XXXX ) and that we were to forward all mortgage payments to them from thereafter. In short, I am not proud to say that we were a couple of payments behind and were given two chances through M & T 's loan modification department to make payment arrangements. We did not fulfill either obligation and by the end of XXXX we were facing severe foreclosure ramifications. On Thursday evening XX/XX/XXXX we spoke with a representative from M & T 's Homeowner 's Assistance Center ( XXXX XXXX ) who stated that the company was moving forward with the final stages of foreclosure and that we were out of options ( except for paying the total amount ) to continue occupying the home in the current state. He stated that unless we made the total amount due of {$7300.00} ( total amount in fees including the regular payment, the amount unpaid from prior statement, the unpaid late charge ( s ), and the XXXX XXXX XXXX ). Each amount was provided in the section of the Explanation of Amount Due on the XX/XX/XXXX Mortgage Statement. On Friday XX/XX/XXXX we spoke with Mr. XXXX XXXX XXXX. XXXX ( assistance number ) who walked us through the process of bringing the account current. Because of the stages of the defaulted loan Mr. XXXX stated that they could no longer take a payment over the phone but rather urged us to pay via XXXX XXXX using a code city. He also explained to us that the total amount of {$7300.00} consisted of {$7100.00} ( outstanding fees ) + {$190.00} ( Recoverable Corporate Advance fees ) had to be paid by the late afternoon. This was necessary because there were not any M & T banks in our state. After arriving at XXXX XXXX, we were told that the transaction had to be in the form of two payments because of the large amount to be wired. This was explained to Mr. XXXX in doing so and he concurred. We decided to make the first payment in the amount & {$4000.00} and the second {$3300.00}. 

Here 's where the confusion takes place : The teller makes a successful payment of {$4000.00} which produced the tracking # XXXX ... The second payment -- which was erroneously made for {$3000.00} had to be retracted due to the teller accidentally inputting the incorrect amount and not the appropriate {$3300.00} requested representing the remaining difference in the total amount. XXXX XXXX correcting the transaction by cancelling the second and allowing the third transaction to be submitted. The third transaction produced the # XXXX ... Once again XXXX XXXX was informed of  this process as well. The time for the entire transaction and correction period was from XXXX XXXX to XXXX XXXX CST. After provided the transaction information to Mr. XXXX he stated that all payments and fees were fulfilled and that we would receive a letter in 7-10 business days confirming the updates. This was strongly inquired about on our end. We were also told that our next payment wasn't due until XX/XX/XXXX. 
Weeks later in the month of XXXX we received a letter from M & T stating that our loan was in default and that we needed to make a payment of {$2100.00} to " cure this default ''. We then spoke with a representative with M & T who stated that : 1 ) our payment of {$3000.00} was denied ; and 2 ) a significant portion of the payment ( s ) made on XX/XX/XXXX was applied to the Principal of the loan. We requested that a research be conducted to find and correct the problem considering our confidence in paying ALL outstanding fees back in XXXX. The request was submitted, and we were told that it would take 7-10 business days for a response. We received no response, nor did we see any corrections that would have brought our status to current AND zero additional fees. On multiple occasions we have called and requested that M & T resolve this issue and remove a reoccurring Corporate Advance fee which was paid back in XXXX of XXXX. During many of those phone calls our intellect has been questioned, ridiculed, and have fallen on death ears in trying to explain how the funds were misapplied to our account. Throughout these tough times we are overwhelmed with constant arguing and unresolved solutions to our mortgage which leads to us seeking possible litigation furthermore. 

This morning ( XX/XX/XXXX ) we received a call from a MrXXXX XXXX XXXX. ( XXXX ) who informed us that he had done his research and concluded that we were still accountable for paying the Corporate Advance fee of {$220.00}. He refused to hear our appeal and was very combative and unyielding to offer any solution. All he did was discuss the purpose and the origin of the Corporate Advance fee -- -and not what are primary concern was. He also accused of us of not paying the total amount of {$7300.00} even though I explained to him the reason of the two payments totaling the sum. He stated that it didn't matter and that we still owed the amount. He was very rude which led us to informing him of going a step further. In short, he said go ahead. I am providing the necessary documentation such that someone will see that we made the required payment covering ALL outstanding fees including the Corporate Advance fee. We strongly believe that the payment received was miss-appropriately applied causing this confusion. Although we accept full responsibilities for financial obligations on our behalf, WE WILL NOT PAY FOR THE COMPANY 'S MISTAKE ON THIS ISSUE. In the event that we seek professional legal advice, we will ask for monetary damages and restitution ( s ) for the stress and lack of an unapologetic culture at M & T Bank in the mortgage department. 

Sincerely, Angry Mortgage Customer

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 monetary relief