Consumer complaint received 2017-12-26
Company: BANK OF AMERICA, NATIONAL ASSOCIATION
State: MA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
In XX/XX/XXXX, we took out a 2nd mortgage (25 year, conventional) with BOA, at a highly inflated rate of 8.74%.  My husband was sick at the time, and we wanted a financial cushion if needed.  After 5 years (XX/XX/XXXX) of promptly paying the second mortgage, I contacted BOA to attempt to lower the rate, spoke with a male at BOA, who laughed at me and asked if we were XXXX  enough to think BOA would give up the high interest rate, after we accepted it.  Approximately 3 years later (XX/XX/XXXX), I again contacted BOA to reduce the rate on the second mortgage, spoke to another male, and got the EXACT same response. On XX/XX/XXXX, we started the process of refinancing our mortgage and combining our second mortgage with Bank of America. Over the period of 4 weeks, while driving my husband crazy locating all required materials,  we submitted numerous forms, financial numbers and other documents as requested, most of them twice.   They requested copies of the XX/XX/XXXX & XX/XX/XXXX tax returns, as filed with the IRS; IRS would not share the returns with BOA, as we had identity theft in XX/XX/XXXX.  We explained this to XXXX XXXX, and told her we requested copies, which would take 10-14 days to receive.  When received, we told XXXX, we would not open the IRS package, but put it in another envelope, overnight the package to her.  Her reply was “Sorry, we cannot accept paperwork from third parties…..really, from the IRS.  You wanted them, are you kidding me?  During the process, BOA discovered that we had filed a bankruptcy in XX/XX/XXXX, due to medical bills and other expenses.  The discovery was made after one of the debtors had failed to release their claim, and it still showed as outstanding.  BOA then requested a signed “reaffirmation of Mortgage” document from the bankruptcy filing (XX/XX/XXXX).  We contacted the US Bankruptcy Court in XXXX, our lawyer who handled the filing, and other sources, who ALL stated, that most, if not all, records are destroyed after 7 years.  We relayed this information to BOA, with the explanation that the property title is clear and that we could not possibly be still living here without paying our mortgage every month, on time, since XX/XX/XXXX.  After review, BOA still insisted, they required the reaffirmation.  At that point, rather than have a mark against our credit rating, we withdrew our application.  TO REPEAT ONE LAST TIME, our bills are and have been paid on time, we have good steady jobs, good credit ratings, which we work hard to maintain..  BOA has looked under every leaf, rock, and carpet and found nothing but good reports.  In the end, a form that no longer exists, nor is legally required completed the triple play and allowed BOA to hold onto the inflated interest rate and they still refer to us as a good and loyal customer.  Basically, it comes down to the same question in a different and nicer format, “Are we that stupid  as to think BOA would give up the high interest rate; only it was left unsaid this time   Rather ironic!  If this is not viewed as a scam by BOA, I don’t know what more it would take.I feel they need to be investigated for price gouging, inflated interest rate, and bad banking practices

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