Consumer complaint received 2017-02-27
Company: BANK OF AMERICA, NATIONAL ASSOCIATION
State: NJ
Product: Mortgage
Sub-product: Conventional fixed mortgage
Issue: Loan servicing, payments, escrow account

Complaint:
XXXX XXXX 2nd morgage with XXXX. We were involved with class action lawsuit that found XXXX guilty of charging us for unnecisary insurance. They started an insurance escrow/charge for not having insurance. XXXX was forsed under court order to refund moneys collected while serviceing loan to consumer/Me. Aprox {$300.00}. 
Shortly after payment was recieved loan got transfered/acquired by Bank of America. 
On our Bank of America statements there was a negative Escrow balance listed. This is our 2nd mortgage and should not have an Escrow account attacted to it. ( all insurance and taxes are paid via escrow account on first morgage ). Loan was scheduled to mature in XXXX XXXX. 
We recieved finalpayment notice with statement that now showed an Escrow Balance due of XXXX I called Bank of America in XXXX After recieving payment notice. I attemped to pay off balance. I was informed and instructed since I dont have a Bank of America checking/savings account I could not make payment over phone or by mail without requesting and recieving a payoff letter. Also listed charges couldnt be explained untill i recieve payoff letter. 
I requested the payoff letter wich i recieved in 2 weeks time. 
Upon receiveing letter i called Bank of America to question what the Escrow balance due charge was. 
The represenative told me she was aware of the charge listed and that other loans coming over from XXXX had simliar false incorrect charge. She informed me that a request to clear charge and have new payoff letter with correct charges listed so i coulf payoff loan. She informed me that no negative actions would be taken against me or my account as there aware of the system clitch that caused this charge to come over with XXXX accounts. I was given a reference # and told to check back in two weeks if i have not heard or recieved anything from them. 
Friday XXXX XXXX XXXX i recieved from them via certified mail there letter of Intention to foreclose. And saw it was reported to the credit agency as 2nd morgage severly past due. 
I called Bank of America in XXXX XXXX XXXX. To discuss my account. 
I Was informed that the false charge on my account was NOT an Escrow balance due like listed on my statements and payoff letters but the charge was a loan acqiusition charge that Bank of America was charged by XXXX. Bank of America admitted they falsly/accidently passed this charge on to consumers accounts and are aware that consumers were not responcible for charges. Why they were not listed this way on consumers statements but listed in there system as such. Also that the amount falsly charged to my acount was over $ 300..once again not on any of my statements. 
Manager informed me that my acc. Is still active and i am listed in default. And acruing intrest and late charges. And reported to credit agency as in forecloser. Was informed will take up to 30 days XXXX them to correct credit report. And loan is still in default i cant pay off loan without a correct honest payoff letter. Wich i will have to request again.and take 2 weeks..then if incorrect i can call back Or i was informed i could set up BOA checking account and pay off loan including false charges to avoid any further interest and late fees and further reporting ( 60 days comin soon ). 
Or i could wait and file for review so they can get me a correct payoff letter wich i can only pay after reciept of letter then by certified bank check only.

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