Consumer complaint received 2018-08-24
Company: U.S. BANK NATIONAL ASSOCIATION - SAN FRANCISCO MAIN BRANCH
State: CA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Closing on a mortgage

Complaint:
XXXX : MUFG Union Bank XX/XX/XXXX Subject : Financial Elder Abuse by fraud and misrepresentation Recently uncovered documents indicate that subsequent to our signing a Transfer Agreement our account was automatically moved, by the system itself, to a fixed mortgage. This is evidence by a yearly tax statement, received some time in XXXX, that states that the account was transferred to a fixed rate mortgage. ( also confirmed by several letters from the Bank staff ) .The Bank , however, did a bait and switch, by presenting a HELOC for us to sign with the purpose of switching the account while we thought that we were merely completing ; the process for a traditional mortgage. I can recall hearing XXXX XXXX say, very clearly, that this would complete signing for a fixed rate mortgage, which we had chosen ; and having been customers of Union for about twenty years, like older folk, we foolishly took his word for it. But now the Bank sends us statements using the closed equity account, from XXXX. In fact, the Bank has manufactured three different equity account numbers for our one account ; and has done this without Notice and Agreement. This is both Identity theft and false filing ; done for the purpose of facilitating false negative amortization. 

We allege bad faith ; fraud and misrepresentation. The Transfer Agreement ending our equity account states, Any day that a portion of your account balance is transferred to a new ... Fixed Rate Option Plan is a fixed rate option transfer date.But we were denied our chosen option because we were misinformed by XXXX XXXX that the term, fixed rate option, represented a traditional mortgage. Furthermore, the XXXX Tax Statement unambiguously shows the account as a mortgage ; which was misleading, leading us to believe that our choice had been complied with. When one party in a bilateral mortgage contract presents information to another that is incorrect or is meant to confuse the other party it is fraud in the factum. Making a false statement with knowledge that the statement is false ; with the intent that we relied on the statement ; with the result that I did rely on the statement ; with the consequence that I was harmed by XXXX and the Bank is fraud. Receipt of a yearly tax statement, a few months later, stated that the account was a mortgage, leading us to believe that our choice of a traditional mortgage had been followed by the Bank, and that XXXX was truthful. A Fixed Rate Option Plan, having been described by XXXX as a traditional mortgage in the Bank 's lexicon. XXXX falsely represented or omitted to disclose a material fact : the contract actually represented a HELOC. 

Acting with the intent to deceive or defraud, he mis-stated the term Fixed Rate Option to mean a traditional mortgage. The Bank does not use this term in its glossary of products, because it is a general category, not a specific product. it can represent anything all or nothing at all. But XXXX took advantage of our age and our many years of banking with the Bank, to deceive us ; essentially elder financial abuse. To further muddy the waters, the Bank has engaged in identity theft by manufacturing two additional accounts in our names without either Notice or Agreement ; for the purpose of expediting the chopping of payments into several pieces so that none represent a paid in full amount ; pieces ; the pieces accumulating penalty and interest, misdirected to one of the three accounts, as false filings, called erroneously by the Bank as segments in order to conceal their origin. They were used in a false foreclosure over a paltry sum, in a dispute, to extort disputed balances, considered a felony by the US Code Title 18. 
The three different account numbers will make it more difficult to track the already bizarre and unique accounting methodology ; but will facilitate chopping payments into pieces and applying them elsewhere with the purpose of manufacturing false interest and penalties, extortion of money, under threat of foreclosure, while facilitating illegal negative amortization. A practice specifically outlawed by 18 U.S. Code 1005 - Bank entries, reports and transactions ; ( XXXX XXXX XXXX XXXX, XXXX XXXX  XXXX XXXX ( XXXX. XXXX   XXXX ) ( debtor awarded punitive damages of {$3.00} against XXXX XXXX for servicing abuses ). Court declared that XXXX XXXX exhibited reprehensible The court had previously found that the bank improperly applied payments to interest and fees instead of principal and improperly charged the debtor more than {$24000.00} in fees. ) Customers also alleges Financial Elder Abuse, offense against ( XXXX ) and ( PC XXXX ) Whoever makes any false entry in any book, report, or statement of such bank, company, branch, agency, or organization with intent to injure or defraud such bank, company, branch, agency, or organization, or any other company, body politic or corporate, or any individual person, or to deceive any officer of such bank, company, branch, agency, or organization, or the Comptroller of the Currency, or the Federal Deposit Insurance Corporation, or any agent or examiner appointed to examine the affairs of such bank, company, branch, agency, or organization, or the Board of Governors of the Federal Reserve System.

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