Consumer complaint received 2020-12-13
Company: REGIONS FINANCIAL CORPORATION
State: NY
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Struggling to pay mortgage

Complaint:
I XXXX XXXX, have exhausted all other remedies to resolve an issue with Regions Bank that should be classified as XXXX in nature. The forensic accounting will prove my position, and at all times I should have been granted a written contractual arrangement of forbearance during the initial stages of Covid-19 Pandemic in the state of New York. Both I and my husband are hard working professionals in the XXXX community. I handle XXXX XXXX for The XXXX XXXX XXXX XXXX in XXXX XXXX XXXX. My work is mostly from my home in XXXX, New York. My husband is an XXXX XXXX XXXX that was laid off for a number of months, this along with me XXXX  XXXX in XXXX triggered the possibility of taking advantage of a multi-month forbearance agreement with Regions Bank. Accordingly, I will show how Regions Bank is causing me and my husband an unjustified financial hardship, even though we both have maintained our lives in the most astute professional manner possible. We are raising a XXXX-year XXXX  child that needs a better living environment and I have XXXX XXXX from XXXX that warrants the same including contracting the XXXX  again. We are now being denied a mortgage on a single-family home located in XXXX, New Jersey. This is all the fault of Regions Bank, and the Federal Trade Commission, the Consumer Financial Protection Bureau, the XXXX XXXX XXXX XXXX and the Department of Financial Services state of New York should take a large overview investigation into the improper banking and credit reporting practices of Regions Bank. The attached forensic outline will prove that not only did Regions Bank enter into a forbearance agreement without written guidelines, but they are in violation of their subscriber agreement with all three pertinent credit reporting agencies. My argument is solid and I will file suit for damages if necessary. As a professional XXXX woman, I find the tactics used by Regions Bank highly discriminatory, and this FDIC insured bank should be investigated into all complaints pertaining to Care Act violations. The actions of Regions Bank are probably very large throughout minority communities, and as the record will show, the bait and switch actions will cause a disparate impact upon the XXXX community. The breakdown of what transpired is as follows : 1 ) After receiving a letter from Regions Bank about the Care Act, and my husband had recently been laid off from his job, I called Regions Bank in XX/XX/XXXX to request additional information 2 ) All communications were verbal, and I was offered a minimum of five-months forbearance and potentially more. I was not offered a written agreement, even if through an e-signature agreement to validate a contractual relationship between the parties. No contract was ever offered, even though any modification on payments requires written authorization by state of New York Department of Financial Services guidelines. 
XXXX ) It was on XX/XX/XXXX at XXXX XXXX  with one of the many representatives I had to work with at Regions, this person named XXXX, I was granted an extension of forbearance up to XX/XX/XXXX. The conversation was recorded and can be verified. 
4 ) Upon an initial agreement to stop mortgage payments, my payment methods through online service of Regions Bank were cut off. It was my understanding from conversations with my representative at Regions Bank that the payment method would be initiated once Regions made a final decision as to how long the forbearance would continue. Please be aware that after my husband returned to work in XX/XX/2020, and I had at all times enough financial reserves to make my mortgage payments, but I needed a financial cushion while my husband was out of work. I was also recovering from XXXX in XX/XX/XXXX, but self-quarantined at home. 
5 ) Attached mortgage statements from Regions Bank dated XX/XX/XXXX, XX/XX/XXXX and XX/XX/XXXX shows all payments current without overdue payments. Initial forbearance payment ceased XX/XX/XXXX, as shown on the XX/XX/XXXX statement, overdue payments of {$2700.00}. My forbearance was in place without any written communication between myself and Regions Bank. 
6 ) A letter from Regions Bank states that I would not have to make a payment until XX/XX/XXXX. 
7 ) The XX/XX/XXXX statement shows past due payments of {$13000.00}, proving that my forbearance plan was intact. The XX/XX/XXXX statement shows a past due of {$2700.00}. 
8 ) Extension of plan to include payments up to XX/XX/XXXX granted on XX/XX/XXXX, and all methods of paying on my account online was shut down by Regions Bank, as they claimed on recorded conversations that my payment process would be reinstated once the forbearance period ended. 
9 ) After multiple letters from Regions, and a cross reference from additional Regions representatives, I was advised to pay the mortgage current with a payment over the phone of {$8300.00} on XX/XX/XXXX. Regions was stacking the cards against me, forcing me to accept new terms, even though verbally I was granted an extension up to XX/XX/XXXX. 
XXXX ) I believe that Regions on its merits was trying to do a good thing for their customers during the Pandemic, but was most likely overwhelmed with thousands of forbearance requests at the same time. Therefore, I am not making a claim that one or several individuals were intentionally trying to ruin my overall creditworthiness. The end result however will prove otherwise. Since XX/XX/XXXX, I was granted a forbearance extension up to XX/XX/XXXX. 
11 ) I am now showing a one-time 30-day late payment history that can not be justified. This late payment is ruining my chances to move me and my son to a safer and healthier environment. However, I believe in the interest of justice a compromise can be reached. That compromise is as follows : Regions accept the XX/XX/XXXX forbearance term, apply my 4 payments that will be inclusive up to the XX/XX/XXXX payment, and Regions carry the forbearance balance to be paid off over the next 24-months, and not carried on the back end of the mortgage. A short-term modification agreement will be acceptable to me and my husband. 
Our credit rating will go back to PAID NEVER LATE. 
Our attorney will be fully involved in the transaction. We have no desire for litigation. 
I will file this complaint to several federal governing agencies as previously stated, and hereby request an expedited clearance of this serious matter. 
XXXX XXXX

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 non-monetary relief