Consumer complaint received 2019-01-14
Company: JPMORGAN CHASE & CO.
State: PA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Struggling to pay mortgage

Complaint:
J.P. Morgan Chase bought my mortgage from a mortgage securities pool in XXXX. The mortgage was fraudulent upon issuing. Pursuant to 10 PA Code Section 48.3, the company issuing the mortgage used and provided fraudulent information contained in these sections of the PA code : ( 1 ) A dishonest practice or conduct is characterized by a lack of truth, honesty or trustworthiness, or is deceptive or implies a willful perversion of the truth to deceive, cheat, or defraud. 

Example B : A consumer tells a mortgage originator employed by a mortgage broker that she seeks a fixed-rate mortgage loan without a prepayment penalty that has an interest rate within a certain range. 
The mortgage originator knows that the consumer does not qualify for such a fixed-rate mortgage loan, but does not inform the consumer of that fact. Additionally, in all legally-required disclosures it is indicated that the consumer is getting a fixed-rate loan without a prepayment penalty. However, when the consumer arrives at the loan closing, the mortgage loan that is offered is a variable-rate loan with a prepayment penalty. 

( 2 ) A fraudulent practice or conduct is characterized by deceit or trickery, an intentional perversion of the truth to induce another to part with something of value or to surrender a legal right, or an act of deceiving or misrepresenting. Fraud also includes any other definition of fraud under applicable law. 

Example A : A mortgage originator employed by a mortgage broker has promised a certain low-rate mortgage loan to a consumer. However, the consumer does not have the minimum debt-to-income ratio set by the lender preferred by the mortgage originators employer to qualify for the lowest-rate mortgage loan offered. Therefore, the mortgage originator changes the XXXX statement of the consumer to reflect a higher income for the consumer without the consumers knowledge, and then submits the documentation to the lender. 

Example B : An employee of a mortgage lender contacts a real estate appraiser with a request to perform an appraisal and informs the appraiser that the sale price of the property is {$150000.00}. The employee knows that the property will not appraise for that amount, but promises the appraiser future business if the appraiser can make the deal work. The mortgage loan is closed by the mortgage lender based upon the appraisal report showing the value of the property as {$150000.00}. 

In XXXX, I tried to modify my mortgage through HAMP ( now HARP ). J.P. Morgan Chase approved my modification, only to disapprove it 3 months later telling me I am now in default for making partial payments. They also paid my escrow and homeowner 's insurance without my approval or knowledge, only to demand I pay it all back to them since I am not approved for the modification. I managed to hold on somehow. 

I had been paying interest-only for 10 years, and in XXXX I was required to start paying principal and interest. I have been struggling with these payments and will not be able to hold on much longer. I love my house and want to spend the rest of my life here. Please help me.

Company response to consumer: Closed with explanation