Consumer complaint received 2017-08-14
Company: CITIBANK, N.A.
State: TX
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
Our 20-year mortgage contract originated with XXXX homes on construction of our new home in the XXXX of XXXX. Original Balance : {$67000.00} on XXXX/XXXX/XXXX, Conventional mortgage, 240 months, interest rate 10 %. The first mortgage payment was XXXX XXXX, the last to be XXXX XXXX. There were extension requests for one month each in XXXX XXXX, XXXX ( after my husband passed away XXXX XXXX, XXXX ) and on XXXX XXXX, XXXX due to another financial hardship when I informed Citimortgage that I would be two weeks late making my payment. Both times, the Citibank customer service representative referred me to another department where I was told no worries we can just move this months payment to the end of your mortgage contractwe do it all the time! But the rep could offer me no further information, only that I needed to first sign a document agreeing to the extension and fax back to them, then a letter of explanation would be forthcoming. The forthcoming letter that came in XXXX stated that the months unpaid interest of {$140.00} and change was deferred to end of my mortgage contract, with a footnote stating that unpaid and/or interest deferred to the end of the contract will be due at the time the loan is paid off. In CitiFinancial Mortgages letter to me dated XXXX XXXX, XXXX, request for extension has been approved as of XXXX XXXX, XXXX for 1 month of unpaid interest deferred for {$410.00}, next payment due date XXXX/XXXX/XXXX, new maturity date XXXX. Also that this extension may be reversed for any noncompliance by borrower, including, but not limited to, a personal check returned for non-sufficient funds that was used to qualify for this extension. I noticed the account number in each of the letters was different so called them each time to confirm the information. The customer service rep stated that account number belonged to someone else ; and confirmed my account number. The customer service rep wasnt able to give me further information about the extension interest. Soon thereafter, a " fine print '' footnote notation showed up on the statement stating " The principal balance may not be the total amount due to pay your loan in full due to interest, fees, etc., Deferments Extension Interest : {$5000.00}. This notation and extension interest amount has remained on my statements unchanged over the years until I checked today on CitiMortgage online, {$5000.00}. Ive spoken with Citimortgage several times since about the extension interest to no avail on explanation. A customer rep I spoke with on XXXX/XXXX/XXXX named XXXX, stated that since Id made so many additional payments the actual maturity date was then XXXX/XXXX/XXXX. Per the mortgage contract, the principal balance due must be paid in XXXX XXXX or the borrower will be in default. Hence, I needed to honor our original mortgage contract, and have already paid the stated Principal Balance Due, including the interest thereof this month ; however, Citimortgage left a principal balance of {$6.00} on XXXX/XXXX/XXXX. I tried to submit a payment for the {$6.00} on Citimortgages website but it was rejected. Hence, I submitted a payment for the {$6.00} through my banks bill pay but decided to double that amount in case the amount pertained to daily interest to include for XXXX as well ( ie, {$12.00} total ). To my surprise, as of today, XXXX/XXXX/XXXX, Citimortgage acknowledged my {$12.00} payment received yet {$6.00} still shows as being the principal balance due. I hope it will change to paid in full/XXXX  balance by the grace period end date of XXXX/XXXX/XXXX. I do not understand what is going on here. Id like to know where my several hundreds of dollars of additional payments actually were applied ; most especially due to the two different accounts that Citimortgage had/has for me in their records. Were the monies applied to someone else 's mortgage? I spoke with a Citimortgage representative about this on XXXX/XXXX/XXXX. He informed me that I could not simply make my last payment of mortgage balance due, but must request a payoff quote first before making the final payment. He generated a request for a payoff quote for XXXX XXXX, XXXX and assured me that a letter from Citimortgage will be forthcoming in the mail. However, I have already paid balance due as CitiMortgage 's statement reflects in full as of my original mortgage contract due date month in XXXX XXXX, so feel the payoff should actually be for XXXX XXXX. I trust that you can help me with this mortgage matter and will absolutely appreciate your help. Thank you.

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