Consumer complaint received 2017-04-20
Company: U.S. BANCORP
State: CA
Product: Mortgage
Sub-product: FHA mortgage
Issue: Loan modification,collection,foreclosure

Complaint:
I have a home mortgage loan from  US Ban k  (   XXXX   XXXX  ) that I have repeatedly attempted to modify when I was injured in a car accident and could not keep up with the mortgage payment. The original loan was a variable loan that I refinanced in  XXXX  through   XXXX   XXXX  , a savings and loan bank that went bust during the housing crisis.     I reside in California, and CA has a HARP-funded program for homeowners whose mortgage loans are either underwater or in arrears. I have applied to this program, Keep Your Home California ( KYHC ), and  three t imes I was approved by the program and a letter was sent to the  US Bank  asking for their consent fo r KYHC to  help pay for the arrears and/or help modify the existing mortgage through HARP with a low fixed  thirty yea r term that was affordable for my vastly reduced income due to my injuries from the accident.   
For reasons unknown to me, each time the US Bank completely ignored KYHC   's letter asking for acknowledgment/consent for their help, despite my repeated calls and emails to their customer service representatives assigned to my c ase ( call ed Relationship  Manager ).  My numerous calls begging for their response  to KYHC sh ould be in their audio records ( each call was always noted that it was being recorded ) and my emails to the various " managers '' and other random customer service representatives should be all there as well to attest my desperate efforts in making  US Bank  to respond to and cooperate with  KYHC so m y loan 's arrearage would be paid off and it would be modified with a better interest rate and at the right loan amount.     In  XXXX , my house was worth  XXXX  in the market, while my mortgage was for  XXXX . The principal reduction program from  KYHC w ould have adjusted this market price reality to my mortgage and would have given me a modified loan at the lower amount at the prevailing interest rate at the time, which I believe was something like below  2 percent. But US Bank simply disappeared each time when KYHC sent them the conditional acceptance lett er. The case-specifically assigned " relationship managers '' stopped responding to my emails or phone calls and inevitably I would miss  the KYHC  deadlines for the bank response to resolve my mortgage problems. The  random US Bank peo ple I was able to connect to during these frantic times always helped me by relaying my messages to the " relationship  manager ''  and so on, but they were not able to send the response letter to  KYHC  because they were not the ones handling my case.      One ca n understand if this happened once, perhaps it was the  " manager '' th at messed up and did not do her job. But this happened not once, not twice, but thrice. In the attached emails I show that the emails KYHC sent me after waiting in vain fo r US Bank  to respond to their offers. They even extended the standard response time of to 90 days after I called and begged for more time when I discovered that once again the bank was ignoring the offer so I could call and write more to somehow get them to respond to  KYHC. T hat did not work either.     Finally th e US Bank offered me  a HARP modification package on their own -- forcing me to sign on to a new loan with all the arrears added on, at an interest rate way higher than what would have been, for 40 years.     I believe that there has been a corporate-level policy of denying beneficial governmental programs for mortgagees, although to me as a private citizen it is counter-intuitive. I do not know the corporate mathematics that  goes into this kind of decision-making, but there clearly has been a consistent pattern of behavior from the US Bank " relationship managers. '' They disappear after receiving the KYHC offers. I have wrote two letters to the bank 's own c ustomer service people about this but all I got was letters acknowledging the delayed time but that they could n't do anything.

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