Consumer complaint received 2017-03-19
Company: SUNTRUST BANKS, INC.
State: CA
Product: Mortgage
Sub-product: VA mortgage
Issue: Credit decision / Underwriting

Complaint:
XX/XX/XXXX In XX/XX/XXXX when Suntrust Mortgage Inc. was handling my application and receipt of funds from the Keep Your Home California ( KYHCA ) Principal Reduction Program ( PRP ) Suntrust violated the KYHCA PRP regulations which required that Suntrust simultaneously apply those KYHCA PRP funds to reduce the principal amount of my V. A. home loan with Suntrust, as well as to at that same time Recast that V. A. home loan. Suntrust only reduced my V. A. home loan, but never did recast my loan, " There was an error with the recast when initially performed. Everything was done correctly, however there was a lag causing a gap in payments that were not covered by XXXX hence the past due amount. However, this issue has been resolved with the state of CA. They agreed to send funds to bring the borrower current. These were just received yesterday and I will apply them to the account tomorrow and the borrower will not be due until XX/XX/XXXX ... '' ( Tuesday, XX/XX/XXXX XXXX Suntrust employees internal email from XXXX to XXXX, and cc 'd to XXXX and XXXX, found on attached documents, labeled page XXXX on lower right corner of page ). 

These additional KYHC PRP funds mentioned in that email were to cover the mortgage payments for XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, and XX/XX/XXXX, as stated in the Tuesday, XX/XX/XXXX XX/XX/XXXX internal Suntrust employees internal email from XXXX to XXXX, and cc 'd to XXXX, and XXXX, found on attached documents, labeled page XXXX on lower right corner of page. 

On the email dated Thursday, XX/XX/XXXX XXXX ( found on attached pages XXXX, XXXX, XXXX ) from Suntrust employee XXXX to KYHCA employee XXXX and cc 'd to Suntrust employee XXXX, in which XXXX wrote, " I received your message this morning and XXXX has filled me in on the details of this loan and the error that occurred. We have reached out to our internal sources to see what steps need to occur for this to be corrected ... '' With this email, Suntrust employee XXXX fully admits to KYHCA that only Suntrust is at fault here and that I am Not at fault for the Suntrust error, that Suntrust is completely at fault here. 

Therefore, based on the information in the emails listed and attached here, and because of this admitted error by Suntrust, which is also in direct violation of KYHCA PRP regulations, Suntrust alone caused me to not be able to afford my mortgage payments of XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, and XX/XX/XXXX and which Suntrust has illegally and wrongfully reported these missed mortgage payments to the XXXX credit reporting companies of XXXX, as delinquent debt on my part. Suntrust reported this information illegally and with the intent to ruin my credit, despite Suntrust having full knowledge all along that I was Not at fault in this situation, and this is demonstrated by Suntrust internal emails as well as Suntrust emails to KYHCA where Suntrust admits fault during this entire situation. 

This has resulted in much damage to my reputation and credit history, solely based on the admitted actions by Suntrust employees and this, has ruined my credit and has caused me to be denied credit several times because of that illegal and wrong acts by Suntrust employees.

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