Consumer complaint received 2021-12-30
Company: FIRST HORIZON BANK
State: CA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
I have to register a complaint against First Horizon practices & procedures regarding the payoff on my account in XX/XX/XXXX. Their procedure is costing me thousands of dollars in extra interest without notice, or my knowledge! 

Apparently I was given incorrect information by First Horizon on my phone call to verify the payoff/ballon payoff amount for XX/XX/XXXX. I have discovered to my horror there was a balance of {$310.00} still due & now the interest has brought this past due amount from {$310.00} to {$4600.00}? First Horizon never brought that fact to my attention for over a whole year. Outrageous! I found it on my credit report as owing {$310.00} & called First Horizon on XX/XX/XXXX as soon as I discovered the issue. 

Per XXXX in their recovery ( collections ) department, 1st Horizon they do not send out statements or notices of unpaid balances to customers after a balloon payment is made, period. Accounts are shut down ending all communications to customers even when there is a balance due. I believed the account to be closed however, if I have a balance then loan technicality still open! Yet I received no notices about it for over a year & now they want {$4600.00}. XXXX said it is my fault for not knowing. I disagree & could hardly believe what I was hearing. Why does First Horizon have this inefficient procedure or practice? To save them money or earn them money? 

XX/XX/XXXX Notice of Balloon Loan payment due XX/XX/XXXX {$49000.00} XX/XX/XXXX Statement Amount Due {$49000.00} due XX/XX/XXXX I called First Horizon XXXX to obtain the final balloon payment amount & was told by the 1st Horizon representative that {$48000.00} was the correct amount, not the amount on the statement. 
I had 3 different amounts for the payoff. 
They NEVER told me it anything was wrong! 

My husband XXXX XXXX died in XXXX. Representatives claimed they tried to get in touch with me but didnt have my phone number or way to get in touch with me which is one of their excuses as to why I was never notified. Ive had the same cell phone number & home address since XXXX. I have been in contact with First Horizon since his death 10 years ago & had his name removed from the statements because it made me sad. 

As a retired manager I have over 50 year of job experience & training, I have never heard of any businesses that do not send notices to customers on any balance owed or charge outrageous interest without customers knowledge! Why in the world would they not send statements to customers to let them know? 1st Horizon piled on additional interest going back a year on this {$310.00} balance? Remember USPS was crippled for the mail in ballots in XX/XX/XXXX & then came the holidays. I didnt get another statement or notice that I can find after that. XXXX is to mail a copy of the XX/XX/XXXX statement to me. Over {$4000.00} in interest & XXXX tells me it was in the paperwork I signed in XX/XX/XXXX, that after my contract ended, even if there is a balance due, no notifications of any kind would be sent! XXXX said it was my responsibility to follow up with 1st Horizon to make sure the payment went through. Ridiculous! Who does that? Therefore it is my fault for not knowing this could happen. If I had known I owed {$310.00}, I would of paid it immediately! 

I am a retired XXXX XXXX XXXX widow on XXXX XXXX. This isnt fair! 

Please help. 

XXXX XXXX XXXX XXXX XXXX XXXX, CA XXXX ( XXXX ) XXXX Email : XXXX XXXX

Company response to consumer: Closed with explanation