Consumer complaint received 2017-02-08
Company: JPMORGAN CHASE & CO.
State: CA
Product: Mortgage
Sub-product: Reverse mortgage
Issue: Loan servicing, payments, escrow account

Complaint:
I took this real estate loan out with a loan cap limit of {$260000.00} that could be borrowed over the life of the loan. I received {$210000.00} at close of escrow. This loan was recorded XX/XX/XXXX. This is a 30 year loan with variable rate and negative amortization feature. It allows a balloon payment at maturity. ( Exhibit A and Exhibit I ) XXXX, I went to a Chase bank, talked to a loan officer about changing payment options to interest only or minimum amount ( Exhibit H and Exhibit K ). This was due to my finical hardships as a building XXXX the depressed economy. The loan officer told me to 'stop making payments and Chase would contact me to help me out with this loan. ' Repeated contacts with Chase were futile. I started making reduced payments XX/XX/XXXX of {$350.00} and three payments of {$110.00} to Chase ; all later payments to Chase were returned until XX/XX/XXXX. 
1 ) Predatory lending practices, In XXXX/XXXX/XXXX Chase filed a Notice of Trustee Sale ( Exhibit B ) and served it on the tenets at the property. They were told by the server ( XXXX XXXX agent ) that they did not need to make any more rent payments. I went eight months, without rent income, ( {$7200.00} loss rents ) and had to evict the current tenants ( {$850.00} legal fees ) .Five days later after the tenets were served I received notice of Trustee Sale to the mailing address of record on the loan. 
2 ) Defamation of character, credit, and good name, 3 ) Interference in contract XX/XX/XXXX, I filed a Chapter XXXX and begin making payment of {$270.00} to the Trustee until XX/XX/XXXX. Paying Expense of Administration ; {$3700.00} and attorney 's fees ; {$4200.00}. Appling {$690.00} to interest. ( Exhibit C ) 4 ) Abuse of legal process, 5 ) Manipulation of Principal Balance, 6 ) Manipulation of Arrearages XX/XX/XXXX Chapter XXXX was dismissed. Minimum payments for escrow were made to Chase from XX/XX/XXXX through XX/XX/XXXX ; all later payments to Chase have returned. 

On XX/XX/XXXX, Chase filed Notice of Trustee Sale on XX/XX/XXXX. This was served on the tenets leasing the property. They were told by the server ( XXXX XXXX agent ) that they did not need to make any more rent payments. ( Exhibit D ) 4 ) Abuse of legal process, 7 ) ) Providing incorrect information to Court ( s ) and credit agencies, 8 ) Interference in contract : loss of rents and legal fees XX/XX/XXXX, I filed another Chapter XXXX and begin making monthly payments of {$700.00} to the Trustee & {$4500.00} legal fees XX/XX/XXXX, Chase provided Proof of Claim to the Trustee claiming arrearages of {$29000.00} for interest and {$35000.00} for principal. Poof of claim shows all funds received from the debtor and the Trustee from XX/XX/XXXX was placed in 'unapplied funds account ' until after XX/XX/XXXX. ( Exhibit XXXX, Page XXXX ) XXXX ) Using bankruptcy to restructure payments from the original terms of the contract Loan statements : XX/XX/XXXX, loan balance {$210000.00} ( Exhibit F ) XX/XX/XXXX, Loan balance {$210000.00} ( Exhibit G ) Chase did not follow the terms of the loan regarding unpaid principal due to negative amortization [ ( Exhibit A ) Pg. XXXX of XXXX Paragraph XXXX ( G ) and ( Exhibit I ) Pg. XXXX of XXXX Paragraph XXXX ( G ) ] Payments should have been applied to the escrow and interest due at the time received, not into an unapplied funds account for years. 
10 ) Breach of contract

Company response to consumer: Closed with explanation