Consumer complaint received 2023-05-12
Company: M&T BANK CORPORATION
State: WI
Product: Mortgage
Sub-product: VA mortgage
Issue: Trouble during payment process

Complaint:
XXXX. Complain- Escrow/Taxes. 
On XX/XX/XXXX my husband and I spoke with XXXX at XXXX. We asked about having the property tax portion of our escrow removed. This requests comes from 2 aspects. 1. M & T only paid the 1st installment of our XXXX  property taxes? 2. We asked to have property tax portion of escrow removed as the State of Wisconsin Department of Veterans Affairs reimburses property tax payment once we file our state taxes and send proof of county property tax bill and payment made. 
M & T bought our mortgage from XXXX with first payment due in XXXX. In XXXX I inquired via online message in digital account how M & T would be paying property taxes ( mailing directly to county or check to us with county listed ). Received no response from M & T. 
It was in conversation with XXXX from the tax department on XX/XX/XXXX at XXXX that first it was upon how the county bills ( which you get same bill I do- either pay in full or in installments ). I stated at this time I am not sure why every year until now our taxes have been paid in full and now for some reason M & T is split paying? It was then explained that I elected at the end of the year? I asked when and how this was done as M & T first bought this mortgage in XXXX and have never mailed any type of correspondence to M & T and all my payments are made to you through the ebill at the bank. XXXX could not provide me with any details of my electing this- time or day request was sent or where I had signed. So, M & T then apparently fraudulently elected this for me? I asked further for escrow to be removed because M & T should not be allowed to dictate how I will handle my finances. I stated I would have went to city hall and paid in full if this was the case. This is when XXXX stated she could change this election. 
2. We sent the proof of paperwork regarding reimbursed property taxes to XXXX on XX/XX/XXXX via uploadmytaxdoc which she verified were received. Customer service XXXX stated if escrow was condition of loan it could not be removed. Not as a condtion as an election it was stated on original loan paperwork to have escrow " for now and in the future it may be able to be cancelled. '' What would a condition of the loan be? Is it not something that is required in order to be able to have the loan rather than the choice of the loanee? Under escrow accounts on M & T website under escrow account can I close my escrow account, or pay my tax or insurance bill myself it states " If an escrow account was established as a condition of your mortgage, or later added to pay past due taxes/insurance on your behalf, removal of escrow would not be permitted ''. I would like someone from M & T to read our original mortgage paperwork and explain to me what the " condition '' is that now makes removal of escrow void. 
3. Both XXXX and XXXX stated within 7- 10 business days were would be informed of a decision. This was on XX/XX/XXXX to date no response. 

4. From the conversation on XX/XX/XXXX and XXXX selecting we want taxes paid in full on XX/XX/XXXX we received escrow analysis stating a new payment of {$1700.00} due on XX/XX/XXXX. Page 3 of 4 states the escrow shortage of {$3500.00}. No where does it list information on what payment would be do we choose to pay shortage in full. On XX/XX/XXXX M & T cashed our mailed check for {$350000.00}. No statements or other letters had been sent or received since XX/XX/XXXX at which time it said XX/XX/XXXX payment would be {$1700.00}. Having paid the shortage we then sent the previous mortgage payment of XXXX. 

XXXX. On XX/XX/XXXX, a letter was sent out stating we owe {$66.00} as our monthly payment is now {$1400.00}? 

XXXX. XX/XX/XXXX I called XXXX and spoke with XXXX at XXXX. My inquiry was to find out why I had not received any information from M & T stating the new payment amount until after they cashed our payment on XX/XX/XXXX. XXXX stated she could only see the escrow letter sent XX/XX/XXXX which we received on XX/XX/XXXX and that letter said our monthly payment. I tried to explain nowhere on this letter does it say anything about {$1400.00}. I am not paying {$1700.00} when I paid shortage in full nor should I have to guess what my payment is- it is your duty as a company to inform me and it was not until XX/XX/XXXX after payment was due did you do so. XXXX further stated she had no record of any letter sent XX/XX/XXXX that discussed owing {$66.00} or new payment of {$1400.00}. How if it came from M & T does your company not have records of sending this? I then asked to speak with a manager. 

XXXX. Conversation with manager- XXXX XXXX XX/XX/XXXX at XXXX. Only thing XXXX could offer was an apology that a letter was not sent out and could send one now, however, I would be getting a statement in 2 weeks. I asked when analysis was sent out every other mortgage company we have had listed the new payment for not paying shortage and payment if paid in full. This analysis listed none. Almost like once M & T made the decision we would not pay and telling us here how you will pay by increasing monthly payments over 12 months. I was informed that financial institutions are no longer able to include new monthly payments with shortage payoff or include payment tickets for this. XXXX was only able to state this changed " sometime last year. '' Our issue is that from XX/XX/XXXX to XX/XX/XXXX M & T failed to inform us of the amount of new payment nor explain why our payment increased from {$1400.00} to $ XXXX. Oops sorry our bad we didn't send is not an acceptable answer. I was then asked if I wanted to pay the {$66.00} today. I feel that the failure on your behalf to inform me of this change requires M & T to pay or remove the {$66.00} until we are informed of the rate owed in writing. This needs to be shown by M & T prior to XXXX XXXX my online screen shots show nothing of this as well XXXX and XXXX state there is none. 

It truly appears from the lack of response from my XXXX digital message regarding taxes, the fraudulent changing from yearly to installment property tax by M & T, the lack of response to cancelling of escrow and the lack of response regarding new monthly payments that M & T continuously fails to communicate with their consumers as well as showing a lack of financial support or best interest of the consumer.

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