Consumer complaint received 2016-01-22
Company: JPMORGAN CHASE & CO.
State: CA
Product: Mortgage
Sub-product: Conventional adjustable mortgage (ARM)
Issue: Loan modification,collection,foreclosure

Complaint:
XX/XX/XXXX-Chase discovers they were making property tax payments on incorrect parcel and requests payment in full. Suggested applying for a loan modification when we stated we did n't have the funds to pay in full and requested consideration to apply these back taxes to the outstanding loan balance. 
Following Chase 's instruction and how much they wanted to " help us out '' we sent our application for the loan modification on XX/XX/XXXX. 
In a letter dated XX/XX/XXXX, following months of providing Chase with all the information requested, speaking with different customer specialists several times over the ensuing months, one unpleasant phone conversation specifically regarding the property in question with customer support specialist # XXXX assigned to our loan, and continued letters stating they were still reviewing our application, we were denied. 
Upon reading the reason for denial, basically stating the property was a second home and not a rental therefore we did n't qualify for the Home Affordable Modification with Principal Forgiveness Tier 2, we found erroneus information and challenged their findings, sought legal couseling, and sent our letter of appeal addressing these specifics via certified mail XX/XX/XXXX. 
XX/XX/XXXX-Received letter from Chase explaining different reasons we are denied but not correcting the original error or addressing the original reason for denial. The letter also stated erroneous communication with the # XXXX Customer Support Specialist we have dealt with since the inception of the process which we believe contributed to the negative outcome. 
XX/XX/XXXX-New application packet sent without an explanation. 
XX/XX/XXXX-Letter introducing a new Customer Support Specialist XX/XX/XXXX-Mortgage payment refused by teller at bank XX/XX/XXXX-Called new customer support XXXX who explained Chase is starting Foreclosure process thus no payments are to be received. When asked to explain why previous payments had been accepted we were informed all payments made during the past year had been placed in a Suspense Bucket until there were enough funds to cover the new payment due reflecting the back taxes paid. We were also informed of a {$14.00} inspection fee the account has been incurring during this time to make sure the house had not been vacated or vandalized. We have n't heard nor seen any such report. 
After a lengthy conversation it was suggested to submit another application to perhaps slow down the foreclosure process We are at wits end and have concluded since Chase is not willing to work with us to pay back the back property taxes without doubling our mortgage payment, as they did, our only recourse is to short sale the property. 
We have never denied we owe the tax and never asked for a reduction in the principal balance. We had only requested an extension of time to repay and bring the account up to date and appropriately assigned the correct APN to the escrow account. The advice given by Chase initially to apply for a loan modification was clearly not the best way to correct the error Chase made and sent us on this futile journey for the past 11 months.

Company response to consumer: Closed with explanation