Consumer complaint received 2016-06-27
Product: Mortgage — Conventional adjustable mortgage (ARM)
Issue: Loan servicing, payments, escrow account — 
Company: BANK OF AMERICA, NATIONAL ASSOCIATION (VA)

Our mortgage is with Bank of America. We have been enrolled in a bi-monthly ( i.e. Pay Plan/XXXX ) auto draft pay play since XXXX XXXX. In XXXX XXXX, our mid-month payment was returned for insufficient funds. We called within days and made payment accordingly. Auto draft payments continued as scheduled. When we called in XXXX to make the missed draft payment ( which was only 1/2 of our monthly payment ), we were not informed at that time, that should another draft be returned our online, phone pay and check paying capability would be revoked. All payments prior to XXXX XXXX were drafted and paid accordingly since the start of the plan, as well as all additional payments after XXXX XXXX. Unfortunately, due to an oversight our scheduled draft on XXXX XXXX, XXXX was returned for insufficient funds. I meant to call immediately, but forgot and was reminded by letters received on Saturday XXXX/XXXX/XXXX. That being said, I called today XXXX XXXX/XXXX/XXXX XXXX to rectify the returned payment and restructure the auto draft plan. My intention was to pay the outstanding amount owed and to restructure the auto draft plan from a XXXX cycle to a XXXX cycle, so that each payment would coincide with our pay cycle. I was offered no assistance after speaking with XXXX different people, including a manager. I was told that since we have had two payments returned within the last 6 months that BOA will no longer accept a personal check, schedule an auto draft, allow pay by phone or online payment access. I was also told those rights have been revoked for the next 12 months. I was told that my only option moving forward is to pay via money order, a certified check or cash and to take the payment in the form suggested to a local branch. Our monthly mortgage payment is {$1600.00}, our mortgage is current and the remainder due for XXXX XXXX, including assessed late charges of {$190.00}, is {$810.00} which is the other half of our XXXX payment for a total of {$1000.00}. We are in essence being prevented by making our monthly payment in the most cost effective and timely fashion. We will now be required by BOA to pay each month by having a cashiers check drawn and make payment in person. I do not feel comfortable having a money order issued ( as many have proven to be invalid and are not guaranteed or federally insured ). Nor do I feel comfortable withdrawing large amounts of cash and driving to a branch with that much money in hand. It is amazing to me that BOA considers a money order as an acceptable form of payment and considers such as certified/verified/good funds. Both forms of payment ( Money Order & Certified Check ) come with a issuance fee, thereby costing me ( the consumer ) additional funds. In addition, the letters we received in the mail from BOA stating that our payment had been returned in XXXX and that we have been removed from the pay plan stated that we could rectify the missed payment by making a payment by phone, online, in person or also by money order or certified check. Neither letter states that those rights were revoked or offer further instruction. You are only told when you call. If you try to pay online ( which I did ), you are also told to call. When I questioned BOA about the letters, I was told they are form letters. If your ability to pay via certain methods has been revoked, should n't the letters mailed indicate such and offer additional payment resolution? By limiting our ability to pay Bank of America has put us in a difficult, inconvenient and more costly position when making our monthly mortgage payment. Furthermore, BOA told me, that I was not the only customer that this has happened too. If that is BOA policy, should n't they inform the consumer accordingly? Also, letters mailed after an incident of this nature, should set forth specific payment instruction for current and any future payments.