Consumer complaint received 2017-07-11
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: JPMORGAN CHASE & CO. (NJ)

This is a follow-up to claims # XXXX dated XX/XX/XXXX and XXXX dated XX/XX/XXXX. In XXXX XXXX, JPM Chase refinanced my mortgage loan previously with XXXX in the amount of {$210000.00} at 5.5 % for 20 years. After noticing that the interest rates had gotten lower in XX/XX/XXXX, I enquired JPM Chase about refinancing my loan for the current lower rates I had seen advertised all over ( rates got as low as 2.5 % ) I remember that the associate first said that I did qualify ; however, a day or so later he said that I didnt and instead offered me a 30 year loan at 5 %. He said the 5 % rate was the only one they could offer me and this would lower my monthly payments. I knew that due to my current income situation, it would be hard for me to apply somewhere else. JPM Associate stressed the fact that they could close in no time because being that I was a Chase customer who had refinanced 3 years earlier, they didnt need to do much. Although I wasnt happy about the new term, I needed to do something to lower my payments ; thus I reluctantly accepted it. However, no matter how many times I asked if this was the best they could do or if everything was Ok with the loan ( something didnt feel right as I often felt they were withholding something ) The original associate and later the lady who finalized the loan processing via e-mail, said that everything was Ok. At no time, did any Chase employee explained that I was applying for a HARP loan nor did I know one existed or what did it mean. I was never offered any  options. Once I agreed, a few days later, they sent a notary to my house to have docs signed. Chase said I didnt need an attorney and being that it was a loan refinance, I trusted that was the case. In XX/XX/XXXX or about I had applied for a balance transfer online with Chase to pay off a creditor. However, Chase didnt approve the credit indicating that someone was going to get back to me. I needed to pay off a high balance/high interest rate credit card right away ; therefore, I immediately applied to other credit card. I never heard from anyone at Chase. About a couple of months later, I received a statement from Chase indicating that I owed them $ XXXX (? ). When I enquired Chase, they said that they had paid my creditor. I said impossible because they had not approved my credit and that creditor had already been paid off. Chase never sent me a credit card nor a letter of acceptance nor anyone ever called me as they had indicated. Chase placed my account under  fraudulent investigation and was reluctant to accept that they had made a mistake. I asked the representative to make a conference call with the creditor they sent the funds to, to confirm that indeed that creditor had been long paid off. When the creditors representative was going to confirm that indeed the account had a $ XXXX credit balance because the account had already been paid off, Chase disconnected me and no matter how many times I tried calling XXXX - Chase rep, she would never pick up nor return my calls. Furthermore, the creditor who had received the excess payment, tried returning the funds directly to Chase ; however, Chase refused to accept the funds indicating that they had to be sent to me. I resent funds to Chase as I received them ( please see copy of letter attached indicating the last reimbursement of funds received from vendor and resubmitted to Chase ) Meanwhile, Chase kept charging interest over interest on the account which amounted to {$500.00}. Chase had my account on collection and then on judgement renewing such status over and over again thru the years. I refused to pay because it had been their mistake. At the time it was made illegal for financial institutions to also charge interest over interest and that is when Chase stopped increasing the debt  ; otherwise this is the day they would show that I possibly owed them $ XXXX. Enclosed is a copy of one of my latest credit reports which can easily tell the story about my payment pattern. There is no reason why my credit score would be lower at any point in time. However, due to Chase arrogance and predatory lending practices, they caused my credit to always fail the mark. Even in the worst of times, I had always made true to my payments. I dont pay fraudulent and/or dubious charges, thats it! It is clear to me now, that the above credit card charge by JPM Chase was the cause for them to first deny me the lower rate available in XX/XX/XXXX and increase of the term of my loan. They also lied to me about the type of loan they were giving me. Also, as far as I know HARP loans were for those whose LTV were negative. I purchased my house in XX/XX/XXXX and I have never defaulted on any of my loans and always maintained a positive LTV. For what I hear about this program, the purpose was to lower the debt, In my case, Chase increased my debt by almost $ 50K. By XX/XX/XXXX, my XX/XX/XXXX loan was reduced by $ XXXX or appx $ 7/year ( please see copy of HUD attached ). By the time of refinancing in XX/XX/XXXX, my debt was down to appx $ XXXX ; however, the new loan amount right from start increased by almost $ XXXX to appx $ XXXX. Ive been making extra payments as well on the XX/XX/XXXX loan and after 6 years the loan has been reduced by $ XXXX or appx $ 5k/year and that is with over payments ( see copy of mtge statement attached ). Chase refinance, in no way shape or form, was to my best interest. Furthermore, they only recorded the XXXX debt in XX/XX/XXXX and kept the conventional loan open. My question is why?