Consumer complaint received 2024-01-03
Product: Mortgage — Manufactured home loan
Issue: Trouble during payment process — Paying off the loan
Company: FIRST HORIZON BANK (TN)

Hi, I would like to start by saying. This is our home of 25 years now. We have been in a bank owned mortgage since the year XXXXXXXX We would never do anything to put our home in danger of foreclosure. We have always made our payments for the past 23 years. We have a payment and a history here. I make our mortgage payments online through our banks online website. I did miss my XXXX payment and that was my fault. It was not a hardship. I just missed the payment. In XXXXXXXX XXXX XXXX around the XXXX of the month. I went to make XXXX online payments like I have done in the past. One for XX/XX/XXXXXXXX XXXX XXXX XXXX XXXX XXXX The XXXX payment would have been our final payment on our loan. The " Maturity Date '' for our loan was on XX/XX/XXXXXXXX XXXX XXXX When I went to make the payments. My online account was locked from taking online payments anymore. So the following Monday XX/XX/XXXX. We walked into our bank in person to make the payments. First Horizon Bank tried to process the payments. They were having an issue as they were locked out too. So they called XXXX the sub-service provider for our mortgage. When they spoke with the representative on the phone. She said we can no longer accept payments on this account. The loan has matured. Full Final payment of {$11000.00} is only accepted at this time. We went home and called XXXX ourselves. They told us the same thing. Only full final payment can be accepted. I asked them. How do you have a {$11000.00} final balance on our loan? She could not answer me why or how. 

So the representative recommended we start a review process of our loan. We said okay and did everything they asked us to do. We started the review process XX/XX/XXXX. Our first response was on XX/XX/XXXX. It was a one line response that said. " After the research was completed, it has been confirmed by our Corporate Office that your UPB is not at a {$0.00} balance as at the time of the maturity of your loan, there were funds added to your UPB to pay for the Lender-Placed Insurance instead of your monthly mortgage payment being increased. '' There were no kind of documents uploaded to us or any kind of proof what so ever that showed how they come up with this balance. 

We replied back to them uploaded our contract and documentation. Then we waited some more for them to reply. Keep in mind. The entire time. We have been going to the bank in person. Have called them numerous times trying to make our final payments. They will not accept any payment at all from us throughout the entire process. Our last response to them in the review department was on XX/XX/XXXX. Well on XX/XX/XXXX they turned this over to an attorney for foreclosure. We are now in foreclosure status due to no fault of our own. 

We had a straight forward contract. 
Amount Financed = {$36000.00} Finance Charges = {$33000.00} Total of Loan Payments = {$70000.00} Percentage Rate = XXXX XXXX Payments @ {$380.00} XXXX XXXXXXXX Due XX/XX/XXXX We want to keep our home and have tried so hard to come to a resolution. They are in Illinois and its hard to communicate with them. When we refinanced our loan in XXXX. We walked into our local bank in person XXXX XXXX and did this all with a loan officer in house. Since XXXX it has switched from XXXX XXXX to XXXX XXXX to XXXX XXXX to XXXX XXXX and now XXXX Throughout all of this. Our loan payments have been applied wrong. They have put more towards interest and less towards principal. We should be nowhere close to {$11000.00} balance at the end. We have not " Differed payments, Asked for assistance, Skipped payments or done anything to modify our loan in anyway ''. To date we have paid {$73000.00} on this loan. So we have already overpaid. Now they want another {$11000.00} plus attorneys fees and other charges bringing the total to {$14000.00} and climbing by the day. They are demanding us to pay an over payment of {$17000.00}. That is not even close to our contract details.