Consumer complaint received 2018-12-05
Product: Mortgage — Other type of mortgage
Issue: Trouble during payment process — 
Company: SUNTRUST BANKS, INC. (TN)

On XX/XX/XXXX, I was advised when attempting to refinance a construction loan that I was being reported delinquent on an 2nd mortgage Adjustable Rate Mortgage that I have with SunTrust Bank. 

On XX/XX/XXXX I called SunTrust Bank to inquire. I was advised that my account was past due. I immediately brought the account current and updated my information on the account. SunTrust had an address that did not belong to me and a phone number that I have never owned or authorized to be on my information. The address was a XXXX XXXX XXXX XXXX XXXX TN and the phone number was a XXXX area code. Neither are address in which I have ever lived or used for any personal or business transactions. 

When speaking to XXXX XXXX from SunTrust on XX/XX/XXXX, I advised that the 2nd Mortgage account did not have the correct mailing address and/or contact information. I advised SunTrust that I have never received a statement from their institution regarding this Adjustable Rate Mortgage, changes in the rate or payment, attempts to collect, delinquency and/or refusal to post any further payments. This seems to be a Regulation Z issue ( e.g. 12 CFR 1026.20 ( c ) ). 

I advised XXXX XXXX that I had called previously and had my personal information updated in XX/XX/XXXX and/or XX/XX/XXXX when this property was transferred to my LLC. All paper statements were to be sent to an Iowa address to the attention of my proxy. The LLC was responsible for paying these payments monthly and any change in payment would be sent to that address to the attention of my proxy. These accounts have been paid via bill pay perfectly for over 13 years. 

SunTrust in stating that the XX/XX/XXXX and XX/XX/XXXX ARM changes were made and the payment of {$170.00} per month was now short and remained short for over two years. During that period of time I did not receive any communication from SunTrust. The {$170.00} payment has been paid monthly for 13 years. In XX/XX/XXXX SunTrust refused to receive any further payments. All notifications, attempts to collect were done to the wrong address and wrong phone number despite SunTrust having updated the correct 1st Mortgage account information and having a checking account with my personal and work information at their disposal. I have been a SunTrust customer for nearly 20 years. The account information has remained current on those banking accounts. 

On XX/XX/XXXX, I opened a compliant with the Mortgage Escalations Resolution Team. XXXX XXXX took that call and advised they would call every 7 days until this is resolved. I received a call on XX/XX/XXXX regarding the compliant and that was the last contact that I had received from Suntrust. SunTrust did not honor their resolution commitment to make personal contact with me. 

A letter was dated on XX/XX/XXXX that was sent to my attention by XXXX XXXX, Home Preservation Client Representative. This letter advised that within 7 days I would hear from SunTrust. On XX/XX/XXXX, SunTrust mailed a letter advising they would not correct the credit reporting and that my account was current as reported. 

I called SunTrust on XX/XX/XXXX at XXXX and advised XXXX that I disagreed with this review completed by SunTrust and I wanted my credit corrected immediately. I advised that I had never received statements and the only reason for the delinquency was that SunTrust refused to post any further payments. I advised that I had not received any letter, phone calls, collect notifications from SunTrust. The only contact I have received is a copy of my banking statement via my work email and countless phone calls to purchase another credit card or refinance my mortgages. At no time did SunTrust notify me of the delinquency. 

I also went by SunTrust Bank on XX/XX/XXXX and saw Personal Banker XXXX XXXX in person. The bank could only connect me to their collection department. The local bank did not know what the other departments were doing. The bank branch could not escalate or resolve this situation. SunTrust markets themselves as a single financial institution but when problems exist they hide behind different departments and claim to be separate entities. 

As a result of this activity I now have a 60 day delinquent on my credit. My credit was XXXX before this activity by SunTrust. I am not able to refinance my XXXX construction loan due to this issue. I now have a payment on the construction loan that I can not afford monthly. I will not be able to pay down the construction note and refinance to a lower payment and using the equity of my existing sale to pay down the loan. Once I can refinance I will pay a larger rate due to the reported delinquency. I am experience an immediate financial harm and will {$60000.00} to {$75000.00} more interest over the life of this loan once refinanced. This issue was reasonably avoided if SunTrust would have updated the records with my correct mailing address that is current in the 1st mortgage but was never updated by their representatives on the 2nd mortgage. This could also been avoidable if the SunTrust personal would have call my personal checking account contact information. SunTrust failed to update all my records, failed to perform any due diligence, failed to make live contact when this account became delinquent. They also failed to send an adjusted rate mortgage statement to the customers requested address. 

I would like for my multiple Regulation Z violations and the multiple UDAAP concerns to be researched. 

This loan opened in XX/XX/XXXX, the address that was listed was not my address. I have never lived at that address. I also am concerned that the 1st Mortgage and 2nd Mortgage are adjustable rate mortgages and were financed at a 80/20 split. This was 100 % financing. I should have known that was not a good plan but I was young and ignorant at that time. This was a very aggressive loan for a young person to make. During one of the phone calls the SunTrust representatives advised that they had my loan listed as a primary residence. This loan was an investment property and was never intended to be a primary residence. I would like to have the sales practices reviewed. I purchased multiple properties that year for my rental business. This should have been deemed and investment property and never listed as a primary residence. I expect the sales person listed the XXXX address to ensure this was underwritten as a primary residence. SunTrust failed in underwriting this loan and should have not booked this load as a primary residence loan.