Consumer complaint received 2017-08-23
Product: Mortgage — Home equity loan or line of credit (HELOC)
Issue: Struggling to pay mortgage — 
Company: KEYCORP (NY)

We have paid our KeyBank home equity loan current with KeyBank, yet out account continues to sit in foreclosure status for no good reason. We have spoken to numerous representatives of the KeyBank since XX/XX/XXXX to resolve this matter with no success. We are beyond frustrated and have come to the conclusion that the only way this matter will be resolved is by filing a complaint with CFPB. The following describe the steps that we have taken to bring our account current and have it finally moved out of the foreclose department. 

Our certified check has been lost twice by KeyBank Branch XXXX located on Delaware in XXXX NY. During XX/XX/XXXX I contacted KeyBank to inquire the total amount needed to bring our account current. After being quoted several different amounts by different KeyBank representatives, I obtained a certified check for the amount of {$3500.00}, which was the highest quote we were given. I was advised that that this would bring our account current through XX/XX/XXXX.  We submitted a certified check for the above stated amount to a teller ( do not have her name ) at XXXX XXXX as I was advised to do by KeyBank. After about a week, I called KeyBank several times to confirm the status of our account and that the our account was in fact current. On one of those calls, I spoke to a XXXX XXXX, he stated that our check had not been applied yet. We waited another week and called KeyBank, yet again. We were told that our check still had not been applied and no one could find the check. We returned to Branch XXXX and spoke to the same teller that we had submitted our check to, to see if she could locate it. She searched and miraculously located our check in some " junk drawer '' that appeared to contain a slew of other misplaced checks or other correspondence. This same teller, sent our check out again. We witnessed her put our check into a big yellow envelope to be sent off to processing Center in Ohio. We followed up with KeyBank and was advised, yet again, that no check was ever applied and now our account was sent to a foreclosure attorney. Our check was lost by KeyBank yet again. 

After talking to several KeyBank representatives, I was provided a reinstatement letter by XXXX XXXX XXXX, from bank XXXX. She finally gave me this letter on XX/XX/XXXX, which now had addition late charges and fees. ( attached is a copy is copy of letter ). We called customer service repeatedly to dispute the additional fees and demanded that they be removed. We advised that we would not have another certified check reissued to KeyBank with the additional fees, and that was KeyBank is negligent for losing our check twice. It has prevented us from bringing our account current. Many of the representatives we talked to would read the account notes and confirm that it indicated our checks were lost, but took no further action to actually help us resolve the issue. 

In XX/XX/XXXX, We spoke to XXXX representative XXXX, and finally felt like she wanted to help. She agreed to e-mail XXXX in the mortgage department to inform her of XXXX losing our check 2 time, and that we demanded all fees and late charges from XX/XX/XXXX forward be waived, and then we would take steps to reissue the certified check and bring to bring our account current. XXXX contacted us back and informed us that XXXX would waive the fees, only after she receives a e-mail from the manager of Branch XXXX stating that the check was lost 2 times, and that we tried to pay our account current on XX/XX/XXXX. 

Returned to KeyBank branch XXXX and spoke to manager, XXXX XXXX. XXXX e-mailed XXXX the information that she requested and that his branch did in fact loose our check. On XX/XX/XXXX, XXXX XXXX, left me a voicemail message, confirming that he had been in communication with XXXX and that she agreed to waive any late and legal fees from XX/XX/XXXX. Attached you will find a copy of my visual voicemail from XXXX confirming the above information. The voicemail is saved should you need to hear it. 

With the confirmation that all fees would be waived, we wanted to reissue the certified check and send out immediately. We spoke to XXXX and other representatives to request a reinstatement letter to document and confirm the exact amount needed to bring our account current. We requested this numerous times, but never received anything. Finally, we told XXXX that we were contacting our attorney, that is when we finally were transferred to XXXX XXXX, we again requested a reinstatement letter confirming amount and itemized print out of charges. XXXX agreed to provide requested information, but we still have not received anything in the mail as of todays date. However, XXXX did quote us the amount of {$3800.00} and stated this would bring our account current and covered our next payment coming due on XX/XX/XXXX. She also confirmed that all fees had been waived. We E-mailed XXXX on XXXX and requested that she send an e-mail confirming above stated quote and information, for our documentation. Those e-mails have been attached for reference. 

Certified check in the amount of {$3800.00} was XXXX next day air on XX/XX/XXXX. Next payment due on XX/XX/XXXX. 

On XX/XX/XXXX, I called to make XX/XX/XXXX payment since we are still unable to make payments online. We speak to XXXX XXXX, again, she confirmed that our check was received and applied, but that our account is still in foreclosure status! XXXX stated that XXXX still has not waived the fees ( that she previously agreed to waive ) and until she does, our account will remain in foreclosure. XXXX further stated that XXXX is the only one who can waive the fees. Even given this information, we insist that XXXX take a check by phone to apply to our XX/XX/XXXX payment. We fear that our payments would fall behind again, and/or we would be slapped with more late charges. XXXX argued against taking our check by phone because it has to be applied certain way when account is in foreclosure. At our insistence, XXXX took our payment, but in review of our bank statement, it had never been cashed. Now, the XX/XX/XXXX payment and XX/XX/XXXX payment are overdue. We have no recourse to get current on this account until KeyBank does what it needs to do. At this point we are feeling extremely frustrated and defeated. We do not know what else we can do.