Consumer complaint received 2015-08-26
Product: Mortgage — Conventional fixed mortgage
Issue: Loan servicing, payments, escrow account — 
Company: M&T BANK CORPORATION (CA)

It is public knowledge that large banks, including XXXX XXXX XXXX, transferred accounts that were fully ( or mostly ) paid off, to third parties with misleading and inaccurate information. Those third parties, and debt collectors, in turn harassed and intimidated consumers. While the financial institutions settled some of these cases, there is ongoing litigation involving other cases. My experience, detailed below, is another example of that practice by your bank involving a third party debt buyer. I request your personal attention so we can resolve this matter within reason, promptly. 

Since XX/XX/XXXX and up to and including XX/XX/XXXX, on a loan with a balance of $ XXXX ( as confirmed by XXXX ), I 've paid {$240000.00} to XXXX/M & T, as confirmed by my bank. Other analysis confirms I may have overpaid on the loan already. Copies of the cashed checks, detailed correspondences sent with each payment, and a log of communications with XXXX and M & T representatives are also available on request. 

I made my monthly payments slightly in excess of what was due. I also made significant advance payments with a clear intent to accelerate loan payoff. I sent property tax payments in full several months ahead of when ( the first installment was ) due. I included copious notes in the checks and accompanying letters on how the payments were to be applied. XXXX representatives assured me my account was current and not in escrow, my payments were being applied as directed. I relied on those representations and continued, in good faith, to pay off my loan. In summary, as noted by a XXXX representative XX/XX/XXXX, " I had no cause for alarm whatsoever. " I was therefore shocked and dismayed at M & T Bank 's claim I was behind by {$70000.00} in payments and their threats to foreclose on the property unless I pay up immediately. Neither XXXX nor M & T are stepping forward to resolve the many discrepancies in their narratives. XXXX claims the loan is now being handled by M & T and M & T claims they are relying on what XXXX presented them. M & T informed me they would research the payments and get back to me. I have n't heard from them since other than via XXXX XXXX who informed me M & T said they would commence foreclosure proceedings if I do n't pay up immediately. 

As noted earlier, there is ongoing litigation and a history of large institutions, including XXXX, transferring, with misleading and inaccurate information, fully ( or mostly ) paid off loans to third parties ( such as M & T/XXXX ) who then abuse, threaten and intimidate unwary consumers. This is another instance of that practice. Unfortunately it involves your bank ( XXXX ), another smaller entity ( M & T ), and I 'm caught in between. I trust you 'd be able to understand my predicament, especially in light of my good faith efforts to pay off the loan early. 

It is only fair and reasonable that XXXX, as was represented me, apply every penny and dollar I sent it applied for the intended purposes, i.e., toward the mortgage ( principal and/or interest ) and where appropriate, property taxes. While I am cautious, given XXXX 's public record and its mistakes on my account, I trust you 'd agree my expectation is fair and reasonable and XXXX 's action to correct for its mistakes and lapses would enable our resolving this situation. Once that is complete, should there be any balance, I am open to paying it off to XXXX or M & T Bank. 

Attached are documents summarizing the inconsistencies, anomalies, and errors in the bank 's " explanation and analysis '', evidence of payments and analysis showing the loan has already been paid off in full.