Consumer complaint received 2015-07-08
Product: Mortgage — Conventional fixed mortgage
Issue: Loan servicing, payments, escrow account — 
Company: M&T BANK CORPORATION (NC)

Due to medical bills steming from XXXX surgeries we became dilinquent on our mortgage. We have a mortgage with M & T bank. Once the account became dilinquent it was outsourced to XXXX XXXX XXXX. They offered us a loan modification to help with our loan status, lower our percentage rate and monthly payment. We decided to accept the offer rather than try to catch up the mortgage as I was facing more surgery and would incur more expenses. The agreement was to complete the trial period of the loan modification by making XXXX consistent and timely payments. Once that was satisfied I would receive the approved modification documents to be completed and returned by a certain date. In speaking with XXXX XXXX XXXX ( XXXX XXXX ), I was told that once the paperwork was submitted I would start to send my payments to M & T bank again. I sent a check for the first payment after approval and full execution of the modification. M & T Bank received and cashed the first check after the MOD approval. This month we attempted to make our monthly payment via M & T Bank 's online banking. The option or functionality was not available as if I had not made any payments. When I contacted customer service I was told that our mortgage was still in loss mitigation and this is why the option had not been restored to enable us to pay online. I was given a customer service number for further questions. However, when I called the M & T CSR phone number my call was redirected back to XXXX XXXX XXXX. I explained everything to XXXX XXXX a service rep at XXXX. He responded that this was correct, we were still in loss mitigation due to additional fees that had not been paid. There were XXXX inspection fees that we were unaware of. Out of all the time that I corresponded with XXXX and M & T, not once were we informed that there were any outstanding fees. When I told XXXX that we we were not notified, he responded, " I know, I am so sorry. '' I told him that we did everything we were instructed to do to get our mortgage and credit back on track only to learn a month later that we were still considered a month late because of the {$56.00} in inspection fees. This is non-disclosure. No one explained what was inspected and we were never notified of any additional fees. He stated that everything is resolved as I went on and paid the mortgage amount with the additional {$56.00}. I contacted M & T Bank to confirm that this takes care of everything and ask how soon payment would be applied they stated that I would need to contact XXXX since I made the payment to them. We made the payment to them because we were instructed to do so when the call was redirected. I called in to pay M & T not XXXX. How can they back door us with additional fees? We are concern that there will be more. I was told after the first check we sent that we would be current and able to process payments online. Now we are being told that after the second payment everything should be back on track. How do we know that more fees will not be added and this continue to happen for us. They should not be able to continue to keep our account in Loss Mitigation XXXX more months after we fullfilled all criteria for the loan modification and started resuming payments to M & T Bank. We even received confirmation of the completed loan modification that stated that we do n't need to do anything further. Why would M & T accept the XXXX payment by mail and then return us to default and for fees we were unaware of? what would have happened if I did not inquire about not being able to make our payments online? How long would they have allowed us to stay in loss mitigation over {$56.00}. I would have taken care of this with the first payment had we known. We paid because I want everything current but we still do not understand how they can continue to add fees or inspections without our knowledge.