Consumer complaint received 2023-03-04
Product: Payday loan, title loan, or personal loan — Personal line of credit
Issue: Charged fees or interest you didn't expect — 
Company: REGIONS FINANCIAL CORPORATION (MD)

I am writing to report a bait-and-switch complaint against EnerBank USA. Last fall, I had my pitched roof replaced by XXXX, and they referred me to EnerBank USA for a no-payment, no-interest loan to underwrite the home improvement project. I used a no-payment, no-interest loan to pay for window replacements by XXXX so I am very familiar with how these loans work. There is a period ( in this case one year ) during which payments are not required and the loan does not accrue interest. As long as the balance is paid in full before the end of the promotional period, you pay no interest. 
My XXXX payment, XXXX interest period with EnerBank USA expires XXXX XXXX, XXXX. 
Even though payments were not required, I made two payments of {$940.00}. My XXXX XXXX, XXXX, XXXX XXXX, XXXX and XXXX XXXX XXXX statements from EnerBank USA shows these payments and labels them overpayment credit adjustment. These statements correctly show my regular monthly payment as XXXX because I am still in the XXXX payment, XXXX interest period of this home improvement loan. 

On XXXX XXXX, XXXX, I received yet another statement and it showed a {$940.00} postpayment reversal on XXXX XXXX ; an advance of {$10000.00} on XXXX XXXX, a {$940.00} post payment on XXXX XXXX and a second a {$940.00} post payment on XXXX XXXX. For the first time, the statement required a monthly payment of {$200.00}. 

I called EnerBank USA to complain, and they said these were the terms I signed in XX/XX/XXXX when the loan began. These are not the terms I signed. I agreed to a XXXX payment, XXXX interest period with EnerBank USA for a loan I will pay off in full before this promotional period expires on XXXX XXXX, XXXX. 

My second complaint relates to how EnerBank is now crediting my payments. My statement dated XXXX XXXX, XXXX shows my {$200.00} payment, but {$91.00} of it is applied toward interest. My XXXX payment, XXXX interest period with EnerBank USA XXXX XXXX XXXX, XXXX. This is significant because after that date, this loan is subject to 19.99 % interest. My statement dated XXXX XXXX, XXXX shows and overpayment credit adjustment of {$2800.00} ; that entire amount was deducted from my principal balance. My XXXX XXXX XXXX monthly payment, however, is marked a post payment and {$140.00} of the {$210.00} payment was applied toward interest. My XXXX payment, XXXX interest period with EnerBank USA expires XXXX XXXX, XXXX. My most recent statement, dated XXXX XXXX, XXXX shows my XXXX XXXX, XXXX monthly payment as a post payment and {$110.00} of the {$210.00} payment was applied toward interest. My XXXX payment, XXXX interest period with EnerBank USA XXXX XXXX XXXX, XXXX. 

I believe EnerBank switched me to a different loan product without my knowledge or consent. I am fortunate to have accrued roughly XXXX XXXX in equity in my home. There is ZERO chance I would knowingly sign up for a predatory home improvement loan at 20 % interest when I could have just as easily gotten a home equity loan for a single digit interest rate.