Consumer complaint received 2024-02-28
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Trying to communicate with the company to fix an issue while managing or servicing your loan
Company: BSI Financial Holdings, Inc. (IL)

BSI Financial has been deceptive and unprofessional during my experience with trying to recast my mortgage to obtain a lower mortgage payment. On XX/XX/XXXX I spoke with XXXX at BSI to learn about the recast process and how long it takes. She told me I had to do XXXX things ; submit a request/authorization letter via email, which I did on XX/XX/XXXX, pay a {$250.00} fee for the recast, which I did with her that day over the phone, then wire the funds ( $ XXXX ) to BSI which I did on XXXX XXXX. When I asked her how long the process takes, she said I would need to make the normal mortgage payment due on XXXX XXXX, then the reduced payment after the recast would be in effect for next month 's payment. It is this information that I used in my decision to recast my mortgage instead of refinancing with another institution. 

Several weeks went by and I found it odd that no one from BSI has acknowledged my letter that I emailed for the recast and saw that the {$250.00} fee I paid for the recast has been erroneously applied to my principal balance. I called to speak with an agent to find out where we are with the recast and why the recast fee was misapplied to my principal. The agent said they made a mistake with the payment and would correct it, then told me the recast process could take up to 90 days. I was irritated to find this out because I did not want to put myself in the position to potentially have to make huge mortgage payments for the next XXXX months. XXXX told me XXXX weeks ago it would be complete before my XXXX payment. The lady basically said the process takes 90 days and it is what it is. 

Several weeks go by and I have not had any acknowledgement of my recast letter or anything describing next steps so I called to get an update. the agent just said the recast could take up to 90 days but could not acknowledge receipt of my letter or provide a status of where we are in the process. 

On XX/XX/XXXX I called and spoke with XXXX XXXX who was actually very helpful and the first one to actually try and determine where I am in the recast process. She could not find my recast request letter anywhere in their systems. I forwarded her the original letter at her request and she acknowledged the date of the letter, that it contained all the correct information, and that I did initially email it to the correct place. She was very apologetic and said she would personally expedite this to underwriting to process since we are now approaching 60 days since initiation. She said I will get a letter in XXXX weeks which I must get notarized and send back which will allow me to have a new reduced payment for XX/XX/XXXX due date. The paperwork never came as promised so I had to call to get another update. 

The first week in XXXX I called BSI and the agent says I am in the late stages of the recast process. She said I will have a letter in the next week or XXXX stating the new, reduced amount for my XXXX payment. She said I need to notarize it and send it back. On XX/XX/XXXX, I still have not received the letter, so I called again to get an update. The agent says he has no record of my recast letter and does not see any recast activity for me. I was shocked and frustrated to hear this. He said he has to speak with underwriting and promised he would call me back personally to let me know what he found out the same day. I never received a call back. 

The next morning, on XX/XX/XXXX, I received a notice from BSI Financial that I am XXXX  days past due on my mortgage payment. I have never missed or been late on any mortgage payments. I looked at the payment and transaction history and can see all kinds of manipulation from BSI. Payments applied, then reversed, then payments combined, then reversed, unrecognized amounts applied then reversed. A line item even said my one mortgage payment was reversed due to a change in investor. What does that even mean??? Now I have to deal with this mess AND the status of my recast request which is now XXXX days old with no progress. The agent gave some crazy explanation about all the combining and reversals and that I am not really late, the system just thinks I am and automatically sent me this notice. I expressed my concern with the sketchy transactions and the system self-determining I am late. I asked what happens if the system automatically erroneously reports this to my credit report. She said if that happens to call BSI and they will remove it. This is absolutely crazy and I should not be put at risk like this. She said as far the recast status goes, she will have to talk to her managers to find out where we are. She called back and said the same thing I have heard the last XXXX months. I should receive the paperwork in a few weeks but she can't confirm an exact timeframe. Now I have to make another large mortgage payment for XXXX which I was promised I would not have to do. 

BSI Financial has been deceptive and really should be investigated. My initial inquiry I was told the recast process would be complete and I would have my new lower payment in effect by XX/XX/XXXX. Then I have been promised completed paperwork to be delivered to me within the next few weeks XXXX times now. I had to catch a misapplied payment for my {$250.00} recast fee, I am receiving late notices stating I am XXXX days when I am not. There are reversals and manipulations in my payment activity history which can not clearly be explained. I am XXXX  days into my recast request and they still can't commit to finishing it. BSI Financial needs their people and their systems investigated.