Consumer complaint received 2015-11-11
Product: Mortgage — Home equity loan or line of credit
Issue: Application, originator, mortgage broker — 
Company: KEYCORP (PA)

I am attempting to sell my current home and to purchase a new home. In XXXX of XXXX I entered agreements with both a buyer of my home and with a seller, to purchase a new home. I have XXXX mortgages -- my primary mortgage is with XXXX XXXX XXXX, and my second mortgage ( home equity loan ) is with Key Bank. I filed for a chapter XXXX bankruptcy in XXXX XXXX, and my mortgages, as is the case with nearly all bankruptcies, were debts that were not reaffirmed. Since I remained in my home, I continued to pay both my mortgages. In XXXX XXXX, for reasons that were not shared with me, Key Bank " charged off '' my account. I was not notified of this, but was informed only when I contacted Key Bank because I was locked out of my account on their website. The result was that there was no longer any payment plan, nor was there any interest ( i.e. any " voluntary '' payments were applied entirely to the principal ). Since the payments were " voluntary, '' and there was no payment plan, any payments I made were neither " on time '' or " late. '' I continued to pay Key Bank in monthly installments, but immediately adjusted the amount of my monthly payments to account for the lack of interest on the loan. This situation seemed bizarre to me ; as it was explained to me, Key Bank charged off the loan, but still held the lien. The lender with whom I am ( still ) currently attempting to get a mortgage commitment has been attempting to get certain documents from Key Bank since I went under agreement in XXXX. The lender was requesting a payment history and a " verification of mortgage. '' It was requested that this " verification of mortgage '' include the status of my payments ( i.e. no payment plan -- thus no " late '' payments ) because Key Bank stopped reporting to credit agencies in XXXX XXXX. All of this information has been provided by Key Bank verbally to my loan officer and the loan processor. The underwriters and the FHA require that it be put in writing. This is what Key Bank is refusing to do. After three months ( an open complaint with the XXXX, and a threatened lawsuit ), Key Bank did finally provide those documents, but the " verification of mortgage '' ( for which I paid XXXX dollars ) did not contain the information requested. The only information on the document was a payoff amount and a loan origination date. The buyers of my home have since opted out of the agreement because the mortgage commitment date has passed. Key Bank, and its refusal to provide requested information, is the singular reason I am unable to get this ( or any ) mortgage. As it currently stands, in addition to being unable to get a mortgage commitment, my home will certainly sell for an amount lesser than the original agreement, especially if I am in a more desperate situation to accept any offer ( because most mortgage commitments require that the current home is sold ). The closest I have gotten to getting a reason for this refusal to cooperate is Key Bank 's law firm ( a legal assistant named XXXX at XXXX ) indicating that Key Bank will do nothing that may help my credit rating.