Consumer complaint received 2026-07-01 00:00:00
Product: Mortgage — FHA mortgage
Issue: Struggling to pay mortgage — Trying to communicate with the company to fix an issue related to modification, forbearance, short sale, deed-in-lieu, bankruptcy, or foreclosure
Company: U.S. BANCORP
State: VA

Complaint narrative:
Complaint Against U.S. Bank Mortgage Loss Mitigation I am filing this complaint regarding U.S. Bank 's handling of my mortgage loss mitigation trial payment plan, inconsistent communications, improper servicing practices, and issues related to force-placed hazard insurance. The bank 's actions have caused unnecessary delays, confusion, financial hardship, and significant emotional distress. On XX/XX/XXXX, at approximately XXXX XXXX EST, I contacted U.S. Bank to determine why my mortgage trial payment had not been properly applied, even though my payment had been sent and received. After being transferred, I spoke with XXXX, who informed me that my payment had been received but returned by mail because it was not the correct amount. She stated that the required trial payment was {$1500.00}, not {$1400.00}, which was the amount I had previously been instructed to pay on XX/XX/XXXX. XXXX also advised that a letter had been mailed notifying me of the revised payment amount. I explained that I never received such a letter and that mail delivery in my area has been unreliable. I also advised XXXX that I had received conflicting information from different U.S. Bank representatives regarding the effective date of my trial payment plan. One representative stated that the trial period began XX/XX/XXXX, while another stated that it began XX/XX/XXXX. Because of these inconsistencies and the difficulty communicating with XXXX, I requested to speak with a supervisor. I was transferred to XXXX, a supervisor. Unfortunately, the audio quality during our conversation was poor, making it difficult to understand her. XXXX stated that I had failed to comply with the trial payment plan because my payment amount did not match the amount stated in the Trial Period Plan Offer. She further advised that U.S. Bank had mailed me a denial letter informing me that my loan modification had been denied and that I would have to begin the entire process again. XXXX also stated that similar situations had occurred with other applicants whose payments had been returned because they submitted incorrect payment amounts. I requested that all future critical communications be sent to me electronically and, if mailed, be sent by a more reliable delivery method because regular mail has proven unreliable. I also questioned why my payment had allegedly been returned by mail instead of being refunded electronically through the ACH system, the same method used to submit the payment. XXXX stated that U.S. Bank did not have the capability to return the payment electronically. She agreed to request that the Trial Period Plan Offer be emailed to me because I intended to file a complaint. I received that email on XX/XX/XXXX, at approximately XXXX XXXX EST. On XX/XX/XXXX, while preparing to file this complaint, I received a text message from U.S. Bank stating that my trial payment due on XX/XX/XXXX remained unpaid and encouraging me to submit payment or contact an agent. Concerned by this message, I visited my financial institution, XXXX XXXX XXXX XXXX, where I reviewed my account activity. I discovered that my original payment of {$1400.00} had actually been returned electronically on XX/XX/XXXX, identified as an ACH refund ( US Bancorp Home PMT Refund ). This directly contradicted the information I had previously been given that the payment had been returned only by mail. I immediately contacted U.S. Bank 's Loss Mitigation Department and spoke with XXXX. Rather than providing routing information so I could submit the revised payment independently, she processed the revised payment over the telephone in the amount of {$1500.00}. The payment was successfully processed, and I was provided with a confirmation or tracking number. I am also concerned about significant increases in my monthly mortgage payment. My understanding is that my mortgage interest rate following my refinance is approximately 5.5 %. However, my monthly payment has increased substantially because U.S. Bank obtained hazard insurance that primarily protects its own interest as mortgagee. After reviewing the Notice of Insurance, I observed that I am identified as the borrower while U.S. Bank is listed as the Insurance Mortgagee. The annual premium associated with this policy is {$3700.00}, and I believe this has substantially increased my monthly mortgage payment. I intend to provide supporting documentation concerning this insurance issue to the CFPB. I also currently have active investigations regarding these insurance concerns with the appropriate state regulatory agencies. Additionally, I received a U.S. Bank letter dated XX/XX/XXXX, acknowledging receipt of my payment of {$1400.00} and stating that the payment was returned because the account was due for the XX/XX/XXXX mortgage payment. This letter contains an obvious error, as the correct year should have been XXXX. The letter also stated that a business reply envelope was enclosed for resubmitting payment, but no such envelope was included with the mailing. After confirming the transaction with XXXX XXXX XXXX XXXX, I learned that the payment had actually been refunded electronically through ACH on XX/XX/XXXX, making the explanations provided by U.S. Bank inconsistent and confusing. At present, I am obtaining quotes for homeowners and flood insurance so that I can obtain appropriate coverage for my property and reduce my monthly mortgage payment to reflect the correct escrow amount. My goal is to ensure that my home is properly insured while avoiding unnecessary insurance costs. Throughout this process, U.S. Bank has repeatedly provided conflicting information regarding my trial payment plan, payment processing, correspondence, and insurance. These inconsistent communications have delayed my loss mitigation application, caused unnecessary financial uncertainty, and created considerable stress that has affected my health and peace of mind.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation