Consumer complaint received 2021-06-02 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: Synovus Bank
State: GA

Complaint narrative:
I have a conventional mortgage with Synovus Bank. I have never missed any payments nor have I been late on any payments ever. In fact, I have made several significant principal payments ( XXXX, XXXX or even $ XXXX ) during the course of the loan and every time I would go to the branch and request the payment to be applied as principal payment, XXXX would always apply those payments as partial monthly payments or simply hold that money in a separate account as " unspecified payment '', would not apply to the loan for several days until I call, resulting in delays and charging additional interest on the principal amount that I have paid down, only the bank did not apply the funds as such. Representatives on the phone would tell me " What difference does it make when we apply principal payment you made? ". I can not believe someone employed by the bank does not understand the concept of interest accrued on a balance that should have been reduced by a certain date, but instead keep accruing at a higher amount/loan balance. 
I am now trying to refinance my mortgage loan with a different provider at a lower rate and different terms. A payoff statement was requested from Synovus on or about XX/XX/2021 and I received one in the mail on or about XX/XX/2021. The statement was dated XX/XX/2021 and provided a payoff through XX/XX/2021. 
On the statement there was standard information provided such as unpaid principal balance, interest, etc. There was also a line item for " Unpaid Late Charges '' with a dollar amount on there which was included in the total payoff amount. I was upset to see it because I know for a fact I have never been late on any payment. I tried calling customer service number on XX/XX/2021 and after 3 tries and 1 & 1/2 hour wait on hold XXXX finally answered the phone but could not tell me why there was a late charge ( s ) assessed on my account as she confirmed there was never a late payment associated with my account. I requested a corrected letter sent to the lender that is processing my current application and a copy mailed to me with a statement from Synovus that this was a mistake on banks end and that I have never been late on any payments. A representative stated that she can not do that and that she needs management approval first. I requested a call back from management with resolution. XXXX XXXX called me back at the end of the day on XX/XX/XXXX and told me " let me explain why that fee is on there ''. " Its because a payoff was requested through XX/XX/XXXX which is past the payment due date for the month of XXXX so the fee is charged in advance even though you have never made any late payments ''. 
So Synovus Bank is engaging in abusive practices and taking liberty in charging me unwarranted and completely unfounded " late fees '' when I have never been late in making any such payments? XXXX XXXX stated she was unable to remove this charge from my payoff statement because it is " system generated ''. 
A statement that I have " Unpaid late charges '' from my current lender that are completely false, inaccurate and baseless make me look bad and may impact my current loan application with a different lender. Synovus Bank is knowingly and purposely engaging in unfair and abusive practices by providing false information that is deceiving at best and by doing so the bank is harming a consumer that has done nothing wrong but always paid on time! 
This practice should cease immediately and Synovus Bank mortgage should be investigated for employing such tactics! It is simply appalling to include late fees that are charged for a loan that has never had any late payments!

Company response to consumer: Closed with explanation