Consumer complaint received 2024-11-26 00:00:00
Product: Mortgage — Home equity loan or line of credit (HELOC)
Issue: Problem with a company's investigation into an existing problem — Problem with personal statement of dispute
Company: COLUMBIA BANKING SYSTEM, INC.
State: WA

Complaint narrative:
I recently received a negative mark on my credit for being more than 30 days late with a payment on my HELOC with Umpqua Bank. It is the only negative mark on my credit. I manage my HELOC with Umpqua 's online banking and their system mislead me that I was up to date on my payments. During the one month at issue, my family was in and out of the state dealing with a family medical issue so I was extra reliant on their on-line system. According to their online system, and even when I was apparently late in paying, ( XXXX ) I did not owe any payment ( XXXX ) there was no outstanding payment due and ( XXXX ) my next payment wasn't due until XXXX. I had overpaid in XXXX so I assumed this was due to this overpayment. 

After I received the mark on my credit and raised this issue with XXXX, they sent me a list of phone calls they made. Unfortunately, when they made the phone calls, my wife and I were in the process of applying for a mortgage and I was receiving a ton of marketing calls from banks. Since Umpqua did not leave any personal identifying information, I did not know that the calls were regarding an issue with my HELOC. I completely relied on their online banking system and recall checking it a number of times to make sure I was up to date. 

In response to my complaint regarding the mark on my credit, Umpqua employees told me that they were in the process of updating their online system, in part to address these issues. To my knowledge, these updates have not happened. Also, this information does not address the harm to my family from the mark on my credit. I spoke with multiple employees at Umpqua who reiterated that they understand their online system is highly problematic and that it is in the process of being improved. 

My wife and I have a family business and we heavily rely on my credit. This mark on my credit has dropped my score about a XXXX points. Umpqua can not advertise that they have an online banking system when it is so woefully inadequate to address modern business practices. I am incredibly disappointed in their refusal to amend the mark on my credit and support small businesses like my family 's. I feel that the failed disclosure around the inadequacy of their online banking system, the failure to more quickly update their online system when they knew it is misleading, and their failure to adequately address issues like mine when harmed, are all clear consumer protection issues. Their online system should instead have had a large warning label. 

As soon as I was aware that I was " late '' in paying interest on the HELOC, I again overpaid on the line. I would greatly appreciate if this mark on my credit could be removed and if other consumers could be warned of Umpqua 's misleading online banking system.

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