Consumer complaint received 2020-06-30 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: BSI Financial Holdings, Inc.
State: IL

Complaint narrative:
I am filing another complaint in response to BSI Financial response dated ; XX/XX/XXXX. BSIs response is a deceptive attempt to XXXX-wash its predatory practices. I respectfully ask CFPB to please continue reviewing my complaint against BSI and to investigate its mishandling of my home mortgage account. 

BSI Financial Inc is disingenuous in stating it has applied all funds to my account. In my initial complaint, I provided EXHIBIT H as proof BSI hadnt applied paid funds to my account. As further proof I am providing you with copies of their monthly statements which will also show BSI Financial had not been applying payments made to my account ( EXHIBIT AA ). 

BSI states my monthly mortgage payments {$730.00} is current. While my monthly payments are being paid on time, please do not be deceived, the monthly payment amount of {$730.00} only covers the monthly interest rate of the loan which is incorrect. My mortgage loan is not an interest only loan, but a 30-year fixed rate home mortgage loan. BSI is not collecting a monthly mortgage amount to cover the principal, interest, and escrow. Unbeknownst to me BSI has manipulated my loan to only collect interest and is withdrawing from my principal balance to fund the escrow account. Due to BSI Financials mismanagement of my Home Mortgage Loan they have only collected mortgage interest from me and the Illinois Hardest Hit Program, which means BSI has my principal balance in a negative amortization of over {$25000.00}. Please note this amount continues to grow as BSI has not corrected how it manages my home mortgage loan. 

Its important for me to point out, I asked BSI the reason my monthly mortgage amount was lowered, and never received a response. It was when I requested an account audit ( EXHIBIT BB ), I later learned BSI was only collecting monthly interest ( EXHIBIT H provided in initial complaint ). As a result, I emailed XXXX XXXX XXXX on XX/XX/XXXX, to request my account be corrected ( EXHIBIT CC ). To date, I have not received an explanation nor has my account been corrected. 

BSI is cunningly refusing to address the negative amortization of my home mortgage loan, by stating it will address this in another complaint against them. Please understand, I notified the State of Illinois as the provisions of the Illinois Hardest Hit Program clearly state I will be in default of the forgivable loan and forced to repay the loan if it is in negative amortization. The provisions further state, I am required to report any changes that could affect the terms of the loan agreement. Its important for you to know I am a State of Illinois employee and my salary can be garnished or worse I could lose my job if I owe money to the state and local governments. To be forthcoming and hopefully avoid undue hardship, I reported the negative amortization to the State of Illinois, but I ask CFPB to please continue its investigation as I filed my complaint with you first. To date, I have not received a response from the State of Illinois regarding my complaint. 

Know, my escrow account is incorrect as BSI is improperly withdrawing from my loans principal balance, to cover the monthly escrow payments. Without prior notification and explanation, BSI Financial has extracted a total of {$6100.00}, from my principal balance, and the outstanding principal balance has increased to {$150000.00}. These amounts continue to grow monthly as BSI has not corrected my account. More alarming, each month BSI Financial extracts an additional {$0.00} cents from the previous months principal balance transaction, this activity is a red flag of potential financial fraud. 

BSI is untruthful when it states it has reported correct information to the credit bureau ; it has not. BSI has falsely reported me as being 30 days late on my XX/XX/XXXX payment ; and being 120 days late on my mortgage payment for XX/XX/XXXX. As important, BSI failed to report actual payments made to the credit bureau and reported me as being delinquent. Note, the Illinois Hardest Hit made its payment to BSI Financial in XX/XX/XXXX ; payment received in the same month it was due is not 120 days late. Please refer to the attached copy of my credit report, which was referred to as EXHIBIT I in my initial complaint. 

Its important for me to bring to CFPBs attention, after my loan was reinstated in XX/XX/XXXX, BSI refused to communicate with me to inform me of my monthly mortgage payment amount. In fact, BSI placed a cease and desist on my account. I wrote BSI to learn of my monthly mortgage payment ( EXHIBIT CC ). Please know I didnt receive a monthly mortgage statement from XXXX XXXX until approximately XX/XX/XXXX ; and that mortgage payment was for XX/XX/XXXX ( EXHIBIT AA pg 6 ). XXXX XXXX XXXX of BSI verbally communicated to me the monthly mortgage amount I was required to pay for XX/XX/XXXX. I was also told XX/XX/XXXX and XX/XX/XXXX monthly payments were not owed. However, BSI now plays with these payments to clear itself of wrongdoing. 

If you have any questions or need additional information, please dont hesitate to contact me at XXXX XXXX XXXX XXXX. I am desperately seeking your help to restore my home mortgage account with BSI Financial and save my home. As important, I am certain I am not the only customers of BSI going through similar predatory practices.

Company response to consumer: Closed with explanation