I ended up with a mortgage through Bank One after going through a trusted friend who owns a mortgage brokerage. This was not the first mortgage I had secured through this friend's service. I had no problems with previous experiences. This situation began in March.
Apparently, Bank One has figured out the Rube Goldberg method of mortgage financing and have made the process as complicated as possible. It is even complicated to the point of confusion for the bank managers! So, after several attempts to get their process (I've given it two full years), I am taking ALL of my business elsewhere: mortgage, credit card, checking, and savings. I will no longer do business with a company who does business in such a deceptive and, what should be, illegal manner.
I signed a contract with a specific monthly payment stated in writing - lets say $600.00 for convenience. Only once has that amount ever shown on a statement.in fact and this is what I believe should be illegal (it is certainly an immoral act) the amount has continually decreased as I've made larger payments. The most recent is approximately $150.00 merely 25% of the original contracted payment! The stated payment would not even cover the current finance charges! So, any reasonable person would think that any payment over that amount would be applied to the principal but NO!
I've been told (by Bank One personnel) that, since the interest is accrued daily, it doesn't work that way. Well, if the interest is accrued daily how can I be billed for a mere $150.00 a month?! That doesn't cover the interest for 30 days, which is in excess of $500.00 a month!
Since the inception of this loan, there have been 5 months were not a single cent was applied toward the principal even though the payment was $100.00 or even $150.00 over the payment as outlined on the initial contract! How can this be legal?
So, in 24 payments, and a total in excess of $15k, only $2500.00 has been applied to principal. And, by doing some simple math, I have evidence that they have misappropriated my funds! How? If you calculate the number of days times the amount they told me is the daily interest amount and compare that to the numbers on my statements they do not add up! Over the 24 payments, I am actually over $150.00 ahead on the interest payments according to their own figures! That is money that SHOULD be applied to my principal along with the hundreds of dollars I have paid over the stated monthly payment. EVERY cent I paid over the stated monthly amount should be applied to the principal since I have not been late.
Also, after the first five payments, there was a Principal Reduction entry made which is good for me. But, why has it been done only once, when I have specifically told them to apply ALL overpayment toward principal on each payment? Completely unacceptable, unbearable, and intolerable. I will take my business elsewhere. Not without voicing my outrage though. I have contacted Bank One and await a reply which I do not expect. A mere $100k in business spread over multiple accounts is nothing to them. I doubt they will even notice.
Though I must say, the Branch Manager was visibly moved by her inability to help. She deserves to work for a more ethical company. I appreciate her efforts.
So, my advice never do ANY business with ANY Bank One / Chase / JP Morgan company. I will go to great lengths not to and take every opportunity available to me to let others know what deceptive business practices they utilize.
Any information available on legal action that can be pursued I would greatly appreciate it. I would like to recoup the equity I SHOULD have in this home! I won't hold my breath. And it doesn't make any sense (to me, at this point) to pay legal fees on top of my current losses.
I'm just going to move on, and, in effect, beat this dead horse a bit on my way just so I'll feel a little better. It might take some time and a few good blows! Do unto others? An eye for an eye? How about dollar for dollar? That's the justice I seek.
Now to contact the state Attorney General.
Troy
Frankfort, Indiana
U.S.A.
0 comments