Special offer

Me And Bank of the Universe

By
Real Estate Agent with RLAH@properties AB95346

I am a compulsive early mortgage payer.  And still, last week I got a bone chilling letter in the mail from the gigantic bank that holds my mortgage.  It told me basically that I was on their deadbeat list - my mortgage was a late.  If I didn't pay up, they would begin foreclosure.

Whoa Nelly!

I immediately checked my records that showed my payments were totally current.  There they were, right on the bank's own web site. 

There was no way to talk to anyone on the phone.  I gave up after about an hour in voicemail hell.  So I went to my bank branch, and they couldn't help me - it was the old system is down excuse.  But the very helpful employee did give me a secret 800 number to call later in the day.  And I did.

I could just see the very nice lady on the other end of the phone scratching her head.  Eventually she figured out the problem.

I paid my January 1st payment on December 15th, the day before I left on vacation.  The system thought it was an extra principle payment  .  My February payment was credited to January.  March to February.  You get the picture. 

They assured me that the late charges would be credited, and that they hadn't reported anything to any of the credit bureaus.  But I know I'll have to check my credit reports to make sure.

What a pain!  And what a lesson to really check all of your records - carefully - every single month.

Jackie Connelly-Fornuff
Douglas Elliman Real Estate in Babylon NY - Babylon, NY
"Moving at The Speed of YOU!"

Also check your credit report 30 days from now as well just in case. Unreal!

Apr 11, 2010 10:58 PM
Cindy Jones
Integrity Real Estate Group - Woodbridge, VA
Pentagon, Fort Belvoir & Quantico Real Estate News

I have two mortgages with one big name lender.  Always pay on time via automatic debt.  However last fall they credited both payments to the same mortgage.  Don't know how they did that.  So I ended up with the same problem.  Nasty gram for lack of payment.  They did transfer the payment and remove late charges.  I checked my credit report at the beginning of the year just to make sure there were no issues.

Apr 11, 2010 11:30 PM
Missy Caulk
Missy Caulk TEAM - Ann Arbor, MI
Savvy Realtor - Ann Arbor Real Estate

Oh gee, this is infurates me. One the wrong reporting, one the local people passing the buck.

I would be livid.

Apr 11, 2010 11:56 PM
Dr. Paula McDonald
Beam & Branch Realty - Granbury, TX
Granbury, TX 936-203-0279

Automation just kills me everytime and frustrates me to no end.  We would be out of business if we were automated!

Apr 12, 2010 12:02 AM
Richard Weisser
Richard Weisser Realty - Newnan, GA
Richard Weisser Retired Real Estate Professional

Pat...

WOW! Typically, any payment made MORE than 30 days before the due date must be applied to principle, but 15 days seems out of line by anyone's standards.

Apr 12, 2010 01:05 AM
Barbara-Jo Roberts Berberi, MA, PSA, TRC - Greater Clearwater Florida Residential Real Estate Professional
Charles Rutenberg Realty - Clearwater, FL
Palm Harbor, Dunedin, Clearwater, Safety Harbor

Pat- NOTHING surprises me with banks anymore - glad you stay on top of things!

Apr 12, 2010 01:25 AM
Susan Brown
Keller Williams NE, Kingwood Texas (Humble & Atascocita too) - Kingwood, TX

Pat - Always check the payments.  A friend of mine had the bank all of a sudden start applying a full month's payment to interest only.  And every month was an odd combination - she caught it 4 months into the payments & it took another two months for the bank to get their act together. 

Apr 12, 2010 05:58 AM
Dale Terry
Yadkinville, NC

An instructor of mine once said that 75% of all the people suck at their jobs.  You found one.

Apr 12, 2010 06:48 AM
Jim Hale
ACTIONAGENTS.NET - Eugene, OR
Eugene Oregon's Best Home Search Website

This mis-crediting of an early payment is not just a function of some individual employee making a mistake.  It is attributable to the failure of bank policies to focus on the needs of consumers as opposed to the banks own curious view of its best "interest".

Apr 12, 2010 06:58 AM
Linda Greco Rich, ABR, SRES
Exit Preferred Realty - Bel Air, MD
Harford County Specialist

Pat, That is really scary. I would be freaking out! I'm glad you got it settled rather painlessly.

Apr 12, 2010 07:18 AM
Leslie Ebersole
Swanepoel T3 Group - Saint Charles, IL
I help brokers build businesses they love.

Make double triple sure you check all three credit reporting agencies and that there are no late payments on your reports. If there are, call the bank and make sure that they do the work to make sure the items are deleted.

Apr 12, 2010 10:59 AM
James Downing - Metro DC Houses Team REALTORS®, CRS, GRI, ABR,MRP, MilRes
Real Living | At Home - Washington, DC
When Looking to Buy or Sell - Make the Right Move

Oh thats just crazy.  Banks are a mess - thats for sure!  Glad you got it figured out.

Apr 12, 2010 01:57 PM
Martha Brown
Long & Foster Real Estate, Inc., Annapolis MD 21403 - Annapolis, MD
Your Homes Around Annapolis Agent

Unbelievable. pay early and still get in trouble. Geez will this ever end???

Apr 12, 2010 04:08 PM
Jeff Dowler, CRS
eXp Realty of California, Inc. - Carlsbad, CA
The Southern California Relocation Dude

Pat - I had a similar situation. So much for their record keeping. Glad you got it straightened out, but waht a nuisance to have to work through it all. I HATE automated voice mail, don't you?!

Jeff

Apr 12, 2010 04:09 PM
Steve Shatsky
Dallas, TX

Hi Pat... this is not the first time I have heard this story... and unsurprisingly, each time it has been with Bank of the Universe.

Apr 12, 2010 04:28 PM
Michelle Gibson
Hansen Real Estate Group Inc. - Wellington, FL
REALTOR

Pat - I've had the same exact thing happen even though I put the number of payments I was making in the correct box, but someone entered it wrong.  I guess that's what we get for paying early.

Apr 13, 2010 12:16 PM
Ellie McIntire
Ellicott City Clarksville Howard County Maryland Real Estate - Ellicott City, MD
Luxury service in Central Maryland

Pat- I am sure the blood rushed to your head when you opened that letter. Lucky for you your bank has your loan- imagine if you had your mortgage with a company that keeps selling the loan.

Apr 14, 2010 01:10 PM
Russel Ray, San Diego Business & Marketing Consultant & Photographer
Russel Ray - San Diego State University, CA

I went through that about a decade ago now, which is why I never pay that far in advance anymore. If I can't make the payment electronically, then I'll take a check with me and mail it a reasonable time in advance so that it gets to the bank. Fortunately, almost everyone (except Nissan) has online payments now, and if they don't, you can actually schedule payments through the bank itself. I even have one bank make a payment to that same bank through my account at that same bank.

Apr 15, 2010 03:18 AM
Eric J
Eric J - Dream Home Financing - Freehold, NJ
Dream Home Financing

Pat, of course it was a very large bank. They dont care about you. The only reason why they fixed your problem is because they would have risked a heavy fine.

Apr 15, 2010 12:12 PM
Don Wixom
RE/MAX Executives Nampa, ID - Nampa, ID
"Looking out for your next move..."tm

Pat, I can feel your pain there!  I have had so many issues with payments on my rentals, etc. that don't get posted properly & I get the run around... Arrrgg!  Glad you got them to adjust it!

Apr 15, 2010 04:35 PM