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CitiMortgage - Duplicate Payments

CitiMortgage • Escrow problems • Duplicate credits • Misapplied funds • Due date

Jerome of San Antonio TX (11/26/03):
Citimortgage bought our account from 1st Nationwide Mortgage on or about April 03. We maintained our account in good standing with the previous creditor and continued to do so with Citimortgage. On or about 6 Jun (the statement date), we received a statement from Citimortgage indicating our account had been credited with two payments. A review of our personal financial records indicated that we had indeed paid twice during the month of May, however, each payment was submitted for a different period (the first for May - before the penalty date - and the second for June). Therefore, we felt that our account had been inappropriately credited with an additional payment.

We contacted Citimortgage and informed them of the suspected mistake on 16 Jun at 1130. We spoke with "Linda" who was a customer service representative. She informed us that upon review of their records, we had indeed paid twice for that payment period and that our records were incorrect. Due to the fact we keep detailed financial records we informed her we still thought Citimortgage had made a mistake and asked if there was any way they could verify that information. She related that an internal audit would be conducted to investigate the matter and that we would hear back from them shortly with the results. As our payment was coming due and feeling there was an error on their part, we continued to submit a payment for the month of July (submitted in June) to ensure our account remained in good standing.

Within a week, a representative from Citimortgage contacted us at about 1800 (during dinner) and informed us that the audit had been completed and that the payment had been validated, indicating they had received a second payment. Once again (for the second time!), we were told our records were incorrect and that we needed to adjust. Still feeling there was an error on Citimortgage's part, we subsequently contacted them a second time on the 27th of June to verify the facts laid out already. We talked to "Shirly" at 1320. Shirly pulled up our account information, informed us that they had received two payments for that period and that an audit had been conducted and the payments validated. For the THIRD time, we were told our records were incorrect and that we needed to adjust to match Citimortgage's records.

We later received July's statement (dated 2 Jul), indicating an overpayment remained attributed to the account and that our next payment was not due until Sep 1. Having verified the information on THREE separate accounts and having been instructed to use the mortgage company's information that had supposedly been validated through an internal audit, we did not submit a payment until Aug (thereby skipping July's payment that would have paid the 1 Aug requirement). Believing the matter to have been resolved, we gave the situation not another thought until 25 November, whence upon we received a notice from Citimortgage indicating they had detected an erroneous entry in their system and a payment was missapplied to our account. The payment had been deleted and our account was now past due.

A check of their web site indicated a late fee had been assessed for a past due payment from Jul, totalling $185. We contacted Citimortage twice on 26 Nov. At 1000, my wife (Misty) contacted a customer service representative who quickly transferred her to a supervisor, Ms. Evon Finley. She explained the situation to Ms. Finley and was told there was nothing Citimortgage could due to rectify the problem, that we owed the money immediately and that it was our responsibility to make monthly payments on our account, despite Citimortgage's records or statements. She did agree to waive the late charges, but that their deletion would take at least 2 weeks. She declined any further action and insisted that either we submit an additional payment immediately or the account would be turned over to the collection department.

If the payment was not received within 30 days of the due date, the credit bureau would be contacted and our credit report would reflect. Misty asked to speak to someone else who had the capability to better address our problem and was told that a manager would call back, but since the holidays were approaching (Thanksgiving being tomorrow), we would not hear anything until Monday or Tuesday of the following week at the earliest. Unsatisified with this response, I contacted Citimortage on the same date at 1050 and initially spoke to a customer service representative whom I asked immediately to transfer me to a supervisor.

Ms. Mary Jones answered the call and relayed there was nothing Citimortgage could do to rectify the situation from their point of view and that we owed the additional payment immediately. I asked to be transferred to somone who had the ability to address the issue and was transferred to the collections department and "Beverly." Beverly reiterated the fact that they had made a mistake, but that we owed the money and needed to pay it. Her solution to avoiding two payments in one month was to pay late (and hence incur a late fee). Obviously, as we want to keep our account in good standing, this was not an option. When I relayed that information to Beverly, she became short with me and stated she didn't even know why she was talking to me as our account had not been turned over to the collection department.

When I told her I had been transferred to her and that I need to talk to someone who could help me, she returned me to a front-line customer service representative, "Paula" at 1140. I reiterated once again the situation and Paula informed me that a work order had been opened on our account and it would not close out until 17 Dec. She informed me that when it did close, we would get a notice indicating the results and that (and I quote) "you should not make a payment until you received that notice." If we did not receive a notice by 17 Dec, we were instructed to contact Citimortgage to determine the results of the work order. (Note: this is in contradiction to every other person at Citimortage that we spoke to as we were told we had to pay, regardless of the work order status) I inquired about any late fees as they are applied as of the 16th of the month and was told (again, a direct quote) "if this is an error on our part, there should be no late fee."

In short, we have made every effort to maintain our account in good standing. When we received a statement we believed to be erroneous, we contacted Citimortgage and were told on THREE separate occaisions that our records were incorrect and twice that an audit had been conducted and the payments validated. Now, 6 months later, we have received notification that that was not the case and that our account is now delinquent. They are not willing to work any type of payment system to make up the lost payment and demand it be paid, in full, immediately.

Basing our account information on the "validated" records of Citimortgage, we have used our funds elsewhere, particularly as we are approaching the holiday season. Now that they have discovered their error and are demanding immediate payment, we find ourselves in a serious financial bind, with the holiday season looming. We have not disputed the payment, as we originally identified it (although we do feel that having identified it and been told it was valid, Citimortgage should be held liable for an improper or incomplete self-audit). We have attempted to work with Citimortgage to determine a way in which we can pay as we do not have $1157 sitting around that we can afford to pay them without dire consequences (such as no money left to pay utlities, etc).

We don't mean to sound harsh but Jerome is legally obligated to pay regardless of whether or not Citi's records are accurate. To protect his home, he should pay the amount in question immediately, even if it means borrowing the money.

Linda of San Barnardino CA (10/21/03):
On April 28 2003 I called CitiMortgage because while I was reviewing my statement I noticed it showed I had made a payment I hadn't made. I spoke with Sonia and she informed me that I had made two payments earlier in April and was paid up until June 1. Well I told her that was impossible - I could never afford to make an extra payment. She then insisted I did, then added "Maybe the money came from your escrow account?" I had no idea if it had or not. So I asked her what I should do and she told me to wait 30 days, pay my bill for May just in case, and if no one claimed the money it was mine and "you are very lucky".

It sounded strange to me but she worked for the company so she must know the way things work. I took her advice and paid my bill for May. On May 29 I called once again because I had not recieved a bill for June and was told basically the same thing by a different employee. At that point I was paid up until August 1 according to CitiMortgage. I received a statement on the 30th of May showing I did not owe for June or July. So since I was told to wait 30 days and if the money was not claimed it was mine I did not send a payment for those months.

I made my next payment on August 1st, and again on September 1st. In the middle of September I received a letter saying I did not pay for September. I called and I tried to work out the problem and I was told the only solution was to pay by Sept. 30 which was about 10 days away. I explained the situation but no one wanted to listen.

I called again a few days later in hopes of getting some help but then I was told I was two months behind, and had to send the two "late" payments plus my regular payment by Sept 30. I called again later that day and spoke with Mikah Hawkins. She told me on her computer screen it showed there was an error and it was their fault. Then she told me I should be angry for what was going on and she was going to help me straighten things out.

I was willing to pay for those 2 months I did not pay, but since it was not completely my fault and I felt it was mostly theirs for giving me false information, I wanted them to tack it on to the end of my loan. Mikah said that was a possibility and she would talk to her boss and call me back the next week. Then she told me not to worry and to ignore the collection calls.

When I did not get a call from her the next week I decided to call her. I could not get her on the phone but I did takk to someone next to her. He asked her about the situation and she completely denied ever telling me this. Then I started talking to this person about loss mitigation ... mid-sentence we were"disconnected". I have given up dealing with them, and I am now trying to find an outside agency to help.

Mylissa of Glendale OR (9/15/03):
In may of 2003, our mortgage was purchased from First Nationwide by Citimortgage. I can't believe what a nightmare they have caused us! On August 29th, I was informed that my checking account was overdrawn and I had no idea what could have happened. Well, as it would turn out, Citimortgage mistakenly withdrew 2 monthly mortgage payments instead of one! I have been making my payments online, the only thing I can figure is that their computer systems are majorly messed up! I even had my bank check into the problem and the error is definately on Citimortgage's end.

No one could imagine the living hell I have been put through by these inept people!! I have made 12 calls in two weeks trying to resolve the issue. I initially demanded that they return the funds electronically back into my bank account, and at first they said they would. Well, nothing happened. I called back 2 days later and I was then informed that Citimortgage does not have the "software capability" to return my funds, only to withdraw them.

Two weeks later I am still sitting here with my bank account overdrawn, and so far a grand total of $475 in NSF fees! I told Citimortgage that they were going to be liable for all of my NSF fees as this was their mistake and I was then informed by another "supervisor" that according to their records, they have no way to tell whether or not the error was mine or theirs, so therefore it is doubtful that they will pay my bank fees!

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