Wednesday, September 8, 2010

Black Bart Bank.

So Linda goes in to Bank of America and pays off the Home Equity Loan in full.

Actually, it turns out, she overpaid.

So there was a balance of about around 600.00 left, that they owed US. Despite her asking to pay off the entire loan, in full, everything.

So we get a statement, and they're charging us an 86.00 "finance charge" because we still have a balance.

You know, a POSITIVE BALANCE!! They owe us money, so they charge us for still having an account with them!! After asking them how much we owe them, IN FULL.

When we first went in to get our Home Equity Loan, we wanted about half of what we ended up getting. We wanted a fixed loan. And so on. We got talked into a loan limit twice what we really wanted --"Because we'll waive the fees--" the guy says.

And it turned into an Interest Only loan for five years.

O.K. My bad. I didn't walk out when I had the impulse. I just told myself that I would hold back the half we didn't need, and pay off the loan early. We also made hefty payments over the last four years, and had it about half paid off. The interest rate was really low.

But I remember specifically telling the loan officer -- Countrywide, before all the news came out about this mortgage company and before B of A took them over -- "We WILL be paying this off early, and we don't want any charges for that."

So it turns out, the over-600.00 they held was, in fact, early payment fees.

Linda challenged them on that, and they backed down, which I suspect means that in fact we weren't supposed to be charged early payment fees.

They still managed to screw us for 86.00.

Wow.

We'll see if we get the balance back. Or whether they'll continue to cause us grief. And whether they'll wait long enough to continue to charge us a finance fee:

For owing US money....

Incredible.

7 comments:

Duncan McGeary said...

These aren't exact numbers, because I'm relating them from a phone call from Linda. But close....

RDC said...

1. check you contact and find out what it does or does not contain.

2. If they charged you incorrectly keep going after them

3. Challenge the $86 charge if it was due to them incorrectly charging you in the first place.

4. Send a copy of your complaint to the State Attorney Generals office.

Leitmotiv said...

All I can say is WOW! And not surprising. Wait, is it even possible to say those first two sentences together like that?

Duncan McGeary said...

"I've labored long and hard for bread
for honor and for riches
But on my corns too long youve tred
You fine haired sons of Bitches
Black Bart

mugmkr said...

Yep, same corporation that got a $20B government bailout in January 2009 to stay in business. Lucky us, eh?

shopping monkey said...

In front of the BofA building in San Francisco is a slippery black marble hunk of sculpture that everyone calls the "banker's black heart." So appropos. They suck.

RDC said...

Duncan,

I did a check of class action law suits going on to see if this is prevalent. The only one that seems close is one against Countywide for soft prepayment penalty. Basically to charge for a prepayment during home sale transactions (not allowed). nothing on your specific case.

Just looking to see if it was prevalent enough to have triggered such a case.