How To Make a Complaint Against Your Mortgage Lender or Mortgage Broker

1014 days ago by
16 comments

By:  LINDSEY O’NEILL, ESQ.

Do you have a complaint about your mortgage lender or broker regarding your interest rate, prepayment penalties, fraud, deception, or other matter regarding your home?  First, try to resolve the problem directly with your bank or broker.  If you are unsuccessful, however, I highly recommend you contact an attorney to discuss your legal options.  There are a variety of federal and state laws protecting consumers’ financial rights.  For instance, lenders and brokers are required to provide certain disclosures to borrowers about rates, fees, and other terms and conditions of lending.  If a lender or broker has violated any of the applicable laws, there will be certain legal remedies available to you.  Find an attorney through LawInfo’s online attorney directory. 

In addition to seeking advice from an attorney about your particular situation, you should know that you can make a complaint about a financial institution to various government agencies.  Below is information about how you can submit a complaint to the appropriate agency.   

Federal Deposit Insurance Corporation

The Federal Deposit Insurance Corporation (FDIC) handles complaints about FDIC insured state banks which are not members of the Federal Reserve System.  You can submit a complaint about your financial institution by completing the FDIC Customer Assistance Online Form.  You can also contact the FDIC by mail or phone:

Federal Deposit Insurance Corporation
Division of Compliance
1730 Pennsylvania Ave
7th Floor
Washington DC 20429
(877) 275-3342

Comptroller of the Currency

The Office of the Comptroller of the Currency (OCC) is a bureau of the U.S. Department of the Treasury.  The OCC handles complaints about National Banks. (Usually banks that have “National” in their name or “N.A.” after their names.) You can submit a complaint by completing the OCC Online Customer Complaint Form.  You can also contact the OCC by mail or phone:

Comptroller of the Currency
Compliance Management
250 E Street SW
Mail Stop 3-9
Washington DC 20219
(800) 613-6743
www.occ.treas.gov

Office of Thrift Supervision

The Office of Thrift Supervision handles complaints about Federal savings and loans, and also Federal savings banks.  You can submit a complaint about your financial institution by completing the OTS Consumer Complaint Form and mail or fax your complaint to:

Office of Thrift Supervision
Consumer Affairs Division
1700 G Street NW
Washington DC 20552
(800) 842-6929 
FAX:  202-906-7342
www.ots.treas.gov

Federal Trade Commission

The Federal Trade Commission handles complaints concerning most non-bank lenders, such as, mortgage and finance companies and state credit unions.  You can submit your complaint through the FTC’s Online Complaint Assistant. (Note:  The FTC Online Complaint Assistant is sort of a one-stop-shop for a variety of complaints collected by the FTC (including complaints about non-financial companies, business practices, identity theft, and episodes of violence in the media), so don’t get confused if you see questions related to these topics when using the Online Complaint Assistant…  just answer yes/no when going through the process so that your complaint can be directed to the right place.)   You can also contact the FTC directly:

Federal Trade Commission
Consumer Response Center
600 Pennsylvania Avenue, N.W.
Washington DC 20580
(877) 382-4357
www.ftc.gov

The Federal Reserve Board

The Federal Reserve Board handles complaints and regulates state-chartered banks and trusts. The agency also administers Truth-in-Lending, Equal Credit Opportunity Act, and Fair Credit Reporting Act.  You can submit your complaint by completing the Federal Reserve Board Online Complaint Form.  You can also download the form and submit it to the Federal Reserve Board by mail or fax:

Federal Reserve Consumer Help
PO Box 1200, Minneapolis, MN 55480
Fax: 877-888-2520

Division of Consumer and
Community Affairs
(202) 452-3693
www.federalreserve.gov

National Credit Union Administration

The National Credit Union Administration handles complaints about National Credit Unions. For Federal Credit Union (a credit union with the word “federal” contained in its name or any credit union in Delaware, South Dakota, Wyoming or Washington, DC), NCUA is the regulator.   You can file a formal complaint by sending the NCUA a letter – no special form is required – to the NCUA regional office for your state.  Find the NCUA regional office for your state by clicking here.

National Credit Union
Administration
1775 Duke Street
Alexandria VA 22314-3428
(703) 518-6300
www.ncua.gov

State charted Credit Union:  A credit union without the word “federal” as part of its name and not located in Delaware, South Dakota, Wyoming or Washington, DC, is probably regulated by a  state supervisory authority where the credit union’s main branch is located.  If your complaint is about a state-chartered credit union, you can find the appropriate contact information to make a complaint by clicking here. 

If you’re not sure if your credit union is state or federal, you can use the Find a Credit Union (link) to search by name and look up the credit union’s charter number.  Federal credit unions have charter numbers under 60000, state-chartered credit unions have charter numbers greater than 60000.

Department of Veterans Affairs

The Department of Veterans Affairs handles complaints about loans guaranteed by Veterans Affairs.  Contact the VA Regional Loan Center by clicking here. 

Department of Veterans Affairs
Consumer Affairs Service
810 Vermont Avenue, NW
Washington DC 20420
(202) 273-5770
www.va.gov Handles complaints about loans guaranteed by Veterans Affairs.

  • Cathy

    You don’t say what KIND of lawyer to find!

  • Lyn

    Thank you for posting this list. I still don’t know where to turn in regards to an automatic stay violation by a mortgage company that I received a judgment against. The bank still continues to violate the stay and is in contempt of court.

  • Sandra S

    Why should the consumer have to pay a lawyer for violations, incompetence, mistakes and harassment on the part of a mortgage lender. This is discrimination in and of itself considering those that have problems cannot afford a lawyer.

  • http://www.lawinfo.com Lindsey

    Hi Sandra. I know, it is difficult to think about how victims of others’ wrongdoing must usually hire a lawyer in order to get a remedy. You can certainly try to do it on your own, but in most cases an attorney’s assistance will provide you with a better outcome. The system is adversarial in nature and governed by extensive rules regarding pleading your case, filing the appropriate paperwork, making the relevant arguments, and introducing sufficient evidence to prove your claim. Plaintiffs (those who bring lawsuits against another) have the burden of proof in our system. We require someone to prove their case before we hold another person accountable. Most non-lawyers do not know how to sufficiently prove the violations, incompetence, mistakes and harassment on the part of a mortgage broker. Lawyers, though, are familiar with the laws with which brokers and agents must comply – so can identify in “legal terms” where the violations occurred. Hold on to your gut feelings though…. that’s where you start identifying where things went wrong. Good luck!

  • Steven Craig

    I can’t afford an attorney at this time but I decided to take on Provident Funding another way. Make people aware of their corruption by building a website dedicated to them. I’ve also filed complaints with the Better Business Bureau, Federal Trade Commision, Atorney General, Consumer Affairs, Fox News, etc…

  • melissa

    great list, however, been there done that. what then? for the last 10 years I have been at it, the last three aquiring more evidence [for my case], however to no avail…and no attorney will touch my case, the fbi wont listen to me, and there must be more money changing hands in my case than I can shake a stick at, I even get randomely selected by local law enforcment occasionaly, my mail from the appeals court is tampered with before I recieve it, ummmm the list goes on and on…personally, I’m tired, and am unfortunatley running out of time and resources. Will Justice ever come?

  • Mark

    People are getting scammed left and right by mortgage brokers telling them they are going to be guaranteed $300-$500 off their home mortgage in 4-6 weeks by applying for a home modification loan that would cost you $500. 

    My mother in law had a guy come over from [a mortgage brokerage] weeks ago telling her that she would save money off her home mortgage. She was told the process would take 4-6 weeks and mentioned to her that this would be 100% guaranteed, after filling out a little paper work within 15 min. and writing a check out to him for $500. Little did she realize 9 weeks later, after numerous messages left with [the company] that she she had been SCAMMED! Their has been no call backs and no lower mortgage rate as promised by these guys, after being told by Tony himself it would be a done deal.

    My mother in law finally got through today, the gentlemen she dealt with told her that they are still waiting, and the people who apply now probably wouldn’t even get approved for the loan if they tried.

    After hearing this, I called acting like a new customer and talked to the same guy about doing a modification loan of my own. He told me also that I would be guaranteed anywhere from $300-$500 off my home mortgage after just stating to my Mother In Law that anyone who applies now probably won’t get approved.

    This is infuriating that these mortgage brokers are scamming people out of money telling them lies, taking their hard earned money and not doing anything with it.

    I have done some internet research on this character and found some real interesting info on this shyster:
    This guy failed to get his Residential Mortgage License after sending checks with Non-Sufficient Funds.

    Department sent a Potential Disciplinary Action letter via
    U.S. mail service, and U.S. certified mail advising Licensee that Acceptance Mortgage
    Corp. has failed to comply with the RMLA and Rules

    MAKE SURE THEY HAVE A MONEY BACK GUARANTEE!
    I HAVE CONTACTED THE BETTER BUSINESS BUREAU!

  • David Breaux

    The OCC is who I was directed to the first time I started to complain about HomEq Servicing the company also known as Barclays that services my mortgage loan. And the foreclosure was reversed, the money was actually never reapplied or refunded in whole and my credit remained reported as late payments continuously. Another time with the same situation I again filed a complaint with the OCC and after months a letter was returned stating there was nothing that could be done because of a sale of the managing business HomEq Servicing who’s name stayed the same their affiliation with Wachovia was altered but what really changed is nothing but a bunch of paperwork being buried. So the OCC in relation washed their hands with the situation, I had sent enough information to prove my case. They the OCC are in some relation actually funded by the banking organizations they regulate, it’s basically in-house oversight. Hard lived to find them enforcing justice upon themselves when they have been corrupt and being revealed regarding the situation. The real question is when are the American people going to wake up and get out the pitch forks and storm capitol hill demanding real justice? Big business has been screwing the moral majority forever, as the moral majority looses it’s morals we get called on it as the bad ones in the deal! When in fact the reason the country is loosing it’s morals is from trying to fight against a greedy government that has no morals at all, and therefore we wind up more and more on their level! Government is a slippery slope of slime dressed what is to look proper by the media controlled standard! A real highly organized pile of crap even holding down the stink with a boat full of lawyers and laws only at work for them and not US the American being they just use like an old time slave pumping for tax money! Greed Greed Greed Greed Greed to the core!

  • c moss

    Due to a calculation error on my homestead exemption, taxes on my home, the Morgage company increase my monthly payment by $400. The monthly automatic draft was likewise increased. My bank ws NOT AUTHORIZED to draft that extra amount. As a result, I have incurred numerous fees which have thrown my finances into a talespin. The mortgage company will not work with me on this. Do I have any recourse? anybody/?

  • cookie

    Some help you provide!!! Are you guys working for the mortgagers too? If I could afford an attorney, I would hire him/her myself instead of bothering writing here which gave me no options whatsoever. After 2 loan modifications applications & trying to refinance, I don’t qualify for a modification because we have too much income; on the other hand, I can’t refinance because I need to have more income. I’m being harrasssed by my mortgager, eventhough I pay my mortgage on the month, but with late fees.
    I receive 7-10 calls/day. Don’t they have inter-office communication? If I sell my house, I’ll still owe money to my mortgager. I don’t have any options. I just love my house, which I live in since I bought it in 1999, but my motgage payment of $2191.00 is killing me!

  • http://www.lawinfo.com Lindsey

    So many homeowners are struggling with situations similar to yours! It is completely frustrating!! Have you checked out LawInfo’s free legal resource center… there is a section devoted to loan modification, avoiding foreclosure, etc. You might find some answers or at least some ideas in the FAQs, etc. Check it out!

    http://www.lawinfo.com/loan-modification.html

    http://www.lawinfo.com/Consumer-Finance-and-Foreclosure.html

  • sonia cruz

    For me have being a horror. I lost my home in flouclouser in 2007. t he bank sand me a form to field for a class issued suit. I qualified in tree of the class. I supposto submited by 08-2009. I habing recived any information .Yea

  • outlaw

    There is no such thing as consumer help you have to help your self, when they start putting a show on called gangland about ceos bankers mortgage brokers etc. I tried once ftc collects information only fed reserve consumer help does nothing hud well think about it and your attorney general go ahead and try. These companies know you will have to deal with a goverment agency when filing a complaint then they have another drink. If they do lose probably pay with tax money. Let me know after you waste some of your time then start thinking of what you can really do. Any how there is no consumer protection as you will see. see you in the funny papers

  • Freddie Sawyers

    I have been out of work because of an injury and health issues ,…my home is fiance threw Beneficial,.My wife and I have Disability Insurance threw HSBC,…A month ago they were getting to foreclose on our home(BENEFICIAL) They wouldn’t applying the Money from HSBC after trying to call I decided to Fax the BENEFICIAL Co they gave us the run around,…I’m looking for a good lawyer going after lawsuit!!!!

  • http://profile.yahoo.com/IOJLVOF3UB46NPGL4N2AACBSEE Frank

    I agree with outlaw there is no consumer help and these organizations will not help you.  Most of time I think they take your information and tell the lender what you said about them.  Its a sad time to be a home owner in the United States.  Personally I think they’re idiots because this sort of thing is responsible for why economy has been so questionable past twelve years.  Until they create an actual legitimate consumer protection agency which is accountable and can work with each case I don’t see this getting any better.  

    We’ve had two mortgages with Wells Fargo now for five years and every time we attempt to pay down the balances it fails. Wells Fargo does not allow a way to do so.  They say they do but its a lie.  If you actually go to a branch and attempt to do this they’ll say everything you want to hear and imply its being paid toward principle balance but it doesn’t happen.  Instead it gets factored into already scheduled future interest payments.  Wells Fargo has their system deceptively designed to milk every single interest payment already scheduled for a mortgage in its duration to the very end.   Anyone who says otherwise isn’t in the know or a part of the problem.  If you don’t believe me attempt it yourself and check your statement next billing cycle.  

    My most recent experience I attempted to pay $20,000 towards second mortgage principle balance only and I had a receipt from the branch proving as such.  The clowns took the $20,000 and made future payments with it toward interest.  Naturally I called them on it and like in past they said they corrected it but when next statement arrived it wasn’t resolved.  This is exactly what happens each time.  

    I recently saw on CNN the SEC has subpoenaed executives from Wells Fargo for their lack of corruption while investigating certain loans and I must say I’m not surprised.  Problems like this well never go away until the federal government gets off its rear & does its job!  Many responsible Americans are being held hostage by incompetent & deceptive mortgage lenders.  Isn’t it bad enough they paid outrageous amounts of money for something which isn’t even worth half what they said it was but while coping with this ridiculous reality they have to deal with this kind of crap!  Until I see a presidential candidate discussing the real issues in this country instead of unsolvable expensive messes in the middle east no way am I convinced this financial mess is over!

  • Kelekalani

    Hi, My mortgage is through HSBC, which used to be HFC Beneficial.  Any luck finding a lawyer to sue them?  They lied to me about my house being foreclosed and kicked me out and put a lockbox on my door!  Two years later, I realized it was never in a sheriff’s sale, I owe back property taxes and now HSBC wants me to pay for arrears.  To make matters worse…while they were managing my property (Property Preservation), over $21K of theft and vandelism occurred!  I moved back in last week and they said they aren’t responsible and I should call the contractors that they hired to take care of the house.  I need a lawyer in Louisiana bad!!!!

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