Citizens Bank - Home Equity Balloons
Home Equity Loan maturity - Complaint
FLINT, MICHIGAN -- Payments were always on time, the home equity note came due and the house value was below that of the mortgage amount. Citizens Bank decided to "fix the rate and term out the loan" raising the 3.25% rate to 8%. This increased my payments from $408/mo. to $1100/mo.
The amazing thing was my income was down about 70% (business closed down & I started a new job) and the bank "approved" my loan (terming the balloon note out). Citizens told me to apply for a "modification" but the bank who approved my loan restructure, denied my modification! Mr. King at Citizens told me if I wasn't happy with his decision I could take my business elsewhere, knowing fully you can't refinance a home equity underwater.....the note is past due now and they take money out of my accounts to pay late fees and bring the account current, been a nightmare for me.....