[ctt1wbw]

I made a 75% mortgage payment to Chase Home Finance the other day, and was going to finish the payment online today. When I signed in, the partial payment was not applied, but it was cashed and was deducted from my bank account.

I called Chase to find out the situation, and they told me that because I didn't make the full amount, none of the made payment was applied to my account, even though they cashed the check.

What kind of bogus crap is this? And before someone starts ranting about partial payments, Chrysler Financial lets you do this online. I do it all the time.

[nonhuman]

Yeah, that sounds like bullshit to me, but IANAL.

[Doofy]

Originally Posted by ctt1wbw 

I called Chase to find out the situation, and they told me that because I didn't make the full amount, none of the made payment was applied to my account, even though they cashed the check.

Sounds like fraud to me.

[residentEvil]

when a payment is made that doesn't match the $ amount due; for mortgages anyway, it is applied to the principal balance. it wouldn't appear as partial toward the current payment due. nothing bogus; the phone jockey just didn't look deep enough into the transaction.

[Mrjinglesusa]

You are wrong.

It's not fraud just because you don't understand how mortgages and mortgage payments work. They didn't do anything wrong or underhanded or fraudulent. In fact, it will be written in your loan papers that any additional "extra" payments will be applied to principal.

Most, if not all, mortgage companies will apply "additional payments" to the underlying principal. If you look at your principal balance, it should reflect the amount depicted on your previous statement, MINUS the amount of that payment you just made. They did not consider that your current month's payment, they considered it an additional payment to principal. You still owe them your FULL current month's mortgage payment. Essentially, you just "wasted" whatever partial payment you made the other day. They didn't just take your money and use it to pay someone's salary. It was applied against your principal balance.

I don't understand why would you make a partial payment a few days before you make the rest of it? Why didn't you wait until you had the full payment and make it all at once? That doesn't make any sense whatsoever and I don't see what benefit you hoped to gain from making a "partial payment".

Oh, and Chrysler Financial is AUTO finance, not a mortgage company, so I don't see why you would expect what works with one particular auto financer would work the same with a mortgage company.

[Dork.]

Although, it is November 5th. Assuming his mortgage payment is due on Nov 1, and he made his partial payment after that date, would it really be considered an "additional payment"? There was a payment due, after all, he just didn't make the full payment, and there's probably still a grace period in effect. I've never done that before, so I don't know what the answer would be.

In any case, he should confirm whether or not the partial payment really did get applied to his principal. If it did not, he should raise holy hell until he finds out where it went.

Moral of the story is to pay the mortgage all in one shot, even if it's a few days late. Most mortgages have a small grace period written into it, to account for the 1st of the month falling on a weekend, holiday, or a day with no mail delivery.

[Gregg]

My mortgage company has a 15 day grace period. There is a fee schedule; after the 5th and more if you pay after the 10th. Your mortgage, due on the 1st, pays the previous month's interest, and the rest goes to the principal. So, since the fee is waived in my case, I delay it as long as I can. Consequently, I have the mortgage payment drawn automatically from my checking account on the 12th. That accounts for a weekend with a Monday holiday, which covers anything else that might happen on the 12th.

[ctt1wbw]

Originally Posted by Dork. 

Although, it is November 5th. Assuming his mortgage payment is due on Nov 1, and he made his partial payment after that date, would it really be considered an "additional payment"? There was a payment due, after all, he just didn't make the full payment, and there's probably still a grace period in effect. I've never done that before, so I don't know what the answer would be.

In any case, he should confirm whether or not the partial payment really did get applied to his principal. If it did not, he should raise holy hell until he finds out where it went.

Moral of the story is to pay the mortgage all in one shot, even if it's a few days late. Most mortgages have a small grace period written into it, to account for the 1st of the month falling on a weekend, holiday, or a day with no mail delivery.

No, the partial payment did not get applied to the account at all, in any way. It's on hold and not showing as a payment made anywhere, not even towards the principal.

[Dork.]

I wonder if their system just doesn't know how to handle partial payments, and if you make the remainder it will all just work itself out?

[Mrjinglesusa]

Originally Posted by ctt1wbw 

No, the partial payment did not get applied to the account at all, in any way. It's on hold and not showing as a payment made anywhere, not even towards the principal.

If that is indeed the case, you SHOULD raise holy hell - that's complete BS. I agree with Dork - it sounds like they don't know what to do with this "partial payment".

[ctt1wbw]

Originally Posted by Dork. 

I wonder if their system just doesn't know how to handle partial payments, and if you make the remainder it will all just work itself out?

I was told I had to mail a payment in. Then they would apply the partial payment to my mortgage payment. Right now it's on hold or something and they won't do anything with it.

[ctt1wbw]

Originally Posted by Mrjinglesusa 

If that is indeed the case, you SHOULD raise holy hell - that's complete BS. I agree with Dork - it sounds like they don't know what to do with this "partial payment".

I sent an email to the Senate Banking Committee. For what good that'll do, but hey. I told Chase I was going to do it. My next call is the Arizona State Attorney General's office, since the mailing address for Chase mortgage payments is in Phoenix.

[finboy]

Originally Posted by residentEvil 

when a payment is made that doesn't match the $ amount due; for mortgages anyway, it is applied to the principal balance. it wouldn't appear as partial toward the current payment due. nothing bogus; the phone jockey just didn't look deep enough into the transaction.

That depends on your loan terms, although I think the finance reform for credit cards mandates it, but that doesn't go into full effect until February.

Some mortgages don't work that way.

Chase is a bunch of a$$hats these days, no telling what they can get away with. Call the Fed and complain (seriously).

[Dork.]

Originally Posted by ctt1wbw 

I sent an email to the Senate Banking Committee. For what good that'll do, but hey. I told Chase I was going to do it. My next call is the Arizona State Attorney General's office, since the mailing address for Chase mortgage payments is in Phoenix.

You're probably better off writing your own state AG. Even if your check goes somewhere else, banks have different regulations from state to state and it's likely that your state's rules and regulations have some bearing on the case.

But the very next thing you need to do is find all those papers that you signed when you closed on the loan and read them. You know they're kicking around somewhere. Spend all night looking through old files to find them if you have to. Buried somewhere in there is the terms of the loan, what happens when extra payments are made, and what constitutes an extra payment. At the very least, if you start quoting the agreement chapter and verse the phone jockey might realize he's over his head and get someone on the line who can help you.

Finally, here's a crazy idea, which I don't necessarily recommend but I've seen mentioned on the Internet a few times. If you look up your terms and are convinced that they have basically confiscated your money for no good reason (and especially if they insist you have to make a full payment, ignoring the prior partial one), go file a police report saying that they stole your money. I'm sure that will get their attention real fast.

[lexapro]

Your money is probably gone and it won't be added to your account. Next time you'll know better. That's the Republican way!

[Dork.]

Originally Posted by ctt1wbw 

I was told I had to mail a payment in. Then they would apply the partial payment to my mortgage payment. Right now it's on hold or something and they won't do anything with it.

Well, go ahead and mail it in. Is there a local Chase branch you can bring the payment to?

[residentEvil]

Originally Posted by finboy 

That depends on your loan terms, although I think the finance reform for credit cards mandates it, but that doesn't go into full effect until February.

Some mortgages don't work that way.

Chase is a bunch of a$$hats these days, no telling what they can get away with. Call the Fed and complain (seriously).

has nothing to do with credit cards.

as i clearly stated, it is for mortgages. and i don't know of ANY mortgage company that doesn't handle a payment, that isn't for the EXACT amount due, as anything other than a payment for principle, no mater how many days before/after the due date.

national
chase
wells fargo
saxon
ocwen
bank one
charter
jp morgan
citi
capital
fifth third
comerica
huntington
citzen
AND chase

etc

ALL apply it to principle UNLESS YOU CALLED TO MAKE OTHER ARRANGEMENTS.

[ctt1wbw]

Originally Posted by Dork. 

Well, go ahead and mail it in. Is there a local Chase branch you can bring the payment to?

No, I've never seen a Chase or a Wamu ever. I didn't even they had branches like that.

[ctt1wbw]

Originally Posted by residentEvil 

has nothing to do with credit cards.

as i clearly stated, it is for mortgages. and i don't know of ANY mortgage company that doesn't handle a payment, that isn't for the EXACT amount due, as anything other than a payment for principle, no mater how many days before/after the due date.

national
chase
wells fargo
saxon
ocwen
bank one
charter
jp morgan
citi
capital
fifth third
comerica
huntington
citzen
AND chase

etc

ALL apply it to principle UNLESS YOU CALLED TO MAKE OTHER ARRANGEMENTS.

I understand your point, but the payment I made didn't get applied to anything.

[Dork.]

https://www.chase.com/ccp/index.jsp?...Branch_Locator

Although I see you are in VA, and Chase doesn't seem to have branches there. Are you going out of town anytime soon?

[Eriamjh]

Better come up with the last 25% before the due date.

[residentEvil]

Originally Posted by ctt1wbw 

I understand your point, but the payment I made didn't get applied to anything.

I hear what you are saying, that Chase didn't do it. I was responding to the post above mine, finboy, saying that not all mortgage companies do that and about some new credit card law.

sorry Chase screwed up; I would call back to them and have them do a payment "trace", or whatever the term is. it just hit a human or computer that the logic failed on

[Wiskedjak]

Originally Posted by ctt1wbw 

I was told I had to mail a payment in. Then they would apply the partial payment to my mortgage payment. Right now it's on hold or something and they won't do anything with it.

Then all sounds good. Your money hasn't disappeared. It sounds as though they're just unable to process partial payments and will process the whole payment when they receive the balance.

[ctt1wbw]

Originally Posted by Eriamjh 

Better come up with the last 25% before the due date.

Famous sayings: The Check Is In The Mail. :0

Originally Posted by residentEvil 

I hear what you are saying, that Chase didn't do it. I was responding to the post above mine, finboy, saying that not all mortgage companies do that and about some new credit card law.

sorry Chase screwed up; I would call back to them and have them do a payment "trace", or whatever the term is. it just hit a human or computer that the logic failed on

Well, I spoke to what you might call a human, but without a brain, they don't qualify. People work there are morons.

Originally Posted by Wiskedjak 

Then all sounds good. Your money hasn't disappeared. It sounds as though they're just unable to process partial payments and will process the whole payment when they receive the balance.

Yeah, that's what they said. What irritates the hell out of me is that they can cash the check and take the money and not do anything with it.

[Doc HM]

Originally Posted by ctt1wbw 

What irritates the hell out of me is that they can cash the check and take the money and not do anything with it.

Oh they do something with it all right. They put it into a suspense account and use it to make money for themselves on the overnight markets.

[ctt1wbw]

Bastards. And not inglorious bastards, either. Just plain bastards.

[Wiskedjak]

Yep. But, it isn't fraud.