Work in the mortgage industry for a Fortune 500 Company. 6+ years. This post has to be a troll.

There are checks and validations in place to prevent this scenario from happening.

First: If the customer pays their mortgage ahead, the bank doesn't apply the payment each and every month for them. The bank holds the check in what is generally called a "suspense" account. There is generally an entire department dedicated to determining how to apply those extra funds. First it'll go to any fees, etc. If there are none, we would look at interest first, then principal unless otherwise specified by the borrower. There is no magic bank account that the customer keeps with their mortgage that they just pay ahead into and it magically applies to every month as it becomes due.

Second: Mortgage accounts and bank accounts are not accounts that you can transfer from one to the other. It's not a simple click and finish transaction. To remove extra money that was paid towards a mortgage, but not yet applied to principle, would have a process to refund that money to the customer. First, the borrower would have to request the money back, a check would be drawn out (only to whoever is on the account) and then the check cashed by the borrower. This is not an overnight process. Again, there are a series of validations in place because you know, mortgage fraud is a thing and people use it for money laundering.

Letters about delinquencies are usually system generated or are sent by another area/department. Are you telling me that as a bank employee you were responsible for 1) Collecting checks from the borrower 2) Applying payments to the borrowers mortgage every month and on time because she "paid ahead" 3) Printing the delinquency letters and notices 4) In charge of mailing the notices?

This is crap and whoever posted this has no knowledge of the mortgage industry.