Date Received: 2019-10-14
Issue: Trouble during payment process
Subissue:
Consumer Complaint: My mortgage company ( LoanCare LLC ) mishandled my mortgage payment check, causing person ( s ) unknown to me to contact me ( by mail ) with a copy of the check. The full story can be learned by reading the complaint I made to CFPB ( # XXXX ). The response to my complaint was totally unsatisfactory and has led me to file another complaint ( this one ). LoanCare 's response contains false and misleading statements and describes events that resulted in my being charged a {$20.00} returned check fee, which I want refunded. I should think LoanCare should be disciplined by CFPB for filing false statements in response, statements which seem to be designed to cover up gross negligence in handling my check or the criminal theft of my check. The story is below : My further complaint : LoanCare has responded to my complaint with FALSE or MISLEADING statements. ( There should be consequences for that. ) My belief : LoanCare is engaging in a conspiracy to cover up an attempt to steal my mortgage loan check, or has performed a manifestly egregious mishandling of my mortgage check. Evidence is outlined below : The response from LoanCare is not only unacceptable, it makes evidently FALSE or MISLEADING statements in support of its version of what happened. Regardless of the motivations of people involved in processing my XXXX mortgage payment, the following facts are indisputable : 1. My check for {$1900.00} dated XXXX XX/XX/2019, drawn on XXXX XXXX ( which had automatically generated the check ), was received by LoanCare on XXXX XX/XX/2019. ( It was so stamped. ) 2. The check referenced the incorrect account number, the number for the previous servicer, XXXX. This was my mistake, but the previous month 's check had my new account number written on it in pencil. LoanCare must have procedures for flagging transferred accounts to look out for failures to change to the new account number. 3. The check had my name and address in the upper left hand corner ( copy attached ). 4. The check was not cashed/deposited, but was diverted to person ( s ) unknown. 5. A XXXX XXXX wrote me a letter ( postmarked XXXX XXXX ) saying that she had received a letter from LoanCare, enclosing a copy of that check, and that it appears as though they ( LoanCare ) attempted to apply your payment to my account, which was sold over a year agoDue to my account with them having a XXXX dollar balance, they returned the check that you sent them to me. ( Copy of that letter in original complaint. ) 6. The letter also said that I called LoanCare LLC, in an attempt to figure out what was going on and I asked LoanCare LLC to note your account not to assess your account with late fees due to their error. 7. The letter also said that They also provided your loan number for me to include in a letter to them so they can correctly apply your payment. (?? -- They told her so that she could tell them? ) 8. On XX/XX/2019, seeing ( from the letter from XXXX XXXX ) that my mortgage check had been diverted from LoanCare ( I suspected that it had been stolen by a LoanCare employee ), I asked XXXX to close the account it was drawn on, and place a stop payment on that mortgage check. I opened a new account. ( Copy of stop payment notice attached. ) 9. On XX/XX/2019, from that new account, I made a phone payment on my mortgage account of the amount due. 10. On XX/XX/2019, LoanCare sent me a notice that the diverted ( lost, stolen? ) check was presented ( by them ) to XXXX XXXX, but that payment was returned as unpaid. 11. A returned item fee of {$20.00} was assessed to my mortgage account. ( See attached. ) LoanCares response to my CFPB complaint makes clear that LoanCare, at the least, mishandled my mortgage check. Consider the following : 1. LoanCare alleges that an attempt was made to deposit my check into the CLOSED account of someone else, despite the fact that the name on the check and the name on that closed account were very different. Egregious banking error # 1. 2. LoanCare subsequently took my check, with MY NAME and ADDRESS ON IT, and sent it with an explanatory letter to someone OF A DIFFERENT NAME AND ADDRESS. Egregious banking error # 2. 3. LoanCare alleges that my check was received again ( on XX/XX/2019 ) and was now applied to your correct loan number. Inexplicable banking error # 3. LoanCares response to my CFPB complaint has an explanation for all these egregious banking errors. The statements are MISLEADING and FALSE. LoanCares response stated : This loan number was associated with a loan we no longer serviced. Subsequently, the payment from XXXX XXXX was returned to the person ( s ) associated with this loan number with a letter outlining why. Your correct and current loan number was not disclosed in this letter. In order to prove the truth of those statements, LoanCare must provide CFPB with : 1. The actual returned check ; 2. A copy of the letter conveying that check to a person WHOSE NAME WAS NOT ON THE CHECK ; and 3. An explanation of why the statement denying that my loan number was NOT disclosed in that letter, when the personal letter from the person ( s ) claiming to possess my check stated rather clearly that : They also provided your loan number for me to include in a letter to them. Questions for investigation of attempted theft and conspiracy to conceal that theft : 1. Why did LoanCare return a mortgage check ( with an erroneous account number on it ) to person ( s ) other than the person WHOSE NAME AND ADDRESS WERE ON THE CHECK? ( Is there no process for checks for which the account number appears to be incorrect? LoanCare handled the XXXX mortgage payment simply by looking up the new number and writing it on the check. ( Copy of that check enclosed. ) 2. When the diverted/mishandled/stolen mortage check was received for a second time, why did they not see that it had already been stamped : RECEIVED XX/XX/2019 ( RED FLAG )? 3. If there was correspondence ( and phone calls ) with the wrong person ( s ), why were there no steps taken to address the question of where the check had gone? 4. How did the person ( s ) claiming to have received the check from LoanCare know what the new account number was if it is true, as LoanCare alleges in its response, that : Your correct and current loan number was not disclosed in this letter ( to the wrong person ( s ). [ The letter from the wrong person ( s ) states : The representative at LoanCare LLC also asked me to include Mr. XXXX loan # XXXX. ] 5. If indeed LoanCare is telling the truth that my loan number was not disclosed in this letter, then how did the wrong person ( s ) know what it was so that they could tell me in their oh-so-conscientious letter. [ Note that the letter from wrong person ( s ) inexplicably claims that LoanCare would tell the wrong person ( s ) the new account number, when it had not bothered to look it up when they had the check in their possession. It would seem that LoanCare would not need to tell the wrong person ( s ) what the new account number was if they themselves knew what it was and did not need to be told. LoanCare only needed to get the check back. ] Possible explanations for this dishonest behavior : 1. LoanCares rather transparent effort to cover up attempted fraud ; or 2. LoanCares rather transparent effort to cover up mishandling of mortgage payments. Whichever is the accepted interpretation, I need a refund of the {$20.00} returned check fee, which should not have been charged on a stop paymentespecially since the behavior of LoanCare itself had led to the reason for stop payment. CFPB should ask LoanCare for a copy of the letter that they reference in response to my complaint. The response has claimed : The payment from XXXX XXXX was returned to the person ( s ) associated with this loan number with a letter outlining why. OK. Please provide a copy of that letter. Did the letter ask why the wrong person ( s ) could possibly have sent a mortgage payment WITH MY NAME ON IT? Oh. Why not? Besides refunding the {$20.00} Oh, and CFPB should be on the lookout for other incidents that look like this ( incidents arising from the transfer of servicing and changing of account numbers from old servicers to new servicer ).
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: CT
Zip: 06437
Submitted Via: Web
Date Sent: 2019-10-16
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-10-14
Issue: Trouble during payment process
Subissue:
Consumer Complaint: In XX/XX/2019 I received an account history. My escrow account was in a minus state from XXXX through XXXX, and only notified in XXXX in a statement. This was probably due to the fact the house is only 2 years and it has taken the state that much time to catch up on collecting the right amount of taxes. In XXXX of 2019 the company called me to say I have to pay for hazard insurance which I thought was supposed to be part of the escrow account ( which it is ). They contacted my insurance company ( XXXX and informed them that they owed them ( the mortgage company ) {$720.00}. They called me back saying that I had to take care of the insurance or they were going to get it and threatened it would cost me more money. I couldn't believe what they were saying. They finally paid it. Because of this experience I thought it best to cancel the Escrow account. I wrote a letter on XXXX XX/XX/2019 indicating I wanted the account closed by XXXX XX/XX/2019 and was willing to pay an amount of {$950.00} that was due the Escrow Account and starting XXXX XX/XX/2019 I would pay only the {$630.00} for the mortgage fees. I sent the letter Register Return Receipt and they signed it on XX/XX/2019. I never received a reply. Sent my normal payment of {$820.00} on XXXX XXXX, which should have been received on XXXX XX/XX/2019. They held that check until 2 days after the deadline and tried to charge me a late fee. I have a copy from the bank showing proof of payment. I finally went to the bank on XXXX XXXX with my problem. A representative at the bank spent 1-1/2 hours on the phone trying to get the fee taken off and sent the loan company a copy of the proof of payment as well as a copy of my letter and a copy of the registered return receipt. When they sent me the statement of my account they said the shortage was at {$2700.00} ( I believe this included what my account was going to require by XXXX of 2019 ) and that my future payments would be {$1200.00} if I didn't pay this shortage by XXXX XXXX. I told them about the letter - they ignored me - and told me they did not acknowledge my request to do away with the escrow account because I hadn't paid the {$950.00}. I sent it on XXXX XX/XX/2019 when it was due, and have a receipt from them. The {$950.00} is the true amount of the shortage, but they are trying to get more to cover the added fees needed for the escrow account because they decided not to close it out until XXXX XX/XX/2019. I'm XXXX years old, luckily still have my wits about me, but have never in all those years experienced anything like this. I have called them numerous times and have lots of names of people I talked to. The person at the band I use was hung up on as I was many time. The bank I have been using has indicated that previous to this problem they checked to see that the loan company was not cashing the payments until weeks after having received same. I don't want to have my credit score hurt by their mistakes. I don't believe I should have to pay for their incompetence.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: ID
Zip: XXXXX
Submitted Via: Web
Date Sent: 2019-10-16
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-10-14
Issue: Trouble during payment process
Subissue:
Consumer Complaint: I sent 4 Electronic payments of {$680.00} for my XX/XX/2019 payment. One payment is missing and not applied to my account. I contacted my bank whom spoke with them and said they received the payment. I sent proof of payment and bank statements. Still loancare can not find XXXX dollars
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: FL
Zip: 33467
Submitted Via: Web
Date Sent: 2019-10-14
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-10-12
Issue: Trouble during payment process
Subissue:
Consumer Complaint: In XXXX, my mortgage loan servicing changed to Loan Care, a XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX, CA XXXX XXXX. I canceled the ACH payment with the old company and sent a BillPay payment to the new servicer. Unfortunately, both payments were processed. When I called to get the extra payment reversed, I was told they had applied the extra payment as a principal curtailment. I have called numerous times and have been assured it would be fixed, but it has been almost six months now. I continue to get delinquent notices each month now because they keep showing me one month behind and I believe my credit has been negatively impacted too. I can not afford two {$1500.00} mortgage payments in one month on my tiny fixed income. I had to borrow money to get by. I am an XXXX year old military widow and I am trying to get my finances secure to move into a rest home because my XXXX are failing. I need the principal curtailment reversed, like I have been promised since XXXX. I will not be paying my XXXX payment with the expectation you will finally get it done.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: CA
Zip: 92056
Submitted Via: Web
Date Sent: 2019-10-16
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-10-12
Issue: Trouble during payment process
Subissue:
Consumer Complaint: My home mortgage was recently purchased by the company Loan Care. I was notified of the switch via paper mail, and was told to go online help facilitate the transfer of the account. I follow the directions perfectly but their website refused to recognized my account number, after more than a dozen phone calls and hours on hold I finally spoke with a representative that claimed my loan was too new to be in their system? I received a new loan number but that has failed to work as well. Due to this I can not access any information on my account, nor can I see monthly statements. I have contacted them via phone, email, and even 'snail mail ' and STILL don't have access to my account, financial details, or apparently even the correct loan number. Apparently I'm not the only person to have this problem as I have seen numerous complaints online. The only reason I'm able to tell that I'm still making payments is that money is continually drafted from my bank account.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: IL
Zip: 60626
Submitted Via: Web
Date Sent: 2019-10-16
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-10-12
Issue: Closing on a mortgage
Subissue:
Consumer Complaint: The lender failed to provide a payoff statement and payoff instructions on multiple occasions, obstructing payment while charging interest. The lender then refused to respond to our complaints regarding this issue. OnXX/XX/XXXX I requested a payoff statement from my lender for a payoff on XX/XX/XXXX through their web interface and received an e-mail with confirmation number XXXX regarding my request. Both their website and the confirmation e-mail I received stated it would take three business days to fulfill this request. The lender did not fulfill this request as committed. OnXX/XX/XXXX I called their customer service line because I had not received the payoff statement. Their customer service representative was unable to explain why I had not received the requested payoff statement and was unable to provide me with a payoff statement. The customer service representative stated they could not provide a payoff statement for XX/XX/XXXX but that they could provide one for XX/XX/XXXX. They committed to providing a statement for XX/XX/XXXX in the next 24 to 48 business hours. The lender did not fulfill this request as committed. On XX/XX/XXXX, more than 2 business days after the previous call, I called their customer service line again. The customer service representative was then able to provide me with a payoff statement dated XX/XX/XXXX and payment wiring instructions. The payoff statement was received by e-mail on XX/XX/XXXX at XXXX XXXX EST. The attached wiring instructions included the arbitrary stipulation that funds must be received by XXXX XXXX EST on XX/XX/XXXX a detail they had not previously disclosed. The lenders failure to provide the payoff statement and paying instructions as committed left me with inadequate time to prepare the funds for transfer. On Friday XX/XX/XXXX. At XXXX XXXX EST I was able to wire the payoff funds. Although the funds were in their custody, the lender continued to charge interest on the loan until they processed the funds until Monday, XX/XX/XXXX. On Monday, XX/XX/XXXX the lender withdrew money from my escrow account in the amount of {$73.00} without notifying me and without my permission. They took these funds claiming that they were entitled to them as interest accrued on the loan between XX/XX/XXXX through XX/XX/XXXX. On XX/XX/XXXX I spoke with a customer service representative and explained the following : the lender failed to provide a payoff notice in a timely manner as committed on two occasions ; when the lender finally provided a payoff notice they imposed an arbitrary deadline for receipt of funds that reduced an already tight window for making payment ; although the lender failed to meet their commitments to me by days and by hours, they charged me three days of interest for being 20 minutes past their deadline. In response to these problems, I requested the lender reprocess the payment as received on XX/XX/XXXX and refund the {$73.00} taken from my escrow account. The representative took the time to type my request into their system and told me they would submit the request for review. On XX/XX/XXXX I called the lenders customer service because they had not responded to my request. When I spoke with a customer service representative I asked if they had record of my request. They did not answer my request but instead connected me with a member of their management team. I again explained the situation to the manager. He took the time to enter my complaint and request into their system. He told me that my request would be escalated to a team who would review all the records of the account and work towards resolution. It is now XX/XX/XXXX and I have not heard any response from them. Since my original request for a payoff notice made on XX/XX/XXXXe lender has failed to meet two commitments to provide me with the necessary payoff information, and they have failed to respond to my inquiries and requests on at least two other occasions in the time they committed. Their customer service is evasive and unresponsive, repeatedly committing to get back to me with answers and then failing to do so. Their actions suggest that they have intentionally obstructed my efforts to payoff my loan while continuing to charge interest. I am now insisting upon a refund of {$140.00} all interest accrued after XX/XX/XXXX, the date of the original payoff request.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: IN
Zip: 46845
Submitted Via: Web
Date Sent: 2019-10-12
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-10-11
Issue: Trouble during payment process
Subissue:
Consumer Complaint: Loancare , LLC began servicing my loans after servicing was transferred from XXXX XXXX. These are loan numbers XXXX and XXXX. On XXXX XXXX, 2019, I obtained payoffs for both loans through XXXX XXXX, 2019 in the amounts of {$19000.00} and {$1300.00}, respectively and sent two cashier 's checks each attached to a copy of the corresponding payoff statement, with loan numbers and amounts highlighted. Loancare received these checks via certified mail on XXXX XXXX, 2019. Loancare improperly processed these payments, applying both to XXXX resulting in a complete payoff of that loan, and an additional " escrow '' payment of {$1300.00} XXXX see attached documentation from online interface ). No payment was applied to Loan XXXX. I called XXXX on XX/XX/2019, and was assured there would be a full resolution of the matter by XXXX XXXX, 2019. When I reviewed my online statement XXXX XXXX, 2019, there had been no resolution. I again called on XX/XX/XXXX and re-explained the entire situation again. I was told that because it had gone to escrow it was frozen and they could not properly apply the payment. The person told me there was nothing she could do but that I could speak to a supervisor. I was transferred to a line that said no supervisor is available and instructed me to put in my phone number, which I did. I later received a call from XXXX, employee # XXXX. I asked her to acknowledge that this was their fault, and that they had misapplied my payment and now were refusing to correctly apply it. She said that was the procedure and that this was an automated system and no human received the documents. This is plainly untrue, because a human signed for them, but be that as it may, I asked if any of their payoff documentation said multiple loans must be in different envelopes. She said no, but a person is expected to apply deductive reasoning and that I should have realized this would happen and sent them in separate envelopes, despite there clearly being no instructions to do so. I also informed them that due to their error I had to ( i ) purchase another cashiers check which costs {$10.00}, and ( ii ) send that certified mail, which would cost another {$4.00}. She professed not to understand, saying I could just make my regular payment. I again explained that payoffs were required to have cashiers checks, and since they had already misapplied the funds once, I of course would send certified mail. Since my loan balance was less than one months payment, I could not simply make a regular payment. I told her I believed that they had committed theft with respect to my money by not properly applying the payoffs as instructed, and then charging me additional fees and making me incur additional fees, as well as charging interest. She promised that a hold had been put on my account so that no late fees could be charged, etc. XXXX said a flag was on the account so I wouldnt incur a late fee. I asked if the loan would still accrue interest even though I made the payoff in full compliance with their instructions, and she said it would. I asked if she could give me a new payoff, and she said she would. She provided that, and it was in the amount of {$1300.00}. I told her that I expected to be made whole based on the {$10.00} cashiers check I would have to purchase, plus the {$4.00} certified mail and the additional {$4.00} interest they were charging me on money they had already been paid and she refused. This totals {$18.00} in direct damages, and does not take into account the damages that other people likely would have incurred or the amount of time I spent. I believe that these abusive practices should be stopped for the benefit of consumers.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: MN
Zip: 55305
Submitted Via: Web
Date Sent: 2019-10-11
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-10-09
Issue: Trouble during payment process
Subissue:
Consumer Complaint: I got a mortgage loan in XXXX XXXX XXXX XXXX, after having a foreclosure in XXXX, on XX/XX/XXXX, this company transferred my loan to Loancare, a XXXX company in XXXX XXXX, VA. I received information about the transfer including fees to make payments. I always pay online and have that service with XXXX XXXX with NOT fee, however the new loan service Loancare charge fee on every pay option except autodraft, forcing the customer to provide them with routing number ( ABA ) and checking account number ( DDA ) and authorizing them to automatic withdraws every time, so customer will not have any control over those withdraws. Special request fees ( see attachment ) : Pay-by-phone ( over the phone check ) up to {$15.00} Automated phone system up to {$15.00} Online Payment fee up to {$10.00} Autodraft fee No fee Loancare did not provided any information about mail payments or bill pay service from my bank ( for this I need a physical address where payments need to be sent, most of the time headquarters address are different that payment address and if it sent to wrong address payment will be late ). I would like to know if this is even legal that a company enforce customer 's to share routing number and checking account number as only way to no charging to make a payment. I contacted company but they stated that whatever is on the letter applies. I do not want to add {$10.00} every month to loan just to make a payment online ( phone payment are more expensive ). It is like paying {$120.00} dollars more per year so in 30 years adding {$3600.00} dollars to your loan for just one customer just to pay. This is absurd. Thank you for your assistance and please help consumer from over pay to this companies.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: FL
Zip: 32771
Submitted Via: Web
Date Sent: 2019-10-09
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-10-09
Issue: Trouble during payment process
Subissue:
Consumer Complaint: On XX/XX/XXXX I received my first notice that XXXX was transferring the servicing of my home mortgage to LOANCARE, XXXX XXXX XXXX, XXXX XXXX, VA XXXX, XXXX XXXX XXXX, VA XXXX, XXXX. My loan has always been paid on time and was current with next payment due XX/XX/2019. I called XXXX immediately to see what I needed to due as my loan was due on XX/XX/XXXX and I wanted to make sure it got paid. I was told to contact LOANCARE, and that by law they could not penalize you for any late payment due to service transferring. I did and was sent to an automated message that stated that if your loan servicing was transferring on XX/XX/XXXX, you had to wait until XX/XX/XXXX-today-to access your account with LOANCARE to make any payments.I was able to access my account online, but my account is now marked " passed due '', that I am not allowed to make any payment from a bank account, and that I have to bring my mortgage current. I am not permitted to make any payment and this company forced my loan to be late by preventing any access whatsoever until it was past due. I tried to call at least 8 times today and continued to get an automated message that they are experiencing a high call volume. They are breaking the law from what is happening to me, have marked my loan as passed due, have notated it late and are preventing me from making any payment and are NOT answering their phone. I would like to know what my legal rights are, and who is going to intervene. I need support and these tactics must be totally illegal. Thank you.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: WA
Zip: XXXXX
Submitted Via: Web
Date Sent: 2019-10-09
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2019-10-08
Issue: Incorrect information on your report
Subissue: Account status incorrect
Consumer Complaint: Currently CFPB is working with my complaint XXXX. While the issue of my missing payment is being investigated, Loancare reported my account as delinquent and ruined my credit score.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: MO
Zip: 63090
Submitted Via: Web
Date Sent: 2019-10-08
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A