Date Received: 2023-08-15
Issue: Trouble during payment process
Subissue:
Consumer Complaint: RE : Mr. Cooper Loan Number XXXX XXXX XXXX XXXX XXXX, TX XXXX XXXX XXXX ( Borrower ) XXXX XXXX XXXX XXXX XXXX XXXX XXXX CA XXXX TO WHOM IT XXXX CONCERN : This letter is intended to file a complaint against Mr. Cooper for XXXX to make timely payment for homeowners insurance on the above referenced loan pursuant to the mortgage agreement between XXXX XXXX ( borrower ) and Mr. Cooper ( XXXX ) as required CFR 12 1024.17 and for charging borrower {$84.00} for force-placed insurance when there was in fact no such purchase of said insurance. Mr. Cooper serviced the mortgage for borrowers property located at XXXX XXXX XXXX XXXX, XXXX XXXX XXXX, CA XXXX in XXXX XXXX XXXX, California. The mortgage was sold to a new servicer effective XX/XX/XXXX. The following is a cut and paste of a Qualified Written Request-Notice of Error sent to Mr. Cooper dated XX/XX/XXXX : Notice of Error : This communication addresses XXXX XXXX failure XXXX make timely payment for homeowners insurance on the above referenced loan pursuant to the mortgage agreement between the borrower ( XXXXXX ) and Mr. Cooper ( XXXX ) and as required in XXXX XXXX XXXX. This failure resulted in cancellation of XXXXXXs homeowners insurance ( inclusive of fire coverage ) and the servicers purchase of force-placed insurance for the period between cancellation of the previous policy and issuance of a new one. The financial impact to XXXX was that her new costs for insurance were greatly increased in perpetuity. See figures below. Previous cost through XXXX XXXX : {$1200.00} annually. New fire policy through XXXX XXXX XXXX : {$2500.00} annually. New homeowners policy ( exclusive of fire coverage ) through XXXX XXXX XXXX XXXX, XXXX : {$1100.00} annually. Total annual cost for two new policies to provide a comparable level same level of protection : {$3600.00} annually. Difference between the previous policy and the two new policies : {$2400.00} annually. Adding to the error, Mr. Cooper notified XXXX that evidence of coverage during the lapse period must be provided to them or a charge of {$84.00} for force-placed insurance coverage would be billed to her. In neither circumstance, failure to pay the insurance nor the placement of force-placed insurance, did Mr. Cooper have XXXX reasonable basis to believe either XXXXXXs hazard insurance had been cancelled ( or was not renewed ) for any reason. This assertion is indisputable for the following reasons : According to XXXX XXXX XXXX, they sent the related documents to Mr. Cooper on approximately XX/XX/XXXX. Having lost that correspondence, Mr. Cooper contacted XXXX XXXX on XX/XX/XXXX at approximately XXXX am requesting same. The same day, XXXX XXXX responded by email at approximately XXXX pm, providing the requested information. Having received notice from XXXX XXXX that payment had not been received, XXXX called Mr. Cooper on the insurance due date ( XX/XX/XXXX ) to ensure the payment had been processed or would be paid in the required timely manner. The call-taker assured XXXX the payment would be made as required and stated Mr. Cooper would XXXX any associated, additional fees. She made no reference to any condition that would interfere with that process. In short, Mr. Cooper had no reasonable basis for belief that a cancellation had taken place for any reason. XXXX received a notice of cancellation dated XX/XX/XXXX from XXXX XXXX that stated the policy had expired due to no receipt of payment. XXXX called Mr. Cooper and spoke to a call-taker who identified herself as XXXX. XXXX said Mr. Cooper did not receive an invoice for payment and inquiries to XXXX XXXX were not responded to. This assertion was inconsistent with the comments of the call-taker on XX/XX/XXXX who stated the payment would be made ; making no reference to any hindrance to that happening even while looking at the loan files and is in conflict with XXXX XXXX records of activity on the affected file. Qualified Written Request : XXXX requests copies of all correspondence ( handwritten or electronic in any form, records of attempted and/or incomplete, completed, recorded messages/phone calls between servicers employees and XXXX XXXX and between XXXX XXXX and XXXXXX ) and all records/documentations ( handwritten or electronic in any form ) created and added to the mortgage loan record by servicers employees for the purpose of recording any and all activity related to loan number # XXXX. Also, XXXX requests all documentation for the force-placed insurance for the affected loan number including the name of the insurance carrier, all correspondence between Mr. Cooper and the insurance carrier relative to the affected loan number, the name ( s ) of all Mr. Cooper employees and the representative ( s ) of the insurance carrier involved in a transaction for the purchase of force-pay insurance, all documents related to the purchase and placement of force-placed insurance on the affected loan and any payment/billing invoice and payment record for said force-placed insurance. Resolution : XXXX also requests the steps Mr. Cooper proposes to compensate for the increase in insurance cost caused by the error ( including removal of the improper charge for force-placed insurance ) and to make assurances that no negative notation arising from this matter will appear in her loan file. In responding to XXXX XXXX, XXXX XXXX XXXX XXXX XXXX, XXXX XXXX ( XXXX ) asserted no error had occurred on their behalf and declined to provide specific documentation to support that claim. He also asserted that because no error had occurred and XXXX XXXX XXXX insurance lapsed, that force placed insurance was an appropriate action. Items XXXX supplied were : Insurance Information received on XX/XX/XXXX [ There is no document that establishes the content of XXXX XXXX request to Modern American. If as XXXX claims, this information was received on XX/XX/XXXX, it might be accurately responsive to what was incorrectly requested by Mr. Cooper. XXXX declined to provide any documentation of this request despite XXXX specific request for all correspondence ( handwritten or electronic in any form, records of attempted and/or incomplete, completed, recorded messages/phone calls between servicers employees and XXXX XXXX and between servicers employees and XXXX ). Neither is there a record of the date received other than Gaynors claim that it was received in response to XXXX XXXX request on XX/XX/XXXX. This is a document that would have been in XXXX XXXX possession since the previous service year. Also, there is no objective information that validates XXXX claim of the date of receipt. ] XXXX XXXX dated XX/XX/XXXX [ This letter asserts XXXX XXXX right to purchase force-placed insurance and threatens such action. It was already in XXXX possession. ] XXXX XXXX dated XX/XX/XXXX [ This letter reasserts this right, calling the action an insurance charge of {$84.00}, an action that does not appear in the code and references the period of time that the coverage was in effect. Read together, these suggest force-placed insurance had in fact been purchased. It was already in XXXX possession. ] XXXX XXXX dated XX/XX/XXXX [ This letter was the XXXX and XXXX Notice for the matter in discussion. Stating in pertinent part it reads, We will charge you for insurance we plan to buy contradicting the previous suggestion that the coverage was in effect during the relevant period of time. This letter was already in XXXX possession. ] XXXX XXXX dated XX/XX/XXXX This document codified nothing in the matter and amounted to little more than static in the discussion. Gaynors and thereby XXXX XXXX response fell woefully short of providing the information requested that would either validate XXXX claims or impeach them as false. The items of which XXXX was silent were : Copies of all correspondence ( handwritten or electronic in any form, records of attempted and/or incomplete, completed, recorded messages/phone calls between servicers employees and XXXX XXXX and between XXXX XXXX and XXXX ). XXXX responded to the specific dates where XXXX asserted communication with XXXX XXXX representative and claims there are no records that support XXXX assertion that she in fact called them. XXXX request was made however with XXXX understanding that although the dates should be accurate, the chronology was reconstructed after the fact and could be flawed. That is the very reason XXXX request was broadly made to include all correspondenceetc. Mr. Cooper ( XXXX ) was unresponsive to this request. The request for calls would include those made to Mr. Cooper where the outgoing message on the phone tree explicitly assured the calling party if their call was in regard to an unpaid insurance impound payment, there was no need for concern as those payments would be paid by Mr. Cooper as required. That message is no longer accessible on the phone tree. Finally on this bullet, XXXX claims in his letter to XXXX there is no record of the calls asserted to have been made. It is laughable to suggest that XXXX received notice of cancellation and took no action whatsoever. XXXX claim of no record of the calls no doubt reflects a very narrow query intended to discredit XXXX complaint instead of getting to the bottom of the problem. Copies of all records/documentations ( handwritten or electronic in any form ) created and added to the mortgage loan record by servicers employees for the purpose of recording any and all activity related to loan number # XXXX. Common loan industry practice is to enter information into a loan file records ( notes ) of conversations, requests for information, interactions with involved persons, placeholders for informationetc. to ensure that all relevant information is available for use from a dated, objective repository upon need to avoid relying on the unreliable recollection of employees responsible for vast amounts of information stored across a wide range of records. All documentation for the force-placed insurance for the affected loan number including the name of the insurance carrier, all correspondence between Mr. Cooper and the insurance carrier relative to the affected loan number, the name ( s ) of all Mr. Cooper employees and the representative ( s ) of the insurance carrier involved in a transaction for the purchase of force-pay insurance, all documents related to the purchase and placement of force-placed insurance on the affected loan and any payment/billing invoice and payment record for said force-placed insurance. Mr. Cooper ( XXXX ) was unresponsive to this request. There is no evidence articulated or provided by Mr. Cooper or its Customer Relations XXXX, XXXX XXXX that verifies the actual purchase of force-placed insurance. Notwithstanding the fact that the evidence of insurance XXXX requested is precisely the same as that requested by Mr. Cooper and its representative, XXXX XXXX ; Mr. Cooper ( XXXX ) was nonetheless unresponsive to this request. In the absence of a lawfully authorized and purchased forced placed coverage, this charge is nothing more than a fine or penalty levied by Mr. Cooper with no lawful authority to do so. At the very least, this practice although not authorized under RESPA is clearly the default practice of Mr. Cooper. The greater problem however is the likelihood that this practice is part of a greater abuse by mortgage servicers nationwide. I suspect this is an aspect of mortgage industry practices that is likely to be the subject of much abuse by the industry and flies under the radar of the overwhelming number of consumers who fall prey to the it. Consumers are expected to naively accept that charges are appropriate or authorized simply because they have been levied. If the mortgage industry as a whole engages in the practice of charging the consumer for a product when no such actual product has been purchased, the consumer is being defrauded of precious financial resources. XXXX ( XXXX ) document provided by XXXX that if read correctly suggests a gross absence of due diligence on the part of XXXX XXXX servicing employees. The page acknowledges receipt of a document from XXXX XXXX on XX/XX/XXXX ( XXXX days before the expiration of the existing policy ) and the archive filing of the same document on XXXX, XXXX, XXXX. At no time, does XXXX assert on XXXX XXXX behalf that any employee attempted to contact XXXX of XXXX XXXX difficulty in obtaining a response from American Modern. Adding to the irony of that, each and every time XXXX has called XXXX XXXX, even after cancellation, she has been able to reach an employee who was informative and helpful and provided the information now challenged by Mr. Cooper. XXXX requests a reasonable remedy for the circumstances and costs resulting from XXXX XXXX failure to meet its contractual and regulatory obligations. Very Truly Yours, XXXX XXXX
Company Response:
State: CA
Zip: 923XX
Submitted Via: Web
Date Sent: 2023-08-15
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-15
Issue: Trouble during payment process
Subissue:
Consumer Complaint: I received the requested email payoff quote from Mr. Cooper on XX/XX/XXXX but was not able to open until night of XX/XX/XXXX due to their system experiencing intermittent issues on the web. I mention this due to the fact that theyre trying to Foreclose on my home & time is of the essence. I also believe that Mr. Cooper is incorrect & making another error regarding the alleged principle amt. of {$20000.00} that theyre stating is owed to them on a loan of {$32000.00} with an interest rate of 2.375 % for most of the years ( I believe XXXX ) that Ive had the loan & have been paying on this loan for 15 years & was Never late until they stopped taking payments out of my checking account. Ive discovered another error with this company regarding my Maturity Date which is Not XX/XX/XXXX as Mr. Cooper has stated in their documents, My actual XXXX XXXX is : XXXX/XXXX/XXXX effective : XX/XX/XXXX which I have proof of & is crucial in my defense since Mr. Cooper claims that their reason for reneging on their reinstatement quote of XXXX & repayment agreement of {$130.00} that they XXXX offered Me on XX/XX/XXXX. This is definitely suspicious fraudulent conduct in my overall opinion & I deserve satisfactory treatment, answers & an investigation into this matter asap. Thank you in advance. Best Regards!
Company Response:
State: OH
Zip: 44143
Submitted Via: Web
Date Sent: 2023-08-15
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-14
Issue: Struggling to pay mortgage
Subissue:
Consumer Complaint: VA home loan first with XXXX then NationstsNationstar, Mr Cooper and current Rightpath Servicing. I accepted pandemic forbearance XX/XX/XXXX informed XXXX I wanted to end program since XX/XX/2023 At that time I was in arrears about {$48000.00} however Rightpath has dragged speedy resolution by requests for duplicate docs that current I'm {$74000.00} mortgage arrears. I entered forbearance because of financial hardship having got sick with XXXX. Also because Rightpath reps over phone said my past due payments would be tacked to current contract but that was a lie I have tried to no avail for months until last week they're now working modification of my VA mortgage. My current rate when went in forbearance is 3.5 % so I thought I would keep it Right now I dunno what is happening and truly feel victimized. I'm a XXXX retired veteran XXXX years of age ... a revolution is to allow me to keep interest as is on mortgage XXXX contract I'd love of Rightpath would waive the excess arrears they created by delaying process of ending forebearance
Company Response:
State: CA
Zip: 91344
Submitted Via: Web
Date Sent: 2023-08-14
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-14
Issue: Trouble during payment process
Subissue:
Consumer Complaint: On XX/XX/XXXX, a loan modification agreement with XXXX XXXXXXXX XXXX became permanent following a trial period of 3 months. An escrow analysis in the loan modification agreement set the escrow portion of the payment was set at {$680.00} and the principal and interest payment at {$1500.00} making the total monthly payment to be {$2200.00}. ( See attachment 1 Loan Modification Agreement ). When Mr. Copper took over the servicing rights, the escrow portion of the payment was set at {$1000.00} resulting into a total monthly payment of {$2600.00}. ( See Attachment XXXX XXXX XXXX XXXX XXXX XXXX IRS Form XXXX ). No escrow analysis was performed. The {$370.00} difference between the loan modification required monthly payment and the payment set by Mr. Cooper accumulated over a period of 42 months and that amount is included in the alleged delinquent amount Mr. Cooper is demanding to avoid foreclosure. Secondly, my account was not credited for the XX/XX/XXXX payment and that amount, which I have already paid, is included in the alleged delinquent amount. Mr. Cooper sent out a Notice of Assignment, Sale or Transfer of Servicing Rights and instructed me to send the XX/XX/XXXX payment to XXXX XXXX XXXX. Mr. Cooper knew that the check was received and cashed, however, my account was not credited. ( See Attachment XXXX XX/XX/XXXX Cancelled Check and Attachment 5 Notice of Assignment, Sale or Transfer of Servicing Rights ). Mr. Cooper did not issue annual escrow estimate statements and monthly mortgage statements between XX/XX/XXXX and XX/XX/XXXX. Mr. Cooper arbitrarily set escrow payment amounts and those amounts are included in the alleged delinquent amount. I did not waive my rights to receive annual escrow and monthly mortgage statements. Mr. Cooper erroneously coded my account as being in active bankruptcy from XX/XX/XXXX until XX/XX/XXXX and made its servicing decisions as though I was in bankruptcy. ( See attachment 6 - Mr. Coopers default letter and attachment 7 account audit report ) The XX/XX/XXXX mortgage statement shows that {$6900.00} was added to the amount due without a valid legal explanation. ( See attachment XXXX ). Mr. Cooper has received a monthly mortgage payment from XX/XX/XXXX up to XX/XX/XXXX. Mr. Cooper is not cashing the mortgage checks and instead late fees and inspection charges are being added to my loan. Mr. Cooper has failed to fulfill its obligations and has not deposited money in the escrow impounds account. Escrow advances have been added to the alleged delinquent amount.
Company Response:
State: CA
Zip: 92508
Submitted Via: Web
Date Sent: 2023-08-14
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-14
Issue: Trouble during payment process
Subissue:
Consumer Complaint: I was informed that cfpb contact the agency and informed them to contact me. Never happened. In fact again since I have had this mortgage I have been transferred between the companies XXXX XXXX XXXX and Mr. Cooper all owned by the same cooperation. they have created a hardship with these illegal activities they were trying to force me into a non exsistent Modification. which at the time I was never late. this cooperation Preys on the elderly and assumes that we will not fight, they do not comply to instructions your company provided because to date they have not complied to your suggestion as well.
Company Response: Company believes the complaint provided an opportunity to answer consumer's questions
State: IL
Zip: XXXXX
Submitted Via: Web
Date Sent: 2023-11-08
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-14
Issue: Trouble during payment process
Subissue:
Consumer Complaint: XXXX XXXX XXXX d/b/a brand Mr.Cooper sent house insurance check XXXX XXXX XXXX XXXX XXXX late in XX/XX/2023 instead of XX/XX/2023 and sent me a XXXX check I sent XXXX check back to Mr.Cooper WAS NOT put back in my escrow account now wanting to raise my house payment for lack of funds in escrow account they can't count add or subtract a first grater can figure this out grown adults can't fact
Company Response:
State: TN
Zip: XXXXX
Submitted Via: Web
Date Sent: 2023-09-14
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-13
Issue: Struggling to pay mortgage
Subissue:
Consumer Complaint: I have contacted Mr Cooper by phone XX/XX/XXXX, XXXX, complaining that I am tax exempt and am being overcharged for my escrow. I have also lodged an online complaint through the company providing proof of tax exemption. Their response was to tell me that my escrow is under funded and the mortgage increase from {$610.00} to {$850.00} will stay. I also pointed out that they state they receive tax documents automatically from the state and I have also provided documentation and still they increased my monthly payment over 40 %.
Company Response:
State: IL
Zip: 61611
Submitted Via: Web
Date Sent: 2023-08-13
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-12
Issue: Trouble during payment process
Subissue:
Consumer Complaint: In XX/XX/XXXX I received a letter from Mr. Cooper stating there were delinquent supplemental property taxes due on my property and Mr. Cooper planned to take funds from my escrow account to settle the delinquency. I immediately contacted the Tax assessor for my county and was informed that I was current on all of my taxes, but the PREVIOUS OWNER of the home had a delinquent supplemental tax bill and it was in no way my responsibility. I took my time to conference call the tax assessor and Mr. Cooper to have the tax assessor explain to Mr. Cooper that the taxes due were not my responsibility. I was told by a Mr. Cooper representative that they would do an investigation and confirm the responsibility of the taxes due and get back to me. I was also assured by Mr. Cooper representatives that " numerous letters and correspondences will be sent before we take any money out of your escrow account. '' One week later I received another call from someone at Mr. Cooper telling me they had paid the delinquent taxes out of my escrow account and my payment would be increasing as a result. I asked about the investigation and the agent had no idea what I was talking about, so I asked to speak to their manager and was disconnected. I spent 2 weeks trying to contact ANYONE at Mr. Cooper who could assist me with getting my {$3000.00} back and was told nothing could be done " everyone has to pay their taxes ''. Finally I spoke to someone who told me he would get the situation resolved on XX/XX/XXXX. I have since spoken to the Tax Auditor for XXXX XXXX XXXX who confirmed that the taxes were not my responsibility and that they would be sending Mr. Cooper a refund for the taxes paid inaccurate out of my escrow account. I have attempted to contact Mr. Cooper numerous times to find out when I will see my payment go back down and what compensation will be considered for stealing my money to pay someone else 's taxes. I have not received any response from Mr. Cooper, nor has my payment been reduced back to it's normal amount.
Company Response:
State: CA
Zip: 95682
Submitted Via: Web
Date Sent: 2023-08-12
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-11
Issue: Trouble during payment process
Subissue:
Consumer Complaint: Mortgage began XX/XX/XXXX serviced by Nationstar Mortgage d/b/a Mr. Cooper. Beginning XXXX the company began calling customers on or around the XXXX of each month. When the call is answered a recorded male voice announces in a very strident, almost threatening voice that this is Mr. Cooper and we are a collection agency. He continues with words to the effect that they are out to collect on a debt and offer ways to make payment immediately, including by check and we will wait until you get your checkbook. Other options are given, the last being, speak to a representative. The representative requires the usual of Name, Address, Zip, and last-4 SS #. She says that this is a courtesy reminder that our mortgage payment is due by XXXX. For the first few months I ignored the calls until XX/XX/XXXX, and was confused and offended why this company was representing themselves as a debt collector which usually means I am in arrears. I have never been late with payment to them. I told her that I didnt appreciate the tone of the recorded portion of the call and that since I had not ever been late that I didnt want or need a reminder. She promised that she would take care of it. Today XX/XX/XXXX they called again. Since my first mortgage in XXXX I have never had a company send a monthly reminder about the next payment. I have been late by a few days a minuscule number of times and only then was contacted by the company and paid the penalty. It is sad to think that, for this company, the majority of their mortgagees are delinquent and need to be threatened by a collection agency in order get their payments.
Company Response:
State: GA
Zip: 30084
Submitted Via: Web
Date Sent: 2023-08-11
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-08-11
Issue: Trouble during payment process
Subissue:
Consumer Complaint: I have started receiving monthly calls stating that I need to contact Mr Cooper even though I have not been late on any payments. They most recently left a voicemail saying that I needed to contact them within 24 hours regarding my account ( which was in no way delinquent ) and provided a number which didnt even work causing considerable panic and stress on us. They indicated that they had been instructed to contact us by the loan holder and refused to stop making these un necessary harassing calls.
Company Response:
State: NV
Zip: 894XX
Submitted Via: Web
Date Sent: 2023-08-11
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A