Date Received: 2018-05-31
Issue: Trouble during payment process
Subissue:
Consumer Complaint: AFTER HURRICANE IRMA, I REQUESTED FOR FORBEARANCE AND MAKING REGULAR PAYMENTS AFTER THAT ; BUT LENDER IS ASKING FULL 3 MONTHS PAYMENT TOGETHER ( ALTHOUGH, I ASKED THEM TO PUT IT IN THE REAR ), SENDING THREATENING LETTERS, SENDING THEIR EMPLOYEE TO PUT NOTICE ON MY DOOR AND ASKING TO MEET THEM FACE TO FACE ; BUT, WHEN I CALLED THEM, THEY SAID THAT NO NEED TO MEET FACE TO FACE! ALSO, SENDING FORECLOSURE LETTER ; ALSO, THEY BLOCK ME TO MAKE AUTOMATED PAYMENT AFTER THE 3RD PAYMENT AND CHARGING FEES TO TALK TO THEIR REPRESENTATIVE TO BE ON THE PHONE
Company Response:
State: FL
Zip: 33071
Submitted Via: Web
Date Sent: 2018-05-31
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2018-05-31
Issue: Struggling to pay mortgage
Subissue:
Consumer Complaint: I've sent my regular monthly payment into my mortgage of {$1200.00} dollars all of last year, but Ocwen Loan Servicing stopped receiving my payment as of XXXX, 2017. I have been in contact with the company and have submitted numerous requests for an understanding of why they are not accepting anymore of my payments, and why after a number of requests for an loan repayment plan, they keep turning me down, despite a change in my income.
Company Response:
State: NJ
Zip: XXXXX
Submitted Via: Web
Date Sent: 2018-05-31
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2018-05-31
Issue: Trouble during payment process
Subissue:
Consumer Complaint: The company continues to take money out of my escrow and paying same person more than once putting my escrow in the rears and then they increase my mortgage payments. Also they have not sent me a monthly statement in 6 years. XX/XX/XXXX the pulled insurance payment out 2 times and each time was {$3500.00}. I wrote a letter with my concerns and also called and spoke with them and they were going to correct the issue. In hindsight they failed to do so and then again in XX/XX/XXXX same senerio but with property taxes and again they have no clue but are wanting me to pay for there mistakes. My house payment has went from {$1200.00} to {$1700.00} in 8 months time.
Company Response:
State: KS
Zip: 67204
Submitted Via: Web
Date Sent: 2018-05-31
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2018-05-30
Issue: Struggling to pay mortgage
Subissue:
Consumer Complaint: I purchased an home in XX/XX/XXXX. In XX/XX/XXXXI started having problems with my mortgage. Due to an financial hardship I had to file chapter XXXX. At this time the mortgage raised my payments claiming my insurance had went up to XXXX adding late fees and refused me for an modification. My Bankruptcy Attorney XXXX made several attempts to place calls on my behalf for an explanation on the extreme payment hike. My mortgage payment double to almost {$1600.00} a month. As the advise of Attorney XXXX that this was not something she could handle I needed to retain an attorney. I retain Attorney XXXX XXXX and he informed me that there were some issue with an deed to my property and misdated papers filed. XXXX XXXX was not familiar with bankruptcy laws and I had to retain and third lawyer who filed an XXXX that XXXX XXXX and XXXX were not the note holder but an servicing company. At this time I had been to court several times about late payment an payment increases. Once the motion was filed BY MY ATTORNEY Attorney XXXX XXXX of XXXX XXXX XXXX, XXXX Who represented XXXX XXXX XXXX XXXX XXXX Trustee For XXXX XXXX XXXX XXXX 2007-2, Asset Backed Certificates, ( which doesn't exist at this time of act ) series 2007-2 never showed up to court and the Banrupcy Court dismissed the claim of XXXX XXXX and XXXX. XXXX XXXX sent them a letter demanding a copy of the deed again. No response They did not notify me for apox 8 to 10 mpnths later.. and filed an forcloser notice. The sale of my home was to take place at the court house and Attorney XXXX advised me to attend an I was there from XXXX to XXXX An there was no sale of my home that day. The only home was sold was a property that Attorney XXXX was auction. On a friday evening I haad a gentleman show up at my home at XXXX XXXX an inform me my house was sold and XXXX can help me move. XXXX XXXX seemed in the beginng to work very hard for me. But the bankrupcy put an cap on what he could charge me and it seemed to tell me i couldnt afford the trial that i needed to work out an deal with the company. I was very hestiate about this but over the years I had empty my retirement fund and savings trying to pay attorneys and mortgage payments to hold on to my home. I even asked about the missing deed and the trust for XXXX XXXX was clossed in XX/XX/XXXX and the signed transfer of deed years later in XX/XX/XXXX.I even ask that as long as I was in bankrupcy they stop responding accepting payments and answering any calls. The bankrupcy trustee held on thinking I was going to win money from the suit stayed invoved. In XX/XX/XXXX we came up with an agreement to set aside forecloser and readmit loan. What we agrred apon and it started all over again rasing fees, charging me un explain fees. In XX/XX/XXXX I spoke with them about fees and a supervisor said this is not an an attempted to collect an dept. An i ask to explain he didnt I also asked why was the agreement file on record of deeds. An my name on the taxes. and They stop accepting my payents locked me out my account and havent return my call when set up appointments. I have not been served or via mail to vacaant my home but my house is on the florcloser list. I really need your help i am a single XXXX XXXX XXXX mother who have exhaust all resources and funds. I need someone of your expertise to look over the documents of my case> I feel the the XXXX profiled me. I feel the reason the let so much time lasp is to not focus on the deed and the XXXX XXXX. After reviewing the documents from Ocwen it clearly still does not answer any of my questions, what he said is true I did file a Chapter XXXX in XX/XX/XXXX. My complaint is, is Ocwen legally responsible for collecting a debt for XXXX XXXX XXXX XXXX trustee back 2007-2? Due to the fact that in XX/XX/XXXXwhile in bankruptcy I filed a motion to request such a document from Ocwen to file correct documents of ownership and authorization from the trustee and did not respond nor show up to court. I did that for XXXX XXXX XXXX and Ocwen. ( See attachments below ) Also Ocwen did not correspond with me for two years until they filled a foreclosure with a foreclosure deed in XX/XX/XXXX. I see in his documents he showed transfer from XXXX XXXX to Ocwen doesnt make sense to me since Ocwen reported on my credit report that the mortgage was transferred in XX/XX/XXXX but Ocwen went back in on my credit when I filled a chapter XXXX in XX/XX/XXXX after they put the {$150000.00} foreclosure debt on my credit report. Ocwen put the {$150000.00} debt under homeward residential in my chapter XXXX.after the loan had been transferred from them to another lender in XX/XX/XXXX, how could you legally do that. You will see in document that I sent the response from my attorney XXXX XXXX, It seems that every time I am in federal court or civil court they either dont show, wait a period of two years and before filing a motion it gives them a opportunity to falsify the documents. The reason it took them two years to file the foreclosure is because the trustees of bankruptcy was holding on to my case until they they assumed that there would be no money and benefits once they dismissed is when they filed their foreclosure. Through this process in bankruptcy the attorneys supposedly for XXXX XXXX, XXXX XXXX trustee back 2007-2 were the attorneys the entire time and still are. This could have been resolved in XX/XX/XXXX when we requested for such documents and attorneys did not file nor show. Also in his response he stated that there was no request on my behalf about my account, thats all lie! Also at this time there is there is no mortgage company on my credit report and I have been paying ever month since XX/XX/XXXX to XX/XX/XXXX. XX/XX/XXXX I called to ask questions about my tax statement and why my name was not on those taxes or on the home and the substantial of {$6000.00} that was on the statement they could not answer and said this is not an attempt to collect a debt. So these are the following reasons why I feel that the assignments on my house are fraudulent and due to the fact that Ocwen has already been to court on such thing like filing false documents from XXXX XXXX XXXX XXXX trustee.
Company Response:
State: AL
Zip: 36608
Submitted Via: Web
Date Sent: 2018-06-26
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2018-05-30
Issue: Struggling to pay mortgage
Subissue:
Consumer Complaint: It has been a nightmare dealing with Ocwen Loan Servicing for over 8 years for a possible loan modification. Ocwen Loan Servicing has denied my request for a loan modification incorrectly over 35 times by providing the deceptive response indicating that there is a problem with the title to the property that has nothing to do with the owner to the property but Ocwen Loan Servicing lien against the property that is considered to be invalid and void. Moreover ; Ocwen collected over {$80000.00} as a monthly Trial Period with the promise of finalizing a predominate loan modification and this is while the property was in an active foreclosure. Which is considered to be unlawful. There have been several correspondences from the Ocwen Loan Servicing attorney confirming the issue with the invalid lien. On XX/XX/XXXX, XXXX XXXX XXXX the attorney representing Ocwen Loan Servicing in an email correspondence to my attorney indicated : The modification offered to XXXX XXXX is contingent on clear title to the property. Upon investigating the title report, we discovered that there is a {$290000.00} outstanding lien on this property from XX/XX/XXXX that was never released. I have attached a copy of the deed of trust evidencing this lien. The implementation of the modification is being held up due to this cloud on title, but we are working with the title company to try and resolve this matter. To be clear, the modification has not been declined but is instead pending clear title. While we continue to work on the title matter, would you please check with your client in case they have any documentation showing that this lien was paid off? Not sure if this attorney has any understanding that, as a homeowner, I would not have copies of the documents related to prior owners loan and release of lien. Currently my home in a foreclosure with a foreclosure sale date scheduled for XX/XX/XXXX. Regretfully ; Ocwen Loan Servicing the Debt Collector, Servicer is ignoring the California State Law! Ocwen Loan Servicing is obligated to postpone the foreclosure sale date that is scheduled for XX/XX/XXXX. Not sure how you can pursue the foreclosure sale when the debt collector Ocwen Loan Servicing does not have a valid lien against the subject property. We reserve the right to take legal action against Ocwen Loan Servicing for this type of illegal business practice, VIOLATION OF THE HOMEOWNER BILL OF RIGHTS and UNFAIR BUSINESS PRACTICES CAL. BUS. & PROF. CODE 17200
Company Response:
State: CA
Zip: 91746
Submitted Via: Web
Date Sent: 2018-05-30
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2018-05-30
Issue: Trouble during payment process
Subissue:
Consumer Complaint: Made a legitimate substantial {$12000.00} electronic transfer payment towards reinstatement on XX/XX/XXXX of which they received on XX/XX/XXXX. Mortgage Service Company held and returned the payment on XX/XX/XXXX where the bank it was returned to will take 3-5 business days to process the payment back into my account. The loan servicing company is insisting on a wire transfer method of payment, which I refuse to use due to too much fraudulent activity, as that is the preferred method of scammers. Now based on the method of waiting, I now will have to pay a much higher amount after the XX/XX/XXXX. The Sevicing company is OCWEN Loan Servicing.
Company Response:
State: IA
Zip: 52804
Submitted Via: Web
Date Sent: 2018-05-30
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2018-05-29
Issue: Trouble during payment process
Subissue:
Consumer Complaint: I was having an issue with XXXX tenants in my XXXX family home and I was in fear that I might be late with my mortgage due to the tenant eviction process that was taking me several months before I can evict my tenant. I recently made a loam modification and did not want to fall behind on my mortgage. So I contacted Ocwen Loan servicing to see if I can make any adjustments to make sure I do not fall behind on any payment. I was told that I can set up a temporary repayment plan to avoid any late payments on my account. As per my initial modification plan states that if I am late I will not be able to get any forbearance that was agreed as part of my modification so this was very important. On the first week of XX/XX/XXXX I set up a repayment plan with Ocwen. I was told specifically NOT to pay my up coming monthly payment and to make a payment for the new amount the next month. XX/XX/XXXX came I tried to make a payment to Ocwen Loan. But I was told that there was some mistake and the repayment plan did not go through and it was the fault of Ocwen. After that point Ocwen Loan made me 2 months late on my mortgage because they told me not to pay my monthly amount so I can pay the new amount in the upcoming coming month. because this plan was not set up properly by the bank I was now 2 months late and I was advised my Ocwen to set up a new repayment plan to avoid any late fees and other even though this mistake was not my fault. I set up my 2nd repayment plan and was approved and told how much to pay and again I was not to pay the current month as the new repayment plan was set up with a new payment amount. So now In XX/XX/XXXX I was to pay the new amount and Again before making I called Ocwen to make sure I have the correct payment address and they told me on the phone call that my repayment plan was not properly put in by the Ocwen rep. and that my payment plan was not approved. I was NOT sent any type of verification or letter or phone telling me this. Now because of Ocwen was loan was way past 90 days late on payments totally because of Ocwen loan servicing. I again tried to make a repayment plan which again did not end well. I also tried to contact their research Dept to find out a response on why they made this mistake and why I was not contacted but their response which took weeks for them to get back to me and was not in the legal time limit for them to respond to my request but after finally receiving info on my request. Ocwen acknowledges that they error was on their part and all I received was an apology. I was having a difficult time because I was going to be 1 month late now because of ocwen I was going to be over 3 months late and my payment was going from {$2300.00} per month to a crazy amount of {$3800.00} per month and they basically told that I will be in foreclosure weather it was the fault of Ocwen or not and if I don't pay I will be in court proceeding. I feel Ocwen loan servicing has purposely tried to place my account into foreclosure and force me out. I have so much paper work and details of every account, which I might have not fully explained in this brief account of what happened. But I would like the opportunity to fully explain and provide documents to prove my description. I would also like to say that Ocwen Loan has also acknowledged their mistake in writing to me which I also have, please email back or contact me to further discuss and provide documents of my account, many thanks
Company Response:
State: NJ
Zip: 070XX
Submitted Via: Web
Date Sent: 2018-05-29
Company Response to Consumer: Closed with non-monetary relief
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2018-05-30
Issue: Struggling to pay mortgage
Subissue:
Consumer Complaint: XXXX XXXX XXXX and its subsidiaries never ever respond to clients. They intentionally failing borrowers at every stage of the mortgage servicing process. The modification was designed to help people and Ocwen tried to defraud people by increasing the monthly payments by 1700 % This is a criminal organization that must be closed. Ocwens years of widespread errors, shortcuts, and runarounds cost some borrowers money and others their homes. Ocwen allegedly botched basic functions like sending accurate monthly statements, properly crediting payments, and handling taxes and insurance. Allegedly, Ocwen also illegally foreclosed on a top-secret close door against XX/XX/XXXX foreclosure act and after it they find the proper moment to go in the house illegal and criminal and loot the entire property in case you complain too much. on struggling borrowers, ignored customer complaints, and sold off the servicing rights to loans without fully disclosing the mistakes it made in borrowers records. The NY. PA, Florida Attorney General took a similar action against Ocwen today in a separate lawsuit. Many state financial regulators are also independently issuing cease-and-desist and license revocation orders against Ocwen for escrow management and licensing issues today. " Ocwen has repeatedly made mistakes and taken shortcuts at every stage of the mortgage servicing process, costing some consumers money and others their homes, '' said CFPB Director XXXX XXXX. " Borrowers have no say over who services their mortgage, so the Bureau will remain vigilant to ensure they get fair treatment. '' Ocwen, headquartered in XXXX XXXX XXXX, Fla., is one of the nations largest nonbank mortgage servicers. As of XXXX XXXX, XXXX, Ocwen serviced almost XXXX XXXX loans with an aggregate unpaid principal balance of {$200.00} XXXX. It services loans for borrowers in all 50 states and the District of Columbia. A mortgage servicer collects payments from the mortgage borrower and forwards those payments to the owner of the loan. It handles customer service, collections, loan modifications, and foreclosures. Ocwen specializes in servicing subprime or delinquent loans. ////////////////////////////////////////////////////////////////////////////////////////////////////////////// CFPB, State Authorities Order Ocwen to Provide {$2.00} XXXX in Relief to Homeowners for Servicing Wrongs XX/XX/XXXX Share this Share on XXXX Share on Twitter Share on XXXX Share on email Largest Nonbank Servicer Will Also Refund {$120.00} XXXX to Foreclosure Victims and Adhere to Significant New Homeowner Protections WASHINGTON, XXXX Today, the Consumer Financial Protection Bureau ( CFPB ), authorities in 49 states, and the District of Columbia filed a proposed court order requiring the countrys largest nonbank mortgage loan servicer, XXXX XXXX XXXX, and its subsidiary, Ocwen Loan Servicing, to provide {$2.00} XXXX in principal reduction to underwater borrowers. The consent order addresses Ocwens systemic misconduct at every stage of the mortgage servicing process. Ocwen must also refund {$120.00} XXXX to the nearly 185,000 borrowers who have already been foreclosed upon and it must adhere to significant new homeowner protections. Deceptions and shortcuts in mortgage servicing will not be tolerated, said CFPB Director XXXX XXXX. Ocwen took advantage of borrowers at every stage of the process. Todays action sends a clear message that we will be vigilant about making sure that consumers are treated with the respect, dignity, and fairness they deserve. The proposed Ocwen Consent Order is available at : http : //files.consumerfinance.govXXXX Ocwen, a publicly traded Florida corporation headquartered in XXXX, Ga., is the largest nonbank mortgage servicer and the fourth-largest servicer overall in the United States. As a mortgage servicer, it is responsible for collecting payments from the mortgage borrower and forwarding those payments to the owner of the loan. It handles customer service, collections, loan modifications, and foreclosures. Ocwen specializes in servicing subprime or delinquent loans and places a major emphasis on resolving delinquency through loss mitigation or foreclosure. In recent years, it has acquired competitors including XXXX XXXX XXXX XXXX ( formerly American Home Mortgage Servicing Inc. ) and XXXX XXXX XXXX XXXX. It has also acquired the mortgage servicing rights from the portfolios of some of the countrys largest banks. The CFPB is charged with enforcing the Dodd-Frank Wall Street Reform and Consumer Protection Act which protects consumers from unfair, deceptive, or abusive acts or practices by mortgage servicers whether they are a bank or nonbank. State financial regulators, state attorneys general, and the CFPB uncovered substantial evidence that Ocwen violated state laws and the Dodd-Frank Act. In early XXXX, examinations by the XXXX XXXX XXXX, which is comprised of state financial regulators, identified potential violations at Ocwen. In addition, the Federal Trade Commission referred its investigation of Ocwen to the CFPB after the Bureau opened in XX/XX/XXXX. The Bureau then teamed with state attorneys general and state regulators to investigate and resolve the issues identified. Todays settlement is a multi-jurisdictional collaborative effort. Borrowers Pushed into Foreclosure by Servicing Errors The CFPB and its partner states believe that Ocwen was engaged in significant and systemic misconduct that occurred at every stage of the mortgage servicing process. According to the complaint filed in the federal district court in the District of Columbia, Ocwens violations of consumer financial protections put thousands of people across the country at risk of losing their homes. Specifically, the complaint says that Ocwen : Took advantage of homeowners with servicing shortcuts and unauthorized fees : Customers relied on Ocwen to, among other things, treat them fairly, give them accurate information, and appropriately charge for services. According to the complaint, Ocwen violated the law in a number of ways, including : o Failing to timely and accurately apply payments made by borrowers and failing to maintain accurate account statements ; o Charging borrowers unauthorized fees for default-related services ; o Imposing force-placed insurance on consumers when Ocwen knew or should have known that they already had adequate home-insurance coverage ; and o Providing false or misleading information in response to consumer complaints. Deceived consumers about foreclosure alternatives and improperly denied loan modifications : Struggling homeowners generally turn to mortgage servicers, the link to the owners of the loans, as their only means of developing a plan for payment. Ocwen failed to effectively assist, and in fact impeded, struggling homeowners trying to save their homes. This included : o Failing to provide accurate information about loan modifications and other loss mitigation services ; o Failing to properly process borrowers applications and calculate their eligibility for loan modifications ; o Providing false or misleading reasons for denying loan modifications ; o Failing to honor previously agreed upon trial modifications with prior servicers ; and o Deceptively seeking to collect payments under the mortgages original unmodified terms after the consumer had already begun a loan modification with the prior servicer. Engaged in illegal foreclosure practices : One of the most important jobs of a mortgage servicer is managing the foreclosure process. But Ocwen mishandled foreclosures and provided consumers with false information. Specifically, Ocwen is accused of : o Providing false or misleading information to consumers about the status of foreclosure proceedings where the borrower was in good faith actively pursuing a loss mitigation alternative also offered by Ocwen ; and o Robo-signing foreclosure documents, including preparing, executing, notarizing, and filing affidavits in foreclosure proceedings with courts and government agencies without verifying the information. Remedies : Consumer Protections Todays proposed court order will bar Ocwen from committing such violations in the future. It requires Ocwen to provide {$120.00} XXXX in refunds to foreclosed-upon consumers and {$2.00} XXXX in loan modification relief to its customers through principal reduction. The refunds and relief also apply to consumers whose loans were previously serviced by XXXX XXXX XXXX and XXXX XXXX XXXX. According to the proposed order, Ocwen must : Provide {$2.00} XXXX in relief to underwater borrowers : Over a three-year period, Ocwen must complete sustainable loan modifications that result in principal reductions totaling {$2.00} XXXX. For loan modification options, eligible borrowers may be contacted directly by Ocwen. Or borrowers may contact Ocwen to obtain more information about specific loan modification programs and to find out whether they may be impacted by this settlement. Ocwen can be reached at XXXX or XXXX. If Ocwen fails to meet this commitment, it must pay a cash penalty in the amount of any shortfall to the CFPB and the states. Provide {$120.00} XXXX in refunds to foreclosure victims : Ocwen must refund {$120.00} XXXX to consumers whose loans were being serviced by Ocwen, XXXX XXXX XXXX, or Litton Loan Servicing, and who lost their homes to foreclosure between XX/XX/XXXX and XX/XX/XXXX. All eligible consumers who submit valid claims will receive an equal share of the {$120.00} XXXX. Borrowers who receive payments will not have to release any claims and will be free to seek additional relief in the courts. Ocwen will also pay {$2.00} XXXX to administer the refund process. Eligible consumers can expect to hear from the settlement administrator about potential payments. Stop robo-signing official documents : Ocwen must ensure that facts asserted in its documents about borrowers loans used in foreclosure and bankruptcy proceedings are accurate and supported by reliable evidence. Affidavits and sworn statements must be based on personal knowledge. Adhere to significant new homeowner protections : Ocwen must change the way it services mortgages to ensure that borrowers are protected from the illegal behavior that puts them in danger of losing their homes. To ensure this, the CFPB and the states are proposing that Ocwen follow the servicing standards set up by the XXXX XXXX XXXX XXXX with the five largest banks. Because of Ocwens track record of problems handling the large volume of mortgage servicing rights it has quickly acquired in recent years, Ocwen is also being ordered to adhere to additional consumer protections, including how it manages transferred lans. Among other things, Ocwen must : o Properly process pending requests : For loans that are transferred to Ocwen, the company must determine the status of in-process loss mitigation requests pending within 60 days of transfer. Until then, Ocwen can not start, refer to, or proceed with foreclosure. o Honor previous loan modification agreements : If the borrower has a loan modification agreement, Ocwen must honor it under the terms of the company that transferred the loan. o Ensure continuity of contact for consumers : Ocwen will have to ensure that consumers get regular and dependable assistance when they call for help. This includes requiring more than just a single point of contact assigned to each borrower, but also that other Ocwen employees with access to the borrowers information be available if the borrower wants to speak to someone immediately. o Restrict servicing fees : All servicing fees must be reasonable, bona fide, and disclosed in detail to borrowers. For example, Ocwen can not collect any late fees if a loan modification application is under review or if the borrower is making timely trial modification payments. o Notify consumers of loss mitigation options and restrict dual tracking : Ocwen generally can not refer a borrowers account to foreclosure while the borrowers application for a loan modification is still pending. If the loan-modification request is denied, the borrower can appeal that decision and Ocwen can not proceed to foreclosure until that appeal has been resolved. In XX/XX/XXXX, the CFPB released new rules on mortgage servicing that will apply to every mortgage servicer. The standards that Ocwen must adhere to according to this court order are in addition to the protections offered to consumers under the new rules that take effect on XX/XX/XXXX. More information about the CFPBs new mortgage rules can be found at : consumerfinance.gov/mortgage. A factsheet about the proposed order filed today can be found at : http : //files.consumerfinance.govXXXX Common consumer questions and answers about the order can be found at : http : //files.consumerfinance.govXXXX A copy of the Ocwen complaint that the CFPB and state attorneys general filed today can be found at : http : //files.consumerfinance.govXXXX The complaint is not a finding or ruling that the defendants have actually violated the law. The proposed federal court order will have the full force of law only when signed by the presiding judge. # # # The Consumer Financial Protection Bureau is a 21st century agency that helps consumer finance markets work by making rules more effective, by consistently and fairly enforcing those rules, and by empowering consumers to take more control over their economic lives. For more information, visit consumerfinance.gov. Updated on XX/XX/XXXX : The XXXX XXXX XXXX XXXX will mail claim forms to borrowers who lost their home to foreclosure between XX/XX/XXXX and XX/XX/XXXX and whose loans were serviced by Ocwen, XXXX XXXX XXXX XXXX, and XXXX XXXX XXXX XXXX ( also known as XXXX XXXX XXXX XXXX XXXX XXXX, or AHMSI ). Borrowers may submit claim forms online using their personalized claimant ID number, which is located on the claim form they receive. More information can be found at : XXXX Updated on XX/XX/XXXX : The Ocwen consent judgment entered by the court can be found at : http : //files.consumerfinance.govXX/XX/XXXX ////////////////////////////////////////////////////////////////////////////////////////////////////// CFPB Sues Ocwen for Failing Borrowers Throughout Mortgage Servicing Process Mortgage Servicers Widespread Errors, Shortcuts, and Runarounds Cost Borrowers Money, Homes XX/XX/XXXX Share this Share on XXXX Share on XXXX Share on XXXX Share on email WASHINGTON, D.C. The Consumer Financial Protection Bureau ( CFPB ) today sued one of the countrys largest nonbank mortgage loan servicers, XXXX XXXX XXXX, and its subsidiaries for failing borrowers at every stage of the mortgage servicing process. The Bureau alleges that Ocwens years of widespread errors, shortcuts, and runarounds cost some borrowers money and others their homes. Ocwen allegedly botched basic functions like sending accurate monthly statements, properly crediting payments, and handling taxes and insurance. Allegedly, Ocwen also illegally foreclosed on struggling borrowers, ignored customer complaints, and sold off the servicing rights to loans without fully disclosing the mistakes it made in borrowers records. The Florida Attorney General took a similar action against Ocwen today in a separate lawsuit. Many state financial regulators are also independently issuing cease-and-desist and license revocation orders against Ocwen for escrow management and licensing issues today. " Ocwen has repeatedly made mistakes and taken shortcuts at every stage of the mortgage servicing process, costing some consumers money and others their homes, '' said CFPB Director XXXX XXXX. " Borrowers have no say over who services their mortgage, so the Bureau will remain vigilant to ensure they get fair treatment. '' Ocwen, headquartered in XXXX XXXX XXXX, Fla., is one of the nations largest nonbank mortgage servicers. As of XXXX XXXX, XXXX, Ocwen serviced almost XXXX XXXX loans with an aggregate unpaid principal balance of {$200.00} XXXX. It services loans for borrowers in all 50 states and the District of Columbia. A mortgage servicer collects payments from the mortgage borrower and forwards those payments to the owner of the loan. It handles customer service, collections, loan modifications, and foreclosures. Ocwen specializes in servicing subprime or delinquent loans. The CFPB uncovered substantial evidence that Ocwen has engaged in significant and systemic misconduct at nearly every stage of the mortgage servicing process. The CFPB is charged with enforcing the Dodd-Frank Wall Street Reform and Consumer Protection Act, which protects consumers from unfair, deceptive, or abusive acts or practices, and other federal consumer financial laws. In addition, the Bureau adopted common-sense rules for the mortgage servicing market that first took effect in XX/XX/XXXX. The CFPBs mortgage servicing rules require that servicers promptly credit payments and correct errors on request. The rules also include strong protections for struggling homeowners, including those facing foreclosure. In its lawsuit, the CFPB alleges that Ocwen : Serviced loans using error-riddled information : Ocwen uses a proprietary system called REALServicing to process and apply borrower payments, communicate payment information to borrowers, and maintain loan balance information. Ocwen allegedly loaded inaccurate and incomplete information into its REALServicing system. And even when data was accurate, REALServicing generated errors because of system failures and deficient programming. To manage this risk, Ocwen tried manual workarounds, but they often failed to correct inaccuracies and produced still more errors. Ocwen then used this faulty information to service borrowers loans. In XX/XX/XXXX, Ocwens head of servicing described its system as ridiculous and a train wreck. Illegally foreclosed on homeowners : Ocwen has long touted its ability to service and modify loans for troubled borrowers. But allegedly, Ocwen has failed to deliver required foreclosure protections. As a result, the Bureau alleges that Ocwen has wrongfully initiated foreclosure proceedings on at least 1,000 people, and has wrongfully held foreclosure sales. Among other illegal practices, Ocwen has initiated the foreclosure process before completing a review of borrowers loss mitigation applications. In other instances, Ocwen has asked borrowers to submit additional information within 30 days, but foreclosed on the borrowers before the deadline. Ocwen has also foreclosed on borrowers who were fulfilling their obligations under a loss mitigation agreement. Failed to credit borrowers payments : Ocwen has allegedly failed to appropriately credit payments made by numerous borrowers. Ocwen has also failed to send borrowers accurate periodic statements detailing the amount due, how payments were applied, total payments received, and other information. Ocwen has also failed to correct billing and payment errors. Botched escrow accounts : Ocwen manages escrow accounts for over 75 percent of the loans it services. Ocwen has allegedly botched basic tasks in managing these borrower accounts. Because of system breakdowns and an over-reliance on manually entering information, Ocwen has allegedly failed to conduct escrow analyses and sent some borrowers escrow statements late or not at all. Ocwen also allegedly failed to properly account for and apply payments by borrowers to address escrow shortages, such as changes in the account when property taxes go up. One result of this failure has been that some borrowers have paid inaccurate amounts. Mishandled hazard insurance : If a servicer administers an escrow account for a borrower, a servicer must make timely insurance and/or tax payments on behalf of the borrower. Ocwen, however, has allegedly failed to make timely insurance payments to pay for borrowers home insurance premiums. Ocwens failures led to the lapse of homeowners insurance coverage for more than 10,000 borrowers. Some borrowers were pushed into force-placed insurance. Bungled borrowers private mortgage insurance : Ocwen allegedly failed to cancel borrowers private mortgage insurance, or PMI, in a timely way, causing consumers to overpay. Generally, borrowers must purchase PMI when they obtain a mortgage with a down payment of less than 20 percent, or when they refinance their mortgage with less than 20 percent equity in their property. Servicers must end a borrowers requirement to pay PMI when the principal balance of the mortgage reaches 78 percent of the propertys original value. Since XX/XX/XXXX, Ocwen has failed to end borrowers PMI on time after learning information in its REALServicing system was unreliable or missing altogether. Ocwen ultimately overcharged borrowers about {$1.00} XXXX for PMI premiums, and refunded this money only after the fact. Deceptively signed up and charged borrowers for add-on products : When servicing borrowers mortgage loans, Ocwen allegedly enrolled some consumers in add-on products through deceptive solicitations and without their consent. Ocwen then billed and collected payments from these consumers. Failed to assist heirs seeking foreclosure alternatives : Ocwen allegedly mishandled accounts for successors-in-interest, or heirs, to a deceased borrower. These consumers included widows, children, and other relatives. As a result, Ocwen failed to properly recognize individuals as heirs, and thereby denied assistance to help avoid foreclosure. In some instances, Ocwen foreclosed on individuals who may have been eligible to save these homes through a loan modification or other loss mitigation option. Failed to adequately investigate and respond to borrower complaints : If an error is made in the servicing of a mortgage loan, a servicer must generally either correct the error identified by the borrower, called a notice of error, or investigate the alleged error. Since XX/XX/XXXX, Ocwen has allegedly routinely failed to properly acknowledge and investigate complaints, or make necessary corrections. Ocwen changed its policy in XX/XX/XXXX to address the difficulty its call center had in recognizing and escalating complaints, but these changes fell short. Under its new policy, borrowers still have to complain at least five times in nine days before Ocwen automatically escalates their complaint to be resolved. Since XX/XX/XXXX, Ocwen has received more than 580,000 notices of error and complaints from more than 300,000 different borrowers. Failed to provide complete and accurate loan information to new servicers : Ocwen has allegedly failed to include complete and accurate borrower information when it sold its rights to service thousands of loans to new mortgage servicers. This has hampered the new servicers efforts to comply with laws and investor guidelines. The Bureau also alleges that Ocwen has failed to remediate borrowers for the harm it has caused, including the problems it has created for struggling borrowers who were in default on their loans or who had filed for bankruptcy. For these groups of borrowers, Ocwens servicing errors have been particularly costly. Through its complaint, filed in federal district court for the XXXX District of Florida, the CFPB seeks a court order requiring Ocwen to follow mortgage servicing law, provide relief for consumers, and pay penalties. The complaint is not a finding or ruling that the defendants have actually violated the law. The lawsuit is available at : http : //files.consumerfinance.govXXXX # # # The Consumer Financial Protection Bureau is a 21st century agency that helps consumer finance markets work by making rules more effective, by consistently and fairly enforcing those rules, and by empowering consumers to take more control over their economic lives. For more information, visit consumerfinance.gov. /////////////////////////////////////////////////////////////////////////////////////////////////////// CFPB Sues Ocwen for Failing Borrowers Throughout Mortgage Servicing Process Mortgage Servicers Widespread Errors, Shortcuts, and Runarounds Cost Borrowers Money, Homes XX/XX/XXXX Share this Share on XXXX Share on XXXX Share on XXXX Share on email WASHINGTON, D.C. The Consumer Financial Protection Bureau ( CFPB ) today sued one of the countrys largest nonbank mortgage loan servicers, XXXX XXXX XXXX, and its subsidiaries for failing borrowers at every stage of the mortgage servicing process. The Bureau alleges that Ocwens years of widespread errors, shortcuts, and runarounds cost some borrowers money and others their homes. Ocwen allegedly botched basic functions like sending accurate monthly statements, properly crediting payments, and handling taxes and insurance. Allegedly, Ocwen also illegally foreclosed on struggling borrowers, ignored customer complaints, and sold off the servicing rights to loans without fully disclosing the mistakes it made in borrowers records. The Florida Attorney General took a similar action against Ocwen today in a separate lawsuit. Many state financial regulators are also independently issuing cease-and-desist and license revocation orders against Ocwen for escrow management and licensing issues today. " Ocwen has repeatedly made mistakes and taken shortcuts at every stage of the mortgage servicing process, costing some consumers money and others their homes, '' said CFPB Director XXXX XXXX. " Borrowers have no say over who services their mortgage, so the Bureau will remain vigilant to ensure they get fair treatment. '' Ocwen, headquartered in XXXX XXXX XXXX, Fla., is one of the nations largest nonbank mortgage servicers. As of XX/XX/XXXX Ocwen serviced almost XXXX XXXX loans with an aggregate unpaid principal balance of {$200.00} XXXX. It services loans for borrowers in all 50 states and the District of Columbia. A mortgage servicer collects payments from the mortgage borrower and forwards those payments to the owner of the loan. It handles customer service, collections, loan modifications, and foreclosures. Ocwen specializes in servicing subprime or delinquent loans. The CFPB uncovered substantial evidence that Ocwen has engaged in significant and systemic misconduct at nearly every stage of the mortgage servicing process. The CFPB is charged with enforcing the Dodd-Frank Wall Street Reform and Consumer Protection Act, which protects consumers from unfair, deceptive, or abusive acts or practices, and other federal consumer financial laws. In addition, the Bureau adopted common-sense rules for the mortgage servicing market that first took effect in XX/XX/XXXX. The CFPBs mortgage servicing rules require that servicers promptly credit payments and correct errors on request. The rules also include strong protections for struggling homeowners, including those facing foreclosure. In its lawsuit, the CFPB alleges that Ocwen : Serviced loans using error-riddled information : Ocwen uses a proprietary system called REALServicing to process and apply borrower payments, communicate payment information to borrowers, and maintain loan balance information. Ocwen allegedly loaded inaccurate and incomplete information into its REALServicing system. And even when data was accurate, REALServicing generated errors because of system failures and deficient programming. To manage this risk, Ocwen tried manual workarounds, but they often failed to correct inaccuracies and produced still more errors. Ocwen then used this faulty information to service borrowers loans. In XX/XX/XXXX, Ocwens head of servicing described its system as ridiculous and a train wreck. Illegally foreclosed on homeowners : Ocwen has long touted its ability to service and modify loans for troubled borrowers. But allegedly, Ocwen has failed to deliver required foreclosure protections. As a result, the Bureau alleges that Ocwen has wrongfully initiated foreclosure proceedings on at least 1,000 people, and has wrongfully held foreclosure sales. Among other illegal practices, Ocwen has initiated the foreclosure process before completing a review of borrowers loss mitigation applications. In other instances, Ocwen has asked borrowers to submit additional information within 30 days, but foreclosed on the borrowers before the deadline. Ocwen has also foreclosed on borrowers who were fulfilling their obligations under a loss mitigation agreement. Failed to credit borrowers payments : Ocwen has allegedly failed to appropriately credit payments made by numerous borrowers. Ocwen has also failed to send borrowers accurate periodic statements detailing the amount due, how payments were applied, total payments received, and other information. Ocwen has also failed to correct billing and payment errors. Botched escrow accounts : Ocwen manages escrow accounts for over 75 percent of the loans it services. Ocwen has allegedly botched basic tasks in managing these borrower accounts. Because of system breakdowns and an over-reliance on manually entering information, Ocwen has allegedly failed to conduct escrow analyses and sent some borrowers escrow statements late or not at all. Ocwen also allegedly failed to properly account for and apply payments by borrowers to address escrow shortages, such as changes in the account when property taxes go up. One result of this failure has been that some borrowers have paid inaccurate amounts. Mishandled hazard insurance : If a servicer administers an escrow account for a borrower, a servicer must make timely insurance and/or tax payments on behalf of the borrower. Ocwen, however, has allegedly failed to make timely insurance payments to pay for borrowers home insurance premiums. Ocwens failures led to the lapse of homeowners insurance coverage for more than 10,000 borrowers. Some borrowers were pushed into force-placed insurance. Bungled borrowers private mortgage insurance : Ocwen allegedly failed to cancel borrowers private mortgage insurance, or PMI, in a timely way, causing consumers to overpay. Generally, borrowers must purchase PMI when they obtain a mortgage with a down payment of less than 20 percent, or when they refinance their mortgage with less than 20 percent equity in their property. Servicers must end a borrowers requirement to pay PMI when the principal balance of the mortgage reaches 78 percent of the propertys original value. Since XX/XX/XXXX, Ocwen has failed to end borrowers PMI on time after learning information in its REALServicing system was unreliable or missing altogether. Ocwen ultimately overcharged borrowers about {$1.00} XXXX for PMI premiums, and refunded this money only after the fact. Deceptively signed up and charged borrowers for add-on products : When servicing borrowers mortgage loans, Ocwen allegedly enrolled some consumers in add-on products through deceptive solicitations and without their consent. Ocwen then billed and collected payments from these consumers. Failed to assist heirs seeking foreclosure alternatives : Ocwen allegedly mishandled accounts for successors-in-interest, or heirs, to a deceased borrower. These consumers included widows, children, and other relatives. As a result, Ocwen failed to properly recognize individuals as heirs, and thereby denied assistance to help avoid foreclosure. In some instances, Ocwen foreclosed on individuals who may have been eligible to save these homes through a loan modification or other loss mitigation option. Failed to adequately investigate and r
Company Response:
State: NY
Zip: XXXXX
Submitted Via: Web
Date Sent: 2018-05-30
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2018-05-29
Issue: Closing on a mortgage
Subissue:
Consumer Complaint: I understand some pretender lender loan servicers use cozy relationships with employees and cozy relationships with shady lawyers to help with embezzlement cover-up's.. The big question under oath will be, are some opposing counsels committing fraud upon the court claiming to have personal knowledge and have looked at all the manufactured documents to assist troubled pretender lender loan servicer 's with financial crimes. We all know the laws allow plaintiffs the right to have a fair jury trial to prove cases with evidence. The big question that continues to go unanswered, is opposing counsel spinning the laws to attempt to take away plaintiffs rights to have color copies of all the so-called original loan documents that have been so called notarized? One would think a honest lawyer would provide the plaintiff with documents that the plaintiff is entitled to without response threats. One wonders who all the parties really are who are out to desperately embezzle my property. We all know many lawyers have been disbarred and jailed for financial crimes. We all know the FBI investigates and jails criminals for financial crimes. When is opposing counsel going respond to my consumer complaint without spins and provide me with color copies of all the so-called original loan documents that have been so-called notarized that I am entitled to. The other question that continues to go unanswered all of these years is, when is opposing counsel going to allow my FBI forensic expert access to the so-called original documents, including the so-called original note and the original void assignment that was signed off by XXXX and XXXX employee just days before the pretender lender counsel filed its bogus lawsuit to pretend to be a party of interest then committing fraud upon the court? I look forward unwinding all the injustice with evidence. I look forward to the CFPB enforcement findings. I look forward to a jury trial. I look forward providing the California State Bar enforcement division with evidence after I am awarded damages.
Company Response:
State: CA
Zip: 91709
Submitted Via: Web
Date Sent: 2018-05-29
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2018-05-29
Issue: Closing on a mortgage
Subissue:
Consumer Complaint: The pretender lender loan servicers opposing counsel responded to my consumer complaint on XX/XX/2018 attaching manufactured documents with scribbled signatures. Opposing counsel failed to provide me with the so-called notarized original loan documents because he knows the pretender lender loan servicer only has manufactured copies. When is opposing counsel going to be honest and provide me with color copies of the so-called original loan documents?
Company Response:
State: CA
Zip: 91709
Submitted Via: Web
Date Sent: 2018-05-29
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A