Product: Mortgage

In XX/XX/XXXX, I entered into a mortgage forbearance on my XXXX XXXX XXXX due to a loss of work hours from the XXXX pandemic. At that time, XXXX held my mortgage. The initial forbearance plan lasted six months through XX/XX/XXXX. I received an extension through XX/XX/XXXX. When I entered forbearance, my mortgage balance was {$280000.00}, my interest rate was 4.5 %, and my monthly payments were {$2300.00}. At some point in this initial forbearance plan, my XXXX statements reflected a new monthly payment of {$2400.00} and an increase in my principal balance of {$280000.00}. I do not understand the increase in the principal balance. 

On XX/XX/XXXX, XXXX transferred my mortgage to Mr. Cooper. 
In XXXX of XXXX, I asked for an extension on my forbearance. XX/XX/XXXX. XXXX I received a letter from Mr. Cooper showing a principal Balance of {$280000.00} and a voluntary monthly payment of {$2300.00}. On XX/XX/XXXX, I received two letters from Mr. Cooper, which showed two different extension periods and two different mortgage payment amounts. One letter showed an extension of 12 months with a payment of {$2400.00}, while the other letter showed an extension of 3 months and a payment of {$2300.00}. I do not understand the discrepancy between these two letters. 

On XX/XX/XXXX, I received a letter from Mr. Cooper showing an extension in my forbearance for another three months, taking me up to the 18 months of forbearance. 

I have documentation verifying these numbers and dates. 

In XXXX of XXXX, I called Mr. Cooper, stating I was ready to exit forbearance, that my COVID hardship had been resolved, and I wished to resume making my regular payments. I informed that I wanted to access the option of a Covid deferral for my payments that were in arrears. At that point, over the phone, Mr. Cooper informed me that my payments would increase because I had to pay back the escrow in arrears over 12 months. When I asked what the new payment would be for that 12 months, they increased my monthly payments by approximately {$600.00}. I asked if I could take longer than 12 months to pay back the escrow amounts. Mr. Cooper said they might be able to go up to 24 months. I told them I needed longer to pay back the escrow arrearages ; however, I could afford my regular mortgage payments. At this point, they asked a leading question, " So you are saying you can not afford your payments? ". I told them I could not afford that new payment with the conditions of the 12 or 24-month period to pay the back escrow. If they could stretch out the escrow payments further, I could afford them. They did not disclose or offer to me the option of spreading the escrow out over 60 months, which XXXX XXXX offers. 

Additionally, I asked about resuming my payments at this point to exit the forbearance but was told that I should not make payments. They said that because they were working up a loan modification, any payments I made at that time would go to my payments in arrears, not toward exiting forbearance and demonstrating my resuming my normal regular payments. I asked Mr. Cooper how long this process would take. They informed me that I needed to be patient with them ; it could take up to 30 days, possibly longer, because they were backlogged. Mr. Cooper did not inform me that this delay in resuming my payments was significant because it pushed me past the 18-month forbearance time cap set by XXXX XXXX regarding COVID deferral options. Again, I did not want a loan modification ; I wanted a deferral ; I could afford my normal payments, and Mr. Cooper would not offer me a deferral. This direction to not resume making my regular payments at the 18-month mark, not to offer me 60 months to pay back my escrow, and failure to inform me of the ramifications of this was deceptive on Mr. Cooper 's part. 

For several months I did not receive any contact from Mr. Cooper regarding my next steps. In -- -- Mr. Cooper finally called me and said they had a loan modification package ready for me and that I should begin Trial payments three months at {$2300.00}. This amount was more than my original mortgage payments of {$2300.00}. When I asked why it took so long for them to get to me, they said they had tried to call me several times, reached out by email, and sent letters through the United States postal service. I have a call log showing no reach out from them, I have no record of emails from them, and I did not receive any paper mail from them. I told the representative on the phone about the lack of communication, and she said that regardless we needed to move forward at this point. She communicated a sense of urgency at this point. I am now aware that the Federal Government put out a letter requiring all lenders to wrap up forbearances and move forward with COVID forbearance exit options with their customers by -- -- of XXXX. The federal deadline finally forced Mr. Cooper to deal with me when I could not get them to do so on my own. 

I received the loan modification offer from Mr. Cooper. The paperwork states that our principal balance is now {$270000.00}. My interest rate is 4.5 %. My voluntary monthly payment will be {$2400.00}. My arrearages are {$65000.00}. The portion of that amount reflecting my missed principal and interest payments have been recapitalized into a new XXXX loan. This recalculation makes my new principal amount {$320000.00}. My back escrow amounts have been added to my monthly payments and spread across 60 months. 

One additional issue regards an appraisal I requested in XXXX of XXXX. I have requested a copy of this appraisal several times but have not yet received one. Mr. Cooper charged {$370.00} for the appraisal to my account. 


My complaints against Mr. Cooper are this : 1 ) I feel that their handling of my forbearance and attempt to exit at the XXXX mark forced me into a loan modification and denied me the opportunity to receive a COVID deferral. This was deceptive, deliberate, and a predatory lending practice on their part. This tactic benefits Mr. Cooper financially as it forces me to pay interest on my back interest. It is a financial detriment to me. 
2 ) At the 18-month mark, Mr. Cooper failed to inform me or offer the full 60-month period that XXXX XXXX allows to pay back my escrow arrearages. This was deceptive. It is ironic, to say the least, that in the loan modification they ended up offering, they did utilize the full 60 months. 
3 ) Mr. Cooper falsely said I could not resume my normal payments at the 18-month mark of forbearance. 
4 ) Mr. Cooper ignored my stated desire to receive a COVID deferral, ignored that I said I was able to make my normal payments AND that I could afford the back escrow payments if they could be spread out further than 24 months. 
5 ) Mr. Cooper has failed to send me a copy of the appraisal charged to my account in XX/XX/XXXX, as reflected on my XX/XX/XXXX mortgage statement. I need proof of the appraisal or the {$370.00} refunded to my account. 

6 ) An additional complaint about this process is that I tried to find out whom the ultimate decision maker is in deciding which workout offer I receive. When I spoke with Mr. Cooper, they stated that XXXX XXXX is the decision maker. When I called XXXX XXXX, they stated that my loan servicer is the decision maker and does not have to make all workout options available to me. Lenders can cherry-pick which options they will make available to their customers. 


It is still my desire to receive a XXXX deferral. At this time, Mr. Cooper is only offering the loan modification ; they gave an original deadline of XX/XX/XXXX, to accept or reject the offer. At my request, they gave me a 30-day extension to accept the offer. After speaking with one of the representatives, we were referred to when calling into the XXXX, I accepted the modification and mailed it back to Mr. Cooper yesterday, XX/XX/XXXX. I did so to avoid the possibility of foreclosure per the advice of your representative. They also advised me to register this complaint in the hope that a change could be made to my account and that I would be offered the XXXX deferral. I also want a copy of the appraisal done last year or a {$370.00} refund to my account. 


*We can provide additional documentation of communication records upon request.