Consumer complaint received 2023-03-16
Company: LoanCare, LLC
State: CA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Struggling to pay mortgage

Complaint:
Loan care llc is my mortgage servicer for my second trust deed. 

I have been under review for a modification since XX/XX/XXXX. For the last 4 months they have been asking for proof of rental deposits. We have explained in four letters of explanations LOEs, that there are no rental deposits, the business that rents the property pays the mortgage directly to the first trust deed servicing company. 
We have sent in the letters of explanation since XX/XX/XXXX. Attached you will find the chronology of our correspondence, including evidence of emails and copies of the letters sent. 
I XXXX XXXX am sole Owner of XXXX XXXX XXXX XXXX. 

XXXX XXXX XXXX XXXX XXXX XXXXXXXX XXXX I do not write myself rental checks. I pay the mortgage directly from my business account. It is noted on the profit and loss of XXXX XXXX XXXX XXXX as a business expense. 

It is a simple concept that they do not seem to grasp. I have written letters we have explained it to several supervisors who claim they understand then when we call back they again ask us for proof of rental deposits. 

They have also asked for my XXXX tax return I have not filed yet. However, I have sent in a letter from my accountant stating he can not file because he is waiting on information from the IRS, On every phone call they request proof of rental deposits and we explain every time. There are no deposits but evidence of the mortgage being paid directly to the first trust deed servicer through the business bank statements. 

It behooves us to understand how they have not either read the explanation or they do not understand such a simple concept. As of the second of XX/XX/XXXX, we have escalated the case 2 times and again on the XXXX of XXXX the 3rd escalation. Finally on the XXXX of XX/XX/XXXX we were told. The business bank statements show expenditures not deposits. ( yes this what the LOE explains ) Since we do not have proof of deposits we are going to foreclose. 

We dont understand why they cant or dont want to get past the deposits. If there are no deposits, we cant show any. If they need to remove the rent as income, they could do that and not count it as such. But to continue to demand something they have been told several times doesnt exist is nonsensical. And to threaten to foreclose because they dont have proof of something that they dont have to count, or can be explained simply is beyond nonsense. It is hard to believe this is a mere oversight or a misunderstanding when it has been explained several times. I do not want to believe but I have a suspicion that this may be a planned action to foreclose since there is so much equity in my home. 

If they offer modifications and they agreed to review for the modification. They should accept the application and the supporting documents and review as promised. Not look for an excuse to foreclose. 

We have attached the chronological time line including evidence of emails sent with the letters and the time and date of the several conversations explaining there are no rental deposits.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation