Consumer complaint received 2020-08-31
Company: LoanCare, LLC
State: VA
Product: Mortgage
Sub-product: FHA mortgage
Issue: Incorrect information on your report
Sub-issue: Account status incorrect

Complaint:
I requested a forbearance that began on XX/XX/XXXX under the CARES Act due to being impacted by COVID-19. I inquired about how the forbearance would affect my credit and was advised that the status of my loan prior to the forbearance would remain under the duration of the forbearance. Prior to the forbearance, my loan was reported current to the credit bureaus every month so I proceeded with the forbearance option. I paid off my loan on or about XX/XX/XXXX. I reviewed my credit report on XX/XX/XXXX, at which time my credit report showed my mortgage loan as 120 days delinquent with the last on time payment made in XX/XX/XXXX. I called LoanCare to have this information corrected. I was advised to submit a written request via their website under my account. I did so on XX/XX/XXXX ( Ticket # XXXX ). I called LoanCare on XX/XX/XXXX to check the status of my dispute. I was advised by customer service that the process is a 10 business day turnaround. I asked if there was an escalation process where I could request an expedited turnaround as I explained this misinformation on my credit report is preventing my new mortgage loan from going to underwriting for approval and I am scheduled to close on my new home on XX/XX/XXXX. I was advised there was no way to escalate the issue. I then asked to speak to a supervisor. After speaking to the supervisor, I was advised that LoanCare did report my account as current to the credit bureaus and that I would need to contact the credit bureaus themselves. I was also advised that the " credit bureau probably saw that the principal balance did not decrease and automatically flagged my account as past due ''. I then called the credit bureaus who advised me that they only report information that is provided by the lender and that I would need to contact the lender to have then speak to their XXXX  rep to have my credit report corrected. I then called LoanCare back the same day ( XX/XX/XXXX ) and spoke with another supervisor who also confirmed my account was reported correctly as current and that I would need to speak with the credit bureaus. He proceeded to send an email to escalate the issue but advised that after they review the file and see that LoanCare reported correctly that I receive a letter that says there were no errors made. I explained that regardless of what their system shows, the credit bureaus show differently and they ( LoanCare ) are the only ones who can communicate the error to the credit bureaus to have this corrected. I called back on XX/XX/XXXX to check the status of my escalated request and was transferred to another supervisor. I was advised of the same information that my account was being reported as current and there was nothing they could do. The supervisor offered to email me a copy of my loan history showing where my account never reached default status in hopes that this would resolve my issue with new mortgage loan application. I spoke with my loan officer and was advised that he can only go by what the credit report shows. I proceeded to call LoanCare back, this time with my loan officer on 3-way, and we were both told the same information as on my other calls. My loan officer explained that my credit is showing as 120 days past due and that LoanCare reported that. This supervisor is the first from all of the other supervisors and customer service reps to acknowledge that LoanCare made an error with my credit reporting. She stated she escalated the issue and I would need to call back to confirm the issue has been corrected. I also submitted a follow up ticket on LoanCare 's website in order to provide them with a copy of my credit report showing my account as delinquent ( ticket # XXXX ). I called back on XX/XX/XXXX to see if there were any new notes on the file and was advised there were not. I asked to submit a complaint and was advised I would need to mail in a written complaint. I asked if there was a way to document my complaint while on the phone and was advised there was not. I asked if there was a complaint intake analyst who could handle my complaint and was advised there was not. I have attached a copy of my credit report as of XX/XX/XXXX. The account information for LoanCare can be found on page 8 of the report.

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