Consumer complaint received 2018-06-08
Company: Ditech Financial LLC
State: TX
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
In XXXX I contacted my mortgage service provider ( Ditech Financial LLC ) about the requirements to cancel my PMI. They informed me that if my home appraises over 20 % of the loan value I would be able to cancel my PMI. They instructed me to submit a request in writing to cancel PMI, and agreeing to the {$500.00} appraisal fee. I was also informed that this process should only take two weeks from the time the request is submitted. I submitted this documentation both in printed and hand written form during the 3rd week of XX/XX/2018. 
I received a letter saying that I had not filled out the correct paper work, and my request was being denied. This was the first mention of specific paper work or additional forms. I promptly submitted the newly informed correct forms, and an inspection took place in mid to late XXXX. 
Weeks later ( only after I followed up ) I was informed that the home was appraised at over {$220000.00}, which was {$5000.00} over the {$210000.00} minimum amount required to cancel the PMI. I still have not received a physical copy of the appraisal, and I only received a digital copy after demanding from a supervisor at Ditech. However the request to cancel PMI was still denied. They sighted a " lack of structural improvement ''. I pointed out that 100 % of the flooring in the home had been replaced, a wall between the living room and dining room had been replaced, some electrical had been updated, new water heater, new HVAC and the entire home had been updated with LED lighting. They requested I provide documentation of these updates. After submitting over {$30000.00} worth of home improvement invoices, I have been informed again that my request to cancel PMI has been denied. When asked why, they said " the improvements to the home was not the cause for the increase in value ''. They also informed me that these decisions to deny PMI approval was directed from the loan owner, XXXX XXXX. 
I spoke a representative at XXXX XXXX, who escalated this issue. Both the original contact and the supervisor informed me that all customer documentation and communication needs to go through my service provider, Ditech. Even after I informed them that Ditech directed me to speak with XXXX XXXX, they said Ditech would still need to be the point of contact, but they would escalate the issue. 
I have now reached back out to Ditech, and requested justification for denying cancellation of PMI. I specified saying I would like to see the finical report, guidelines, and mathematical break down of why my request was not approved. I also suggested they call out exactly where in the contracts I signed that I have agreed to these terms. As a paying customer I feel I have rights to this information about my account. 
Ditech has continued to under inform me each time I requested information, and I feel is intentionally dragging their feet to resolve this issue so they can continue collecting fees from my PMI. This process has now been ongoing for 3 months, and I have spent hours of time on the phone with them as well as spent hours of my own time finding and submitting additional documentation. At each turn point, I have met every single individual requirement requested to cancel PMI, and each time Ditech responds with a new detail required, without providing and proof of process, or a defined list of requirements and regulations to cancel PMI. The most frustrating part of this process is that I did not agree to work with Ditech, but I am forced to because they purchased my loan. If I was not financially trapped in this business relationship I would terminate it. 
I would also like to add that I have submitted several negative customer service reviews to Ditech, which have not been posted on their website review, nor have they responded to.

Company response to consumer: Closed with explanation