Consumer complaint received 2023-11-06
Company: LoanCare, LLC
State: TX
Product: Mortgage
Sub-product: FHA mortgage
Issue: Trouble during payment process
Sub-issue: Trying to communicate with the company to fix an issue while managing or servicing your loan

Complaint:
I am writing to file a formal complaint against LoanCareXXXX XXXX XXXX , a mortgage loan servicing company, for multiple violations of the Fair Debt Collection Practices Act ( FDCPA ) and other regulatory requirements. My experience with LoanCare/XXXX XXXXXXXX XXXX has been characterized by a persistent failure to respond to debt validation requests, unlawful threats of foreclosure, and the initiation of debt collection actions despite my attempts to resolve the situation. 

My specific concerns and the sequence of events leading to this complaint are as follows : Failure to Respond to Debt Validation Requests : I have sent multiple debt validation requests, along with an affidavit, to LoanCareXXXX XXXX XXXX through various channels, including certified mail, requesting verification of the debt. Despite my diligent efforts, I have received no proper response or validation of the debt, as required by the FDCPA. I am deeply concerned about the validity of the debt, and LoanCare/XXXX XXXXXXXX XXXX XXXX failure to respond is a direct violation of my rights as a consumer. 

Unilateral Transition to Online Statements : I never signed up for online statements with LoanCare/XXXX XXXX XXXX and had been receiving paper statement coupons via USPS as a reliable method for tracking my mortgage account. However, without my consent or notification, they unilaterally transitioned to online statements, depriving me of these essential documents and undermining my ability to monitor my mortgage account accurately. 

Threats of Foreclosure : Despite my genuine attempts to resolve the issues surrounding my mortgage, LoanCare/XXXX XXXXXXXX XXXX initiated threats of foreclosure, causing considerable XXXX and XXXX. These threats have been made without proper communication, negotiation, or adherence to regulatory procedures. There is a record of this being common practice and pending class action lawsuit against XXXX a subsidiary of LoanCare/XXXX 

Debt Collection Agency Involvement : To my astonishment, I recently received letters from a debt collection company threatening foreclosure proceedings, even after I sent a payment on XX/XX/2023, via certified mailing ( USPS Certified Mail Mailing Request XXXX XXXX ). This further raises questions about LoanCare/XXXX XXXXXXXX XXXX XXXX unethical and unlawful practices. 

I request that the CFPB conduct a thorough investigation into the actions of LoanCareXXXX XXXX XXXX to ensure that they are in compliance with the FDCPA and other relevant regulations. I believe it is essential to hold LoanCare/XXXX XXXXXXXX XXXX accountable for their actions and the harm they have caused. 

I have attached relevant documents, including copies of my debt validation requests, the affidavit, certified mail receipts, and any other pertinent information for your review. 

I appreciate your prompt attention to this matter and your commitment to safeguarding consumer rights. Please keep me informed of the progress of this complaint and any actions taken by the CFPB in response. 

Thank you for your assistance in addressing this issue.

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