Consumer complaint received 2023-02-03
Company: Freedom Mortgage Company
State: GA
Product: Mortgage
Sub-product: VA mortgage
Issue: Trouble during payment process

Complaint:
There were 3 partial payments made to Freedom Mortgage for the month of XXXX. One payment of {$980.00} was made on XX/XX/23. A payment of {$770.00} was made on XX/XX/23. On XX/XX/23, I was notified by XXXX XXXX  that my payment of {$770.00} was not successful. On XX/XX/23 I made another payment for {$770.00}. I, the consumer, was not aware that Freedom Mortgage was going to attempt to process the failed payment from XX/XX/23. On XX/XX/23, Freedom Mortgage retried the payment from XX/XX/23 and it was successful. Therefore, the entire payment for XXXX has been made and processed. On XX/XX/23, Freedom Mortgage attempted to process the second payment that was made on XX/XX/23 despite already having the full payment for XXXX. I contacted Freedom Mortgage and XXXX XXXX  about the issue. Freedom Mortgage verified my full payment for the month of XXXX had been made and the XXXX payment was not necessary. XXXX states they would put a stop payment on it and the money would be released back to my account. Freedom Mortgage stated they would put in a request to have the payment refunded if the payment was successful. The representative from this conversation DID NOT notate my account with this information. I called back after this conversation and asked to speak with a supervisor to have this information notated, and she as well DID NOT notate my account. Anyways, XXXX was successfully able to stop the payment and release the money back into my account. Freedom Mortgage processed a refund despite me already receiving payment from XXXX. By time Freedom realized they did not receive the second payment because the stop payment did not reflect in their system until 5-7 business days later, they took their money back from out of my XXXX payment and therefore making my XXXX payment delinquent. Freedom Mortgage did not notify me that they had processed a refund nor did they notify me that they took it out of my XXXX payment and now it was considered delinquent. It is not my fault that it takes their system 5-7 days to reflect the " stop payment '' by my bank had occurred and they did not have to process a refund. Furthermore, it is illegal to take back this refund from my XXXX payment made for my mortgage and making me delinquent. The additional payment do not have anything to do with my XXXX mortgage payment. Freedom Mortgage did not have the right. I have asked to see where I authorized for the second attempt on payment, I have not received it. I have asked can they provided documentation showing outreach attempts about them taking this refund out of my XXXX payment, Freedom Mortgage has not. I have asked Freedom Mortgage to show me where they made me aware that my status of my XXXX payment has changed, they did not. Freedom Mortgage was only concerned about getting the {$770.00} payment back that mistakenly made than being worried about the consumer. They were only concerned about fixing their mistake and in the process damaging the consumer.

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