Consumer complaint received 2021-02-23
Company: Southwest Business Corporation
State: AR
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Struggling to pay mortgage

Complaint:
In XX/XX/XXXX, my hours were cut due to COVID-19 and I made an online request for information regarding a COVID-relief Forbearance plan. I did not sign any paperwork authorizing a forbearance nor speak to a representative regarding my options. At that time I was able to continue making my mortgage payment and chose not to pursue a forbearance plan. Automated phone calls from SWBC mortgage began during the month of XXXX making reference to my " forbearance plan ''. In XX/XX/XXXX, I contacted SWBC mortgage to ask why these calls were coming in, the representative indicated that they needed to extend my forbearance plan and needed my permission to do so. I explained that I should not be on a forbearance plan, that I had only requested information about my options. I further explained that I had been making my payments on-time as expected. They informed me that I had been signed up on a Forbearance plan in XX/XX/XXXX. I told them to remove me from forbearance and explained that I was very frustrated that they enrolled me without my consent and essentially " burned through '' this option in such a way that it would not be available for me to use if it was needed in the future. 

Then in XX/XX/XXXX, my hours continue to be cut back and I'm not able to make my payment. I contacted SWBC explaining that they previously had me on a COVID-19 forbearance plan, but that I needed to have it reinstated and I asked if there was a way to " start it back up ''. They indicated that I had only ever used 5 months of the 12-month availability of the COVID-19 Forbearance, and the remaining 7 months were still available. They required that I go on a 1-month plan and then call back in XXXX to request further months. I agreed to this on XX/XX/XXXX with a representative on the phone. 

At the beginning of XXXX I check my SWBC mortgage account and noted that I had been assessed late fees and there was a past due notification on my account. I also noted that there were not messages regarding my COVID-19 Forbearance that I had requested in XX/XX/XXXX on my account. I called SWBC mortgage and they had NO RECORD of me being placed on a Forbearance plan in XX/XX/XXXX. They said my account was simply past due with not special notes or information. I explained in detail the entire process going all the way back to XX/XX/XXXX and the representative said there were not notes to that effect on my account. After vehemently and repeatedly explaining that I should be on a Forbearance plan the representative finally admitted that they found notes to this effect on my account in the " Loss Mitigation '' notes section. From there they indicated that they would be able to place me on a COVID forbearance plan and they could make this retroactive back to XX/XX/XXXX. They said they would remove my late fees and recall the negative reporting to the credit agency on my account as well. This call concluded with me believing that I was reinstated on a COVID-19 Forbearance Plan as of XX/XX/XXXX and that all would be fine from here on out. 

Since then I have repeatedly received calls and letters from SWBC mortgage attempting to collect my late payments and assessing me further late fees. They indicate that I am now 2 months past due and they DO NOT have me enrolled on a Forbearance plan. Today I spent 2 hours on the phone with representative going over the entire process. According to her once my COVID-19 Forbearance was terminated in XX/XX/XXXX it closes out that option and I am no longer eligible to use COVID assistance. So their placing me on a forbearance plan without my consent in XX/XX/XXXX has now caused me to be 2-months behind without a means to provide me with assistance. Furthermore, they have continually provided me with false information that has caused me to believe that my account is under a forbearance, but it is not. I am now considered 2 months past due instead of 2 months on a forbearance plan and I'm being told there is no COVID-19 assistance available for me.

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