Consumer complaint received 2019-12-17
Company: Mr. Cooper Group Inc.
State: FL
Product: Mortgage
Sub-product: FHA mortgage
Issue: Trouble during payment process

Complaint:
On XX/XX/2018, my home was damaged by Hurricane Michael. We received our claim check from our insurance company, but it was half of the money we needed to fix the house because they severly underestimated the amount of money needed to fix each item on our adjuster 's worksheet. In XX/XX/2018, we hired a public adjuster to get us additional monies so that we could fix the house properly. In the meantime, Mr. Cooper signed and released back to us {$30000.00} which we spent appropiately to fix the house, plus additional monies out of pocket while we waited for any extra money we may receive from the hiring of the public adjuster with the intention of using that money to finish repairing our home and then reimbursing ourselves if we had anything left over. After nearly a year, we did receive our final settlement check for {$40000.00} from our insurance company, and this is where the problems started. Mr. Cooper refused to release any money to us until we sent them over specific paperwork relating to entering into a contract with a contractor to fix the house, which we did. Once they received that paperwork, they told us that they needed additional paperwork including paid in full receipts for the previous work done on our home and a 50 % complete inspection. We provided them all of this but they still refuse to release to us any money. They are stating that they need an updated adjuster 's worksheet with totals that match the amount of money we recieved. I have explained to them several times that the insurance company told us they do not provide an updated worksheet in situations like this. The items on the orginal worksheet are still the things that need to be repaired, we simply have more money now in which to accomplish that. Despite the fact that they have paid receipts that show we used all of the other money to fix the house and an inspection that put us at 85 % complete ( some of which we paid for out of pocket, creating a financial hardship for us because it has become very difficult to make the credit card payments every month, on top of owing the portion of the check that should go to the public adjuster for which I have written a check for that I can not cover ), and Mr. Cooper having two adjuster 's worksheet on file for us, the orginal and an updated one that shows the new totals of what it actually took to repairs items instead of how much the insurance company estimated it would cost, and being entered into a binding contract to have the last 15 % of the house repaired, we can not get any money to pay our contractor. The people who work for Mr. Cooper are all incompetent. One person calls us one day and tells us one thing and someone else calls us the next and tells us the complete opposite. They also never have any record of when we call them supposedly. I believe at this point it is either retaliation for the previous two complaints I filed against them or the company wants to hang onto our money as long as possible to receive interest from the check. Or because they know I intend to refinance the house as soon as it is repaired due to how horribly we have been treated even though we are a " top tier customer '' and pay our bill on time every month. I do not understand how they can get away with all the of deceptive business pactices ( telling us one thing and then telling us something different, while their website say the complete opposite ) and I believe that they need to be investigated. I know I am not the only person they are doing this to. I beginning to believe that my only recourse may be to allow them to take our monthly mortgage payments out of the insurance proceeds while I use my money to repair the home which will take significately longer and runs the risk of our house becoming even more damaged than it already is. I do not think this complaint will actually accomplish anything since the previous two did  not, but I want to have my grevances on file somewhere because Mr. Cooper keeps convientently " misplacing '' the others, or writing " resolution letters '' that do not actually resolve anything.

Company response to consumer: Closed with explanation