Consumer complaint received 2022-10-17
Company: Freedom Mortgage Company
State: GA
Product: Mortgage
Sub-product: FHA mortgage
Issue: Closing on a mortgage

Complaint:
We closed on a property XX/XX/XXXX, we sold our home. Before closing we were having trouble getting accurate payoff amounts from Freedom Mortgage company. We previously had a HUD lien  on the property for {$66000.00}, and one for {$180.00}. XXXX told us that when we pay them {$210000.00}, we had to pay HUD ourselves an additional {$66000.00}. We went back and forth with them because we thought they had to pay HUD what we owe from the mortgage payoff of {$210000.00}. We called them all day trying to get clarity all the way until the day of closing. A rep name XXXX in loss mitigation told us we were correct. They would pay HUD from the {$210000.00}. 

Our closing XXXX XXXX has held {$120000.00} in escrow because of lien. They told us we would receive our money the following week. 3 weeks later XXXX has not paid HUD the {$66000.00}. They sent us a check for {$180.00} to cover 1 HUD lien. 

As a result, we had to move into a rental, we couldnt close on the new home because we didnt have these funds. 

Freedom mortgage has been given us the run around. We called them a week ago and explained to them what their representative XXXX said. They had to investigate and listen to the tape. They did hear her explain this to us and said hey you were right we heard the tape. But they are saying she misinformed us. 

We contacted HUD again today and they informed us the process of this transaction. They explained that our mortgage company ( Freedom Mortgage ) reached out to them on our behalf and completed a partial claim for a loan modification on our property in XXXX. HUD said they sent Freedom Mortgage {$66000.00}. XXXX said they did not receive money from HUD. If so, how were we able to remain in our property and why wasnt this payment applied to my payment history? 

I contacted Freedom after my call with HUD and explained all of my conversation that occurred with HUD. They said a supervisor would have to help me and that would take another 24-48 hours. We have requested a complete payment history on our account numerous times, even a week before closing, and they tell us it will take 24-48 hours to receive via email. We have never received it. 

XXXX in customer relations calls us today ( XX/XX/XXXX ) to get more information as he will investigate but he even said if XXXX did not receive the money he didnt know how we wouldve remained in the property. But he would send us the complete payment history, and look into this further, along with audio recordings and get back with us in a week? 

Now, we dont have access to our money from XXXX. Its a constant runaround, an average 90 min calls and they havent paid HUD. They took the entire principal amount, gave us a refund for one HUD lien and claimed it was for over payment. Is what the description stated, but not for the first HUD lien of {$66000.00} as they state they never received any money. 

HUD said they are investigating this as well and will contact me. 

XX/XX/XXXX, we contacted HUD and verified the partial was sent to Freedom Mortgage. We called Freedom mortgage back to follow up with XXXX, he has not returned our call, reps are reading notes, not explaining to us why freedom send money back to us for one HUD lien for ( {$180.00} ) but not the refund for {$66000.00}. They insisted they would not be sending us {$66000.00}. 

The rep even stated the whole transaction was weird or didnt make sense. Freedom mortgage failed to give correct payoff amount during the closing. 

They failed to submit to us a complete payment or transaction history as requested four times. 

The closing was very confusing, misinformation was given, our money was held in escrow for weeks. 

We have not been given support nor answers to how the money from HUD was applied to our loan. 

We need answers.

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