Consumer complaint received 2024-01-04
Company: LoanCare, LLC
State: OK
Product: Mortgage
Sub-product: FHA mortgage
Issue: Struggling to pay mortgage
Sub-issue: Trying to communicate with the company to fix an issue related to modification, forbearance, short sale, deed-in-lieu, bankruptcy, or foreclosure

Complaint:
In XXXX I applied for hardship assistance through Loancare LLC. We had a bad storm on XXXX and as a result we had tree damage, electric was out for 5 days, lost all of our food from refrigerator and freezer. We also had to purchase a generator and purchase a new refrigerator because it would no longer work when power came back. We exhausted all of our savings and fell behind. I applied to try to get a payment deferment for no longer than 3 months at the most. I had always kept my mortgage paid and was late only 1 time by 1 day. I received a letter that was dated XXXX for an XXXX trial payment plan agreement to begin on XXXX for 3 months at XXXX a month. My original payment was XXXX so this was only going to save us XXXX a month. After these were made they would make a decision on what to do next. I made a payment of XXXX for XXXX, XXXX for XXXX and XXXX for XXXX. During this time I made several calls to loancare to discuss what was happening and if everything was on track because I was receiving phone calls and letters saying I wasn't making payments and foreclosure could happen. Everyone I spoke with assured me this was normal and to ignore it. On XXXX I received and overnight Fed ex envelope with loan modification agreement and partial claim document dated XXXX offering a modification for XXXX monthly starting XXXX with 1st payment due XXXX. The terms of the modification was XXXX a month for 480 months at 7.375 % and total amount of partial claim to be XXXX. My original loan is 26 yrs 3.5 % at XXXX monthly. They required an answer within 15 days and if I rejected the offer advised I was not prevented from obtaining another loss mitigation option to bring account current. I immediately sent them a letter declining the offer on XXXX. I reached out several times and emailed and fax my declination multiple times with no response. I tried to access my account online and there was a notice that the site was down and only a recording on phone that no one can take payments. After further research online I discovered there had been a data breach on XXXX. My XXXX payment was approaching and had no idea what to do. I was never notified about the breach until today XXXX in a letter dated XXXX. After finally gaining access to my online account I have noticed all of my information is wrong. All of my documents about the loan modification are gone as if I never did it and it is showing I have not made payments since XX/XX/2023. In the payment history everything is messed up as well. I have tried to contact them with no luck. I received 3 letters dated XXXX today. One stating that I owe XXXX due by XXXX to avoid foreclosure procedings. One stating that I was not approved for modification and that I withdrew my application and owe XXXX to bring my account current and one about that data breach stating that my information has been accessed by a 3rd party. This has been the most stressful situation when all I needed was to just try to defer a couple of payments to try to get back on my feet. This is the worst company I have ever dealt with and I'm at a loss of what to do. It's absolutely ridiculous that they can do this to people. I have always paid my mortgage and the one time I truly needed help this happened. I am now in the process of trying to refinance with another company because of this but I can't get correct payment history and will probably be declined. I hope something can be done to make them responsible for all the stress they have caused me. Not only do I have to worry about my home being foreclosed upon and losing everything I have to also worry about the possibility of identity theft since my information was taken.

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