Consumer complaint received 2022-03-10
Company: Freedom Mortgage Company
State: NC
Product: Credit reporting, credit repair services, or other personal consumer reports
Sub-product: Credit reporting
Issue: Incorrect information on your report
Sub-issue: Account information incorrect

Complaint:
While trying to pre-qualify for a new mortgage to purchase a home, I was advised by my mortgage broker that Freedom Mortgage, my previous mortgage company, reported late payments on my loan account for XXXX and XX/XX/XXXX. I contacted Freedom Mortgage in XX/XX/XXXX to have the incorrectly reported late payments removed. On XX/XX/XXXX, I received a letter from Freedom Mortgage confirming the incorrect reporting had been removed. In XX/XX/XXXX, I was advised by my mortgage broker that in removing the negative reporting for XXXX and XX/XX/XXXX, Freedom Mortgage reported a late payment for XX/XX/XXXX. I had paid the loan in full and closed the account on XX/XX/XXXX. I again contacted Freedom Mortgage about the incorrect reporting. On XX/XX/XXXX I received a letter from Freedom Mortgage stating the incorrect late payment for XX/XX/XXXX ( 8 months after the loan was paid in full ) was submitted to XXXX for removal on XX/XX/XXXX. On XX/XX/XXXX, I was advised by my mortgage broker that the XX/XX/XXXX late payment was still showing on my credit report and, as before, preventing me from pre-qualifying for a new mortgage to purchase a new home. I contacted Freedom Mortgage and was told that they would " look into it '' but it could be several days or longer for a resolution. I insisted that the matter be escalated due to preventing me from purchasing a new home. I was promised a callback by end of day on XX/XX/XXXX and did not receive one. I contacted XXXX to ask why the credit report had not been corrected when the correction was supposedly submitted by Freedom Mortgage on XX/XX/XXXX and I was told it could take " 30, 60 or 90 days '' to resolve. I inquired why they would report to my credit that a payment reported late 8 months after the loan closed would not have been flagged as incorrect in the first place. I was not given a satisfactory answer to that question. I asked how to get the issue resolved quickly to prevent further holding me up on qualifying on a new mortgage and was advised that I can " open a dispute that will take up to 30 days to resolve '' or I could " mail the letter received from Freedom Mortgage along with a copy of my Driver 's License and Social Security Card '' and they would try to correct it within XXXX business days from receipt of the mail ''. I stated that I would not put that much personal information into the postal system for fear of identity theft. I asked for other options to resolve the matter but was told there were no other options and that I would just have to wait it out. Again I asked why they could not correct the wrongful late payment reported since the account reports that it was paid in full 8 months prior and therefore they had participated in the violation of the Fair Credit Reporting Act. I was only told to open the dispute and wait the 30 days. I explained that I am unable to continue the search for my new home until I can get pre-qualified for the new mortgage and this is holding up that process. I again was told that there was nothing further that XXXX would do to assist. I requested the matter be escalated higher within XXXX and was told they would not do anything further.

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