Consumer complaint received 2021-03-28
Company: Mr. Cooper Group Inc.
Product: Debt collection
Sub-product: Mortgage debt
Issue: Written notification about debt
Sub-issue: Notification didn't disclose it was an attempt to collect a debt

Complaint:
We are writing to issue a formal complaint against Mr. Cooper We had two loans that Mr XXXXNationstar has been servicing : These were loans that led up to the financial crisis of XXXX. 

We faithfully paid these loans, even though they stretched us financially during the crisis and beyond We were able to modify these loans in XXXX of XXXX. 
There were a few months leading up to that point that we did not pay the loans. 
During this time of non-payment on our part, we worked diligently to modify our loans, finally having success in XXXX of XXXX. 

During this time of non-payment of our loans, we received constant phone calls and certified letters from their company, heres an example of the letters received by us : ( certified mail - could not post here ) After that point of modifying our loans, and consolidating ( or so we thought and were told by Mr Cooper ), we then received just 1 mortgage statement, one bill, never by mail, that we have faithfully paid because we love our home and plan to stay here. 

We were never contacted by Mr Cooper by phone, mail or email that the second loan did not make it into the modification. We never received a certified letter, which was their protocol just months before, as the certified letter above is an example of? And we never received a statement or bill for this second mortgage. 

In fact, in looking on the Mr. Cooper dashboard, which I dont regularly use, I now notice the second mortgage is still on there, but there are only 5 months of statements, 8 months after our loan modification. So no bills or statements 8 months after our modification, when our payment changed, with our loans consolidated with a new term and interest rate. 

Fast forward to today, when the loan has been sold multiple times, of which we were unaware, and the loan is now coming to maturity, we received a demand letter at the end of XXXX by XXXX, during a pandemic, and the loan comes to maturity at the beginning of XXXX, and not only do we owe the full principle, but fees and outstanding payments for the last 6 years. Again, we did not know this loan existed anymore, and never received a bill for it in all of 6 years, by any of the loan servicers. 

Instead, it seems they quietly pulled this from under the rug after our modification, and quietly sold it to assume no responsibility for XXXX contact on their part? 

We did everything we were supposed to do, and we were told that the loans were being consolidated, and that is why our mortgage went from XXXX to 40 years. 

When I called recently to talk to about this with Mr Cooper, I have been repeatedly told that its 100 % our fault, we should have known this, things like this happen all the time, and they dont have the loan anymore, so their hands are clean. 

We pay our bills. If we knew there was an outstanding bill, we would have paid it and been dealing with it. This is an extremely stressful situation as well as a financial hardship during this time. 

On the phone with XXXX of their employees, she told me that we had been getting regular monthly statements for this bill in the mail, until they sold it. WE DID NOT. And on the website dashboard for our accounting for this loan, there were no statements that appeared after 8 months of our modification. 

Now, during a pandemic, we are faced with a demand of a balloon payment or we could loose our home, and the full amount of a loan we have not paid in 6 years with the fees attached to that because we never received notice. We thought this was an outside scam for money at first, because we believed that with our modification, we had combined our loans, as the loan officers had told us we were doing. 

We followed all the protocols, and now are faced with a huge financial challenge. 

Now I understand that the loan was sold off to XXXX. Did Mr Cooper make a profit on that? 

We also had no communication with XXXX. They told us that they sent us XXXX letter when they sold it, and the letter stated the loan was being sold so we should keep paying it as we always did, that there was no action on our part. No red flag or reason to be concerned or even quite understand that there was a problem. We do not physically have this letter and do not recall receiving it, but this is something XXXX recently sent to me digitally as I was trying to figure out what was happening. 


Your loan will continue to be serviced by your current loan servicer, XXXX XXXX XXXX XXXX You should continue to make your payments just as you always have. 

We look forward to hearing back from you regarding this unfortunate situation. 

Sincerely,

Company response to consumer: Closed with explanation