Consumer complaint received 2021-12-22
Company: Mr. Cooper Group Inc.
State: NY
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Incorrect information on your report
Sub-issue: Account status incorrect

Complaint:
Mr. Cooper was the service provider of my mortgage until XX/XX/XXXX. While at Mr. Cooper, I was in an active COVID 19 forbearance program that began in XX/XX/XXXX, and it was still active when my loan was transferred in XX/XX/XXXX. During the Covid months, my forbearance got extended before each deadline by way of me calling Mr. Cooper directly and speaking to a representative over the phone who would update records on their end. I rarely received documentation noting that any extension was made but I felt secure as there was never any confusion about my forbearance when I would call Mr. Cooper to extend it. In fact, before my loan was transferred, I was notified about it via mail, and I subsequently called Mr. Cooper in XX/XX/XXXX. I spoke to a representative over the phone who assured me that the new company would maintain my forbearance status or honor the pending modification agreement should it be offered before the transfer. However, the loan was transfer before Mr. Cooper could complete their review for a modification agreement and even worse the new servicing provider did not recognize my forbearance status and thus reported me as being 180 days late on my mortgage. When I spoke to representatives from the new service provider on Thursday, XX/XX/XXXX, they went through the documentation that MR Cooper had provided them regarding my loan and there was nothing in it that clearly stated that I was in an active COVID forbearance program when the loan was being transferred. This might be the source of the confusion. By Mr. Cooper not creating documentation showing that my Forbearance was extended which would have eventually been shared with a new service provider but instead only recording that important information in their internal systems, apparently created this gap in communication between the 2 companies. When I spoke to a representative from Mr. Cooper named XXXX or XXXX on Thursday, XX/XX/XXXX, I explained to her what my issue was, and she also went through the documentation she had on file for but had to review her internal notes to see that my forbearance ended with them on XX/XX/XXXX. When I reminded her that my loan was transferred to another company on XX/XX/XXXX, she seemed to understand ( at that point ) why my forbearance ended with them on XX/XX/XXXX. I reiterated several times what my issue was, which was that my forbearance was not communicated to the new service provider but all she could seem to do was repeat to me what XXXX XXXX process was for transferring loans. I then asked for my call to be escalated and when it was escalated, I spoke to a man named XXXX or XXXX. I explained to him what my issue was but just like XXXX, he kept repeating Mr. Coopers system for transferring loans and did not recognize that there was an issue in that process as the new company did not receive my forbearance status from them. He did not care to investigate or try to understand my issue as he rudely mentioned more than once that I was no longer a customer of Mr. Cooper, so my issue was not their concern even though, Mr. Cooper is the cause of issue. 

As a result of this gap in communication created by Mr. Cooper, the new service company reported me as 180 days late on my mortgage and now I have damages. My credit score dropped XXXX points during the time I was seeking loans to help cover costs and losses generated during the pandemic.

Company response to consumer: Closed with explanation