Consumer complaint received 2019-05-17
Company: LoanCare, LLC
State: WA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
XXXX XXXX/LoanCare 's statement dated XX/XX/XXXX showed that we owed a payment of {$3300.00}, due XX/XX/XXXX. The Explanation of Amount Due showed principal in the amount of {$660.00}, interest in the amount of {$1900.00}, escrow in the amount of {$790.00} for a total Regular Monthly Payment of {$3300.00}. There was also an additional {$20.00} fee on the Total Fees and Charges line. This comes to a total of {$3300.00}. I sent a payment ( my check number XXXX ) in the amount of {$16000.00} on XX/XX/XXXX. In addition to the {$3300.00} detailed above, I included an additional principal payment of {$13000.00}. This additional principal payment was noted on the payment coupon. According to LoanCare 's online record, this check was received XX/XX/XXXX. Instead of correctly crediting the loan in the amounts shown above, on XX/XX/XXXX the online record shows LoanCare applied the payment as follows : - For a payment due XX/XX/XXXX, {$660.00} was applied to principal, {$1900.00} was applied to interest, {$790.00} was applied to escrow. LoanCare erroneously did not apply {$20.00} for the fee on the statement dated XX/XX/XXXX and due XX/XX/XXXX. 
- For a payment due XX/XX/XXXX, {$660.00} was applied to principal, {$1900.00} was applied to interest, {$790.00} was applied to escrow. This was an error made by LoanCare. LoanCare had not sent a statement for the payment due XX/XX/XXXX. {$20.00} of this should have been applied to the fee assessed by LoanCare on the XX/XX/XXXX statement and the rest applied as an additional principal payment. 
- A principal curtailment of {$10000.00} was applied to the account. As noted on the payment coupon that was included in with the payment I sent XXXX XXXX XXXX/LoanCare, the additional principal that should have been applied was {$13000.00} Upon receiving a statement from LoanCare dated XX/XX/XXXX, due XX/XX/XXXX, I discovered LoanCare 's misapplication of my payment. I called LoanCare customer service on XX/XX/XXXX. I spoke with XXXX, LoanCare customer service representative number XXXX. We reviewed the errors made by LoanCare outlined above. She agreed that the amount credited for the payment due XX/XX/XXXX should be reversed and credited as an additional principal payment as had been indicated on the payment coupon, and that the {$20.00} fee would be correctly credited. Any stated that this would be done within 5 business days ( XX/XX/XXXX ). 

I further explained that since there would now be a payment due XX/XX/XXXX I would mail that regular payment of {$3300.00} using the payment coupon included with their most recent statement. I made that payment by my check number XXXX on XX/XX/XXXX. XXXX stated that this was fine and that the payment would be processed correctly as the payment due on XX/XX/XXXX. 

LoanCare, as usual, did not process the corrections they commited to complete. As shown on LoanCare 's statement dated XX/XX/XXXX, due XX/XX/XXXX, shows LoanCare further complicated problems by taking the payment that I sent on XX/XX/XXXX and applying it incorrectly. Instead of treating it as a regular payment, they took the {$20.00} fee from that payment and applied the remaining {$3300.00} an additional principal payment. 

In summary, LoanCare needs to correctly apply the payments I have made since XX/XX/XXXX. 

-My check # XXXX dated XX/XX/XXXX in the amount of {$16000.00} should have been applied as shown on XXXX XXXX XXXX 's statement dated XX/XX/XXXX and due XX/XX/XXXX : - principal {$660.00} - interest {$1900.00} - escrow {$790.00} - fee {$20.00} - additional principal payment {$13000.00} -My check # XXXX for a regular payment in the amount of {$3300.00}. The correct breakdown of principal, interest, and escrow allocation for this payment is dependent on the correct application of the payment above. 
-LoanCare needs to send me a statement showing the correct application of these payments, as well as a correct statement for my next payment due on XX/XX/XXXX. 

Since LoanCare took over servicing our loan in XX/XX/XXXX, LoanCare has processed only one of our payments correctly the first time. They are exhausting to work with.

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