Consumer complaint received 2017-11-20
Company: Ocwen Financial Corporation
State: SC
Product: Mortgage
Sub-product: FHA mortgage
Issue: Trouble during payment process

Complaint:
in XX/XX/XXXX my mortgage company told me I was " approved '' for a loan modification and asked if I was interested in XX/XX/XXXX we entered into a three month trial period for the modification. I was told if I made all three trial payments, my modification would be final and permanent and included ( 1 ) my loan would be considered current ; ( 2 ) principal reduction ; ( 3 ) interest reduction and fixed rate ; ( 4 ) other incentives for keeping the loan current. 

Relying on those promises I paid almost {$14000.00} to retrieve the property from foreclosure by the homeowner 's association ; pay all back taxes and HOA assessments, legal fees, etc., had the property cleaned and the debris that was there removed. I moved in during the first month of the trial period ( the day I received the key from the HOA, who had changed the locks when they foreclosed and took possession ). 

I made all trial payments and on XX/XX/XXXX, according to the mortgage company, " the HAMP Streamline modification was completed ... ''. I continued to make monthly payments every month, on time.
In late XX/XX/XXXX the mortgage company wrote to me claiming that they had made an error and that because the property was vacant, it did not qualify for the modification. I objected and appealed. ( 1 ) the property was not vacant, it is my primary residence as proved by driver 's license, electric bill and voter registration card provided ; and ( 2 ) if the mortgage servicer made an error, that was not my error, it is their error, and I should not be penalized. 

In XX/XX/XXXX with no warning or explanation, the mortgage servicer mailed a check to the property address, my residence, for almost {$6000.00}. No cover letter. No explanation. Just an check in an envelope. 

In XX/XX/XXXX the mortgage servicer hired someone to unlawfully break into my home and change my locks, with my possessions ( and pets ) inside. The locksmith posted a sign on the door stating that the property was in foreclosure ( which it was not ). He did have the presence of mind to realize it was a mistake and left his phone number so I could retrieve a key. My door is damaged. XXXX knows who has a key to my home. My deadbolt has been drilled out and does not work. I am completely vulnerable and the locksmith refuses to repair the door or replace my lock. This was clear trespassing and a violation of my privacy. 

In XX/XX/XXXX the loan was referred to an attorney for collection. Upon receipt of a demand letter I timely responded asking for all information relating to the debt, as is my right under the Fair Debt Collection Practices Act. I received no response from the attorney. 

In XX/XX/XXXX the attorney filed a foreclosure action and had me served on XX/XX/XXXX. 

I have continued to contest this action, object to the allegations, and they will not fix their mistake. The mortgage servicer acknowledged it was its error, and not mine, but refuses to reinstate the modification. By refunding my payments, and refusing to accept new payments, they threw me into default, it was not my fault. 

I was promised a modification, and relied on that promise to my great detriment ( nearly {$14000.00} in back taxes, back HOA fees, attorney fees, etc. ). My credit has been irreparably damaged. My reputation has been damaged. I am about to lose my home and I have done nothing wrong. All fees associated with collection, changing the lock, etc. are being charged to me, throwing me deeper in debt for something that is not my fault.

Company response to consumer: Closed with explanation