Consumer complaint received 2018-02-15
Company: NATIONSTAR MORTGAGE LLC
State: NJ
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
My problem is with Mr. Cooper ( formerly known as Nationstar ). 

I have been employed by XXXX XXXX XXXX for 19 years. I have lived in my home for over 18 years. Mr. Cooper has filed for Foreclosure and the date of the Sheriff sale is XX/XX/XXXX. I have already used my 2 statutory 14-day extensions. 

I purchased my home in XX/XX/XXXX as new construction. I refinanced my original loan with a 30-year mortgage with XXXX  XXXX XXXX ( XXXX ), for {$460000.00} @ 6 % fixed on XX/XX/XXXX. My wife had an affair and filed for divorce in XX/XX/XXXX. The Divorce was finalized on XX/XX/XXXX. I retained ownership of the house and my ex-wife signed a Quit Deed as part of the Divorce Agreement. One stipulation in the Divorce was that I had to remove her from the mortgage. I began trying to remove her from the mortgage with XXXX   immediately with no success. 

I had never been late with any payments until around XX/XX/XXXX. A large portion of my income is commission based. My income was substantially lower due to loss of ex-wife 's income, lower monthly commissions from XX/XX/XXXX to XX/XX/XXXX ( over {$1000.00} - {$2000.00} ), and increased expenses due to Alimony/Child Support of {$3000.00} per month. 

I tried lowering my monthly expenses. At the time I also had a HEL for $ XXXX, a HELOC of $ XXXX, and credit card debt of approximately $ XXXX. I made arrangements with XXXX to settle the HELOC for $ XXXX in cash, which I did. However, they would not execute the refinancing of my HEL as agreed because the 2 departments within XXXX would not work together. This forced me to file for Ch XXXX bankruptcy on XX/XX/XXXX. I bring up this history because I have always taken responsibility for this financial situation and tried to do the right thing - or else I would not have wasted the $ XXXX in cash to settle a debt that could have been part of the bankruptcy. 

The bankruptcy included accrued mortgage interest from Nationstar of {$18000.00}. My Ch XXXX payment was {$1000.00} per month and changed to {$1600.00} over the last 6 months of the bankruptcy. I made the last bankruptcy payment in XX/XX/XXXX ( a month early ) in order to hasten the discharge so I could better address my mortgage situation. The bankruptcy was discharged XX/XX/XXXX. 
My loan was sold to Nationstar on XX/XX/XXXX ( while I was in bankruptcy ). Not sure what transpired, but the loan was assigned to XXXX XXXX on XX/XX/XXXX. Since the divorce I have engaged 3 attorneys, used XXXX and most recently the XXXX XXXX XXXX to help support my efforts to obtain a modification with the various lenders. 

Most of the results were that I made too much money and did not qualify. Unfortunately, the HAMP program recognized Divorce as a hardship but did not consider Alimony/Child Support payments in the Income/Need calculations. 

My specific complaints are with the following items : 1. The loan payoff was {$580000.00} as of XX/XX/XXXX. I am certain this has increased due to interest and legal fees. Principal is currently {$410000.00} and accrued Escrow is {$43000.00}. I don't understand how interest was allowed to accrue and was not considered in the 5 years during bankruptcy. I was not allowed to make any additional creditor payments except as authorized by the trustee. Not to mention that I could not afford the mortgage payment along with my bankruptcy payment, Alimony/Child Support, car payment, and household expenses. 
Issue : Accrued Interest during bankruptcy at 6 % seems unfair 2. In XX/XX/XXXX I was finally offered a HAMP modification. The modification included lowering the interest rate from 6 % to 3 %, deferring about $ 50K interest free and recasting the past due amount into a new 40 year payment. As part of the application I requested a reduction in the amount owed - to lower the accrued interest based on the 3 % rate vs 6 %. Would have made the total amount due closer to the market value of the home. I also stipulated that I needed the modification to remove my ex-wife from the mortgage. I made the 3 trial payments on time. However, at the end of the trial I received paperwork to finalize the modification. I was more than happy to sign and end this nightmare but it required my ex-wife to sign which she would not do. I spoke to Mr. Cooper, as well as having my attorney speak to them, and could not resolve the issue. I made 2 additional payments but was then told the account was not eligible to pay. 
Issue : Requiring ex-wife to sign modification after being divorced 5 1/2 years was unfair. 

3. I applied for a new modification again XX/XX/XXXX which was denied. I made another modification request on XX/XX/XXXX. The XX/XX/XXXX request was not reviewed by Mr. Cooper because they require 37 days prior to Foreclosure sale date. I requested and was approved for two fourteen-day extensions by the County Sheriff 's office. I notified Mr Cooper that I had received a verbal commitment of the extension on XX/XX/XXXX. The letter was supposed to be mailed to myself and Mr. Cooper 's attorney on Wednesday, XX/XX/XXXX. There were multiple delays getting the letter from the sheriff 's office. I finally received the letters and sent to Mr. Cooper 's attorney on Thursday XX/XX/XXXX - they updated the sale date ( XX/XX/XXXX ) on XX/XX/XXXX. XXXX XXXX XXXX rep found out yesterday that they would not review the modification request because as of XX/XX/XXXX they did not have 37 days. This seems incredibly petty since they had a verbal from me 10 days earlier, they could have called the Sheriff 's office to confirm, and they had 33 days as of XX/XX/XXXX. 
Issue : Not reviewing modification request over a few days technicality is unfair. 

I have joint custody of my children who are XXXX and XXXX. They were both born in this house. My fiance is also wanting to move in with her XXXX children. My alimony ends on XX/XX/XXXX - only 3 more payments. My current monthly income is {$16000.00}. I am due for my annual raise XX/XX/XXXX and I am up for a promotion this XX/XX/XXXX. My fiance would be willing to co-sign a modification in place of my ex-wife ; she makes an additional {$4000.00} per month. I have no other monthly debt besides a car lease, house expenses and child support of {$730.00}. 

I am trying to raise some additional cash if that would make a difference. I can also afford a payment and would be willing to accept a modification based on a 30-year loan. My financial crisis is completely over. It makes no sense that there is no way to get help to retain my home. I can completely afford a mortgage payment now and I would never be late again. Please HELP! I am open to any suggestions possible.

Company response to consumer: Closed with explanation