Consumer complaint received 2022-02-16
Company: Freedom Mortgage Company
State: WA
Product: Mortgage
Sub-product: VA mortgage
Issue: Trouble during payment process

Complaint:
Had numerous conversations with Freedom Mortgage during the Forbearance period to ensure the status of the account. Was told many times to disregard billing statements that were sent in the mail as it was automatically generated and that after forbearance period had ended that the mortgage would reset to the previous status. 

Received a letter on XX/XX/XXXX. XXXX, with notification that the Forbearance Plan was expiring soon. 
XXXX, XXXX, XXXX, was sent letter again state that the Forbearance Plan was ending soon, and that we were approved for a XXXX XXXX XXXX to modify your mortgage payment. The terms were that during the Trial Period we would be required to make XXXX monthly payments in the amount of {$1100.00}. It then stated that, If you prefer not to modify your mortgage loan to a XXXX fixed rate loan, please contact us immediately. 
I called Freedom Mortgage shortly after receiving this letter and was assured that the mortgage plan would automatically reset to it previous status, and to disregard as many of the letters are boiler plate letters. But they must receive every payment at the first of the month. Was also told that it would be ok if we sent payment at anytime with a week after it was due. In addition, it was explained again, that the mortgage would return to the prior status before forbearance was entered. 
First payment was scheduled for XX/XX/XXXX. The payment was made on that date. A letter from Freedom Mortgage, dated XX/XX/XXXX, was received confirming receipt of the transaction. 
On XX/XX/XXXX, received a letter from Freedom Mortgage stating that they had not received the required document of the title policy for the property, in which they acknowledged that acquisition of this document was outside our control. 
XX/XX/XXXX, a letter from Freedom Mortgage was sent stating, they had made an inadvertent error in reporting the status of your mortgage loan account to the credit reporting agencies for the month of XX/XX/XXXX. 
The second payment was due XX/XX/XXXX. Freedom Mortgage was called, XX/XX/XXXX, to make the payment, yet was charged {$1200.00}, which exceeded the amount stated in the XXXX XXXX requirements. I received a letter from Freedom Mortgage dated XX/XX/XXXX affirming that the payment was received in that amount, upon my request. 
A package from Freedom Mortgage dated XX/XX/XXXX, XXXX via XXXX . The package stated that it contained, XXXX original copies of a XXXX XXXX XXXX XXXX and one copy for your records. It came to our attention that the copy for our records did not have a complete set of copies. 
The letter also stated, Failure to execute and return both original copies of these documents within XXXX calendar days from receipt of this package will result in this offer being considered rejected by you. As a result, this offer will be deemed null and void and you will need to reapply for assistance to determine if you still qualify.. In addition to the documents also include your final Trial Period Plan payment in certified funds, in the amount of {$960.00}. It included, The Loan Modification Agreement changes the monthly payment to a total of {$1100.00} due XXXX XXXX, XXXX. 
At the conclusion of the letter received with the Loan Modification Agreement packet was the statement, Freedom Mortgage Corporation is a debt collector This packet also included a Checklist of Required Documents. 
Upon receiving this packet. I called Freedom Mortgage and explained to them that we did not agree with resetting the loan back to a new XXXX loan with an interest increase to 3.25 % from 2.8 %. I also expressed that this was not how the forbearance was presented when we entered. I was informed that this was not negotiable, and that the VA sets the rates. I said this is not what Freedom Mortgage presented the Forbearance during entry. I was told that there was no alternative but to reject and then they would re-review. I informed them that I wanted to reject the contract as they stated that, that was the only option that I had. 
I also asked for clarification about the certified funds of {$960.00} to ascertain if that was in addition the total due on XX/XX/XXXX. I was told that {$960.00} was not due, just the monthly mortgage amount. I also asked for clarity regarding the Checklist of Required Documents and was told that we could disregard it. 
On XX/XX/XXXX, I contacted Freedom Mortgage to check the status of the rejection and was told that it had not been entered. I then asked to speak to, supervisor due to inconsistent information being given to me about ignoring parts of the contract, no requirement for additional documents despite the Checklist of Required Documents, the inconsistencies of payments that were requested, and the additional certified payment, and that my rejection had not been entered and was told that they would put in a request, and one should call within XXXX hours. 
On XX/XX/XXXX, I called again to check on the status again, and to inquire as to why I was not contacted by a supervisor. I was told then that the rejection had not been entered. The call then dropped, and I received no call back despite my phone number being on file. 
Called again and was told that the inconsistencies was due to many of the employees were new and not properly trained. And was again informed that the rejection had not been entered. 
Called again and asked for the call to be escalated to someone in authority as the information that I kept getting was inconsistent with different people stating different things. Call was then escalated ; it was then confirmed that rejection was entered. I asked for them to send a letter confirming the status. Was informed then that they would need addition documents as requested I explained that this was not a new loan and I refused. Was informed that new paperwork would be mailed. Have received nothing expect a bill with the total amount due. 
It is my understanding that the CARES Act is supposed to give you the option of deferring the payment to the end of the life of the mortgage, not affect your credit score, and that they cant ask us to pay immediately. In addition, they assured us that entering forbearance would not alter the terms of the mortgage contract ; but would resume at the end of the forbearance period. 
Thankfully all phone calls were recorded for quality assurance.

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