Consumer complaint received 2021-05-25
Company: Ocwen Financial Corporation
State: CO
Product: Mortgage
Sub-product: Reverse mortgage
Issue: Trouble during payment process

Complaint:
XX/XX/2020 XXXX XXXX XXXX signed paperwork for a reverse mortgage through PHH Mortgage Corporation. She received {$10000.00} on XX/XX/2020. 
XX/XX/XXXX, her body was found and she was deceased. 

I was unaware of a reverse mortgage, Residing, in another state so I was contacted by the coroners office to claim her belongings. upon arriving two days later, I sticker was placed on the front door just under the coroners sticker, stating the locks would be changed and no one could rent or purchase the home. contacted the number of the collection company for further details. Since I had no knowledge of this, I was unable to obtain information. 

Off the bat I was asked what I did with the money, the search of her records began. 
the prior week had been 116 degrees. Mom 's Air conditioning unit had leaked Freon, hence, her XXXX XXXX XXXX XXXX. 

A list was given to fill out to receive more information, Death certificate, fill out a letter of intent. There was no certificate at that time, I was not going to sign anything, considering we were in the middle of a pandemic and my state had shelter in place orders. 

They were notified of an impending probate, so they let me know that I bought myself some time. Probate was released XX/XX/2020. An emeil was sent to request a payoff for this second account for a reverse mortgage, was not aware of the first one taken out as well. In my search of her records, Bank accounts were located, she did not touch the money she was going to use to payoff her brand new air conditioning unit with the money she received. Not knowing what I am looking at when the reply arrives, I hit the floor ... at that time it was XXXX.. since then they have tacked on fees and surcharges for someone to check on the property each month and it has grown. 

her first reverse mortgage was paid off XX/XX/2020. 
I have absolutely no knowledge of how this works so, it did surprise me that the month of XXXX she had two open at the same time.

I did receive an annual statement and that stated that the balance owed was {$45000.00} payable within 10 days ...

If she only took {$10000.00}, only had the loan for two months and I would love to return what she drew on and have them release her home from a lien and me moving forward from this catastrophe. I have no source of income, my husband was XXXX XXXX  as a XXXX  in the XXXX XXXX XXXX XXXX, I was employed by him as the XXXX XXXX. That tanked two years ago. We are truly struggling, all I could do is reach out, to a third party since they require a letter of intent be signed. 

Please look into this matter, I am petrified of losing her home as well as mine. I was hoping to rent it out for some income, the stickers that are placed on the property are a very good deterrent. Also, I would like to add, there information was given to my counselors handling the probate which started in XXXX of XXXX No response, I would think that information would be submitted instead of being placed on the property. My address was given, phone number. Not sure how long this will continue if no other agency steps in.

Company response to consumer: Closed with explanation