Consumer complaint received 2019-07-01
Company: LoanCare, LLC
State: VA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
My home mortgage loan, previously serviced by XXXX, and was transferred to LoanCare , LLC effective XX/XX/XXXX. I received notification from XXXX of this in a letter dated XX/XX/XXXX. The letter stated that " All payments made on or after XX/XX/XXXX should be sent to Loan Care LLC at  this address : XXXX XXXX XXXX, XXXX, PA XXXX ''. There was nothing in the letter referring to a new account number. 
As instructed, my XXXX payment was sent through my bank XXXX in the amount of {$1200.00} and was cleared through the bank on XX/XX/XXXX. This payment, although processed and cashed by LoanCare LLC, has never been applied to my account and I am getting letters and notifications that I am delinquent, which is not the case. I have been in regular communication with them since this came to my attention on XX/XX/XXXX ( see below for documentation of these calls. ) They have acknowledged verbally that the payment was misdirected and each time I speak to someone they say it will be resolved, yet it never is. In the meantime, I'm receiving mortgage payment assistance notices and mortgage modification notices from the mortgage company due to my " failure to meet obligations ''. In their books, the first payment is not there so each subsequent payment is applied as if it is a month late. I am quite concerned that, since the 60 day grace period post-transfer has expired, this will affect my credit score. I seem to be getting nowhere with the company, even bumping it up to supervisor level. 
Here is the record of my communication with LoanCare LLC : XX/XX/XXXX : Received first letter stating that my loan was overdue. I called and spoke with XXXX, who told me to email a bank statement showing the debit and sufficient funds in the account to cover. This was sent as directed to Payment Research@myloancare.com. I received an email back on the same day stating : We have received your inquiry and are assigning it to a representative for further review. Please note duplicate inquiries may prolong your time for resolution. To help identify your inquiry we have generated a reference/ticket number. Your reference/ticket number is [ number redacted ]. Please use this number in any further communication relating to your recently submitted email request. Please allow 2 business days for thorough research and resolution of your inquiry. 
I never got any further communication from them, despite saying to allow 2 business days for research. 

XX/XX/XXXX : After receiving another late letter dated XX/XX/XXXX, I called and spoke with XXXX. My XXXX payment cleared on XX/XX/XXXX, yet still showing that I was a month behind because my XXXX payment was still missing. 
After this, I received another delinquency notice, dated XX/XX/XXXX, the same date that my payment supposedly cleared. 

XX/XX/XXXX : Called LoanCare again, after receiving yet another delinquency notice dated XX/XX/XXXX. I dont have the name of the gentleman that I spoke with, but he looked into it and told me that the person that I spoke with last time applied my payment to the wrong account number. He said that the issue was now cleared up and my account would be shown up to date online by XX/XX/XXXX. 

XX/XX/XXXX : Received another notice of missed mortgage payment. Called LoanCare and spoke with XXXX. She told me that the XXXX payment was still not processed, so everything is showing as if it is a month late. I asked to speak to a supervisor and was told that no one was available but that one would call me that evening. 
Within an hour I did get a call from XXXX, a supervisor. He spent about 45 minutes on the phone with me, asking a lot of questions regarding current account number, past account number, ensuring check was sent to correct address ( it was ), etc. He said that he was able to locate the money under the old loan number and said Trust me we are on the right track and assured me that he would be able to take care of this. 

XX/XX/XXXX : Payment is still not reflected on account and I now have gotten a phone call asking me to call to discuss the " delinquency '' of my account. I called again and spoke with XXXX. She looked at notes and told me that it would be resolved and show up corrected on my account by XX/XX/XXXX ( today ). 

XX/XX/XXXX : I just checked my account and there has been no change ; the XXXX payment is still not reflected on the account. 

As you can see from above, I have been diligent in my attempts to resolve this error on the part of the mortgage company, not mine! and have been unable to do so. I am very concerned that my credit score will be affected by this ; LoanCare LLC ( via XXXX in the XX/XX/XXXX call ) told me that they can not help it - that they must report it to credit bureau, but he would make sure to put a note in the file to explain This is not good enough. I have proof of payment from my bank XXXX for XXXX, XXXX, and XXXX ( and, in the coming days, XXXX. ) I am not delinquent and LoanCare has cashed all of these payments but has not applied one. I have spent many hours on the phone ( plus just as long holding for a human being to speak with ) and I need to get this resolved. I have given LoanCare numerous  opportunities to fix this and they are unable to do so. I have paid my mortgage faithfully and on time for many, many years and have had previous mortgages transferred and have never had a problem. Please help me get this resolved before my credit takes a hit! Thank you!

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