Consumer complaint received 2017-10-24
Company: Ditech Financial LLC
State: CA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage

Complaint:
We are extremely frustrated and dismayed by the ongoing delays and miscommunications that have occurred during the processing of our loan. We applied in XXXX of XXXX and the loan is still not closed. 

The first 3 month 's delay are understandable due to the time it took for XXXX XXXX XXXX to subordinate the 2nd Mortgage. But on XXXX XXXX, XXXX, we signed all of the Escrow papers to complete the loan, only to receive a call from our processor two days later that the Title Company had the wrong description of our property. It should have been listed as a " manufactured '' home, but Ditech had it listed as a " Single Family Home. '' We were told that an appraisal had to be done. This was completed on XXXX XXXX, XXXX. 

Not until the beginning of XXXX, did we learn that a whole new loan had to be drawn up as a 30 year fixed, with higher interest rates and higher monthly payments because the description of the home was officially changed to " manufactured '' home. 

I finally received a call XXXX XXXX saying that XXXX XXXX approved us for the loan, but that we can not close in XXXX because the Appraiser wrote the information on the wrong form!! He had to re-write the appraisal. He would not do this until we provided documentation from the XXXX XXXX XXXX Building department that the home was " manufactured. '' These were emailed to Ditech on XXXX XXXX, XXXX. 

To increase the injury, our variable loan rate increase, currently held with Ditech, kicked in as of the XXXX payment. So instead of our normal payment of {$2300.00}, we have to pay {$2400.00} every month that this process drags on. An increase of {$86.00} per month! We should be paying over {$400.00} less with the refinance! 

This additional financial burden should never have happened. We were told that the loan would close within 30 days after the Subordination was completed. Even with the title mistake, discovered at the end of XXXX, it should not have taken more than 60 days to complete this loan- double the time we were originally assured! It is now over 120 days ... with no end in sight. 

Lastly, the XXXX mortgage payment was considered late because their was confusion about the account number I provided being from a checking or savings account. Either way, it was from the same bank! The money was in my account. Because of a Ditech System issue, the account showed as non-existent. I followed up with a customer service representative in Ditech 's billing department. She resubmitted a correction request on or about XXXX XXXX, XXXX. I was informed on XXXX XXXX, XXXX that the XXXX payment now shows as " current, no correction needed. '' It is now XXXX XXXX, XXXX and the loan office shows our loan as, " cancelled. '' This whole process has been a nightmare for us. The title description of our property was the same in XXXX ( when we applied for the loan ) as it was on XXXX XXXX, XXXX ( when we closed. ) It is not our fault that Ditech personnel, the Escrow company and/or the Title company missed this. Yet we are the ones paying the price with higher interest rates/monthly payments, and now, possibly cancellation of the loan refinance all together! The XXXX payment should not have ever been an issue, because we should have closed in XXXX.

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