Consumer complaint received 2019-01-13
Company: Ditech Financial LLC
State: MD
Product: Mortgage
Sub-product: FHA mortgage
Issue: Trouble during payment process

Complaint:
Complaint : Mortgage payment made to formal mortgage service provider, was not forwarded to current provider, nor returned to my bank account in accordance with the follow rule : Borrower Payments During Transfer of Servicing 12 CFR 1024.33 ( c ) During the 60-day period beginning on the date of transfer, no late fee or other penalty can be imposed on a borrower who has made a timely payment to the transferor servicer ( former servicer ). Additionally, if the transferor servicer ( former servicer ) receives any incorrect payments on or after the effective date of the transfer, the transferor servicer must either transfer the payment to the transferee servicer ( new servicer ) or return the payment and inform the payor of the proper recipient of the payment. 

On XX/XX/XXXX I received a mortgage statement from XXXX XXXX XXXX, requesting the usual mortgage payment for XX/XX/XXXX in the amount of {$1500.00}. ( Exh. A ) I was not delinquent in my payments, as evident in my payment history XX/XX/XXXX mortgage payment was satisfied as was all the previous months payments. ( Exh B ) I was not warned by Ditech, that they were transferring my mortgage services, and considering I did not receive notice 15 day prior to any transfer of service from Ditech pursuant 12 U.S. Code 2605 : I sent in my payment to Ditech, formally known as ( XXXX XXXX XXXX ) Mortgage Account Number : XXXX. On XX/XX/XXXX I scheduled an electronic payment from my bank XXXX XXXX XXXX to be delivered on XX/XX/XXXX. ( Exh. C ) On XX/XX/XXXX I received a mortgage statement from XXXX XXXX XXXX XXXX. ( XXXX XXXX. ), with all my information, which caused me to question just what was going on with my mortgage. ( Exh D. ) I called Ditech, and inquired about this discrepancy. Ditech confirmed that the mortgage service was transferred, and any questions should be directed to XXXX XXXX. I than asked what happen to my payment I made to Ditech for XX/XX/XXXX. mortgage? I was told that their record does show that the payment was made, and that it was forwarded to XXXX XXXX on XX/XX/XXXX. I then contacted ( XXXX XXXX ), and asked them, had they received the payment? I was informed that their records do not show any payment forwarded from Ditech, however, they would contact Ditech and if the payment was made they would update their records. They stated they would put in some sort of form of request for the payment from Ditech. 

On XX/XX/XXXX I received another statement XXXX dated XX/XX/XXXX showing a Past unpaid amount of {$1500.00} and a total amount due on XX/XX/XXXX of {$3100.00}. ( Exh E ) This is clearly an error or XXXX purposely did not record the payment they received from Ditech, or Ditech did not forward the payment. 

On XX/XX/XXXX ) contacted XXXX, and again inquired about the XXXX mortgage payment sent in to Ditech, which was transferred to XXXX on the XX/XX/XXXX. XXXX, stated there is no record of a transferred payment from Ditech, and I that I am delinquent in my payment. 

I asked XXXX customer service rep ( XXXX XXXX ) to hold on, while I call Ditech and conference them in, so we can clear this matter up. Ditech customer service rep. ( XXXX, operator XXXX ) informed XXXX, that their records show that my payment to them was received on XX/XX/XXXX and was forwarded to XXXX on XX/XX/XXXX. XXXX then said that they would file a Payment locator inquiry. Let me add : this entire exchange was recorded, by Ditech and XXXX. 

I was disconnect from Ditech, and I called them back, this time I spoke with a Ditech customer service rep named ( XXXX XXXX ) requested a confirmation and information that the payment was transferred to XXXX XXXX XXXX XXXX. on the date they claimed it was done. I was immediately placed on hold and transferred to a Ditech supervisor named XXXX XXXX, who claim now that she doesnt know if the payment was transferred, and have no idea when it would be transferred, naturally Im now upset, I was being purposely deceived and given the run around. 

It was now obvious that Ditech, had indeed receive the payment, but they did not forwarded it or returned it to the bank/my account. XX/XX/XXXX I sent Ditech a letter via fax and Priority mail, formally filing my complaint, and request that my XXXX. payment be forwarded to XXXX or return to my account. I provided them with proof of payment, as well as legal statues in reference to this matter. 

On XX/XX/XXXX I received a response from Ditech, which let me know they did not investigate my claim, the response made no sense ; they claim to have applied XX/XX/XXXX payment to XX/XX/XXXX payment. ( Exh. F ) I did not see how that could be possible, since my account was transferred before I made the payment, and they were not my service provider. Second, why would you apply a XX/XX/XXXX. payment to the previous month when XX/XX/XXXX payment was already paid? When I called them and asked about this discrepancy, they had no excuse and begin to focus on proof of payment and ask if I could provide them a front and back copy of the check I used for the payment. I informed them that the payment was made electronically ; I was then informed that I would have to have my bank provide the proof of payment. Even though I could not understand why they would need proof of payment when they already said that the payment was applied to XX/XX/XXXX payment, I did contact my bank, and explained my situation. 


XXXX XXXX XXXX credited my account for the amount in dispute, and decided to do an investigation in the belief that they made the error. ( Exh I ). When XXXX XXXX XXXX attempted to conduct their investigation they were denied access to my account, unless I give authorization, to which I did in writing and via phone conference. ( Exh J ) Finally XXXX XXXX   XXXX provided Ditech with the proof they requested, and on XX/XX/XXXX, I received a letter from Ditech claiming they are once again investigating. I fear now that Ditech will continue to stall and give me the run around, as theyve been doing this entire time. ( Exh K ) My bank found that they did not do anything wrong and their investigation found that Ditech did in fact receive the {$1500.00} XXXX payment ; therefore they will debit my account for that amount. ( Exh L ). I used the money my bank credited to my account to pay my mortgage up to date, and now with my mortgage going up and the bank about to debit my account, I will be forced to be late on my mortgage because to Ditech deception, incompetence, or failure to take my complaint seriously. 
Ditech has violated several rules : pursuant 12 U.S. Code 2605 : ( b ) Notice by transferor of loan servicing at time of transfer ( 1 ) Notice requirement Each servicer of any federally related mortgage loan shall notify the borrower in writing of any assignment, sale, or transfer of the servicing of the loan to any other person.

( 2 ) Time of notice ( A ) In general Except as provided under subparagraphs ( B ) and ( C ), the notice required under paragraph ( 1 ) shall be made to the borrower not less than 15 days before the effective date of transfer of the servicing of the mortgage loan ( with respect to which such notice is made ). 

( c ) Notice by transferee of loan servicing at time of transfer ( 1 ) Notice requirement Each transferee servicer to whom the servicing of any federally related mortgage loan is assigned, sold, or transferred shall notify the borrower of any such assignment, sale, or transfer. 

12 CFR 1024.33 ( c ) During the 60-day period beginning on the date of transfer, no late fee or other penalty can be imposed on a borrower who has made a timely payment to the transferor servicer ( former servicer ). Additionally, if the transferor servicer ( former servicer ) receives any incorrect payments on or after the effective date of the transfer, the transferor servicer must either transfer the payment to the transferee servicer ( new servicer ) or return the payment and inform the payor of the proper recipient of the payment. 


Ditech is causing me undue hardship, because of their failure to properly investigate my claim and follow the rules according to Mortgage Servicing Rules Under the Real Estate Settlement Procedures Act. 
I was legally advised that I should exhaust all other options to the resolve this matter, before seeking legal counsel. I believe Ive done all I can do, Ive file a complaint with XXXX XXXX and Ive made numerous attempts to reason with Ditech, I sent them all the necessary document to resolve this very simple matter, yet Ditech refuse to return my payment. I truly hope you can help me.

Company public response: Company believes the complaint is the result of a misunderstanding
Company response to consumer: Closed with explanation