Consumer complaint received 2019-11-08
Company: LoanCare, LLC
State: NY
Product: Mortgage
Sub-product: FHA mortgage
Issue: Struggling to pay mortgage

Complaint:
My loan is currently in active foreclosure due to the negligence of several collection representatives with Loancare. On XX/XX/XXXX, I mailed in a loss mitigation application along with a payment of {$1000.00}. My payment was posted and applied to XX/XX/XXXX, so I reasonably assumed that my loss mitigation documentation was received and processing, since my check was received and deposited. I have sent Loancare a copy of the tracking information for the mail that was sent, along with a copy of the application. Then on XX/XX/XXXX I initiated an electronic payment from my XXXX XXXX Checking account for XX/XX/XXXX payment. I called on XX/XX/XXXX to confirm that the payment was received and I was told by a representative that the payment was there, but that it was being rejected because it was not enough. I told her I would wait for it to reach my bank. I inquired about my loss mitigation paperwork and she said she did not see it. When I called on XX/XX/XXXX to check the status of my payment, I spoke with a young woman who told me she did not see an electronic payment and that my paperwork was most likely shredded and that I should resubmit. I asked her if it was the company policy to shred misdirected mail, she said she didnt know and I should just resubmit the paperwork. I called back several times to look for my electronic payment and on XX/XX/XXXX I spoke with a very rude gentleman who also said he did not see the payment. He told me to email my bank statement to XXXX, which I later discovered was an invalid email address. On the same call, we contacted XXXX XXXX on a conference call and spoke with XXXX who advised that the payment was sent on XX/XX/XXXX and should have been received by Loancare by the time of the call. The gentleman said okay thank you and did not ask for a tracking number or anything. I interjected and asked XXXX for the tracking number and confirmation number so that I could have proof that the payment was sent to Loancare. She provided me with a confirmation # of XXXX and trace # XXXX. At that time, the gentleman told me I would be receiving my refund and nothing further was needed. Towards the end of the call, he read a note in his system that was posted at XXXX stating the payment would be rejected. The telephone call that I made to Loancare was at approximately XXXX XXXX and lasted over an hour. I asked him why he kept me on the pone for so long if there was already a note about my payment entered into the system. He ignored my question. I asked for a supervisor call back and never received it. I called back on XX/XX/XXXX, and spoke with several representatives that could not help, but only offer a supervisor call back which I never received. 
I called back on XX/XX/XXXX. I spoke with XXXX XXXX. She works in loss mitigation and told me she did not see the payment and advised me that my loan had just gone to foreclosure. She went further to advise me that if I had called yesterday ( which was a Sunday ) they could have offered me an in-house payment plan. I explained to her that no one ever mentioned an in-house plan as a step before foreclosure, and that I should be able to take advantage of it since all of the representatives that I spoke with were clearly negligent by not educating me about my options. In the midst of that, I had already resubmitted my 2nd loss mitigation application and was waiting for further instructions. Ms XXXX advised that she would document the call, but that should could not help me with a payment arrangement. She transferred me to Collections where I demanded to speak with a supervisor. I spoke with a young lady who said my payment was sent back to me and gave me the confirmation and tracking number that was given to me by XXXX XXXX. I explained to her that the numbers she gave me were not for the return of the money, and that whoever input the note did it incorrectly as several reps had tried giving me that same number and telling me it was for my payment being sent back to me. After waiting on hold for quite a while, I was transferred to a supervisor named XXXX on the west coast, agent ID XXXX. He listened to my concerns with perceived compassion and assured me that he would research the payment. He also gave me the confirmation that was listed in the notes, but it was the same confirmation number that was given to me by XXXX XXXX. He said he would research and follow up. 
I called back on XX/XX/XXXX and spoke with a rep that was able to instant message XXXX on the west coast. She relayed a message from him saying that the cashiers department needed proof of payment in writing. At that point I had become furious because 6 days were wasted. I could have requested that while I had the XXXX XXXX representative on the phone on XX/XX/XXXX. I became IRATE and was placed in the manager queue. A manager answered the phone and as I began to yell out of frustration, he disconnected the call. I called back and was finally able to speak to a manager in Loss Mitigation named XXXX. At that point I was severely stressed and hypertensive and needed to ask my XXXX year old daughter to get out of the car and go into XXXX so she would not have to see me having a nervous breakdown. XXXX was able to calm me down and told me that I can be placed on a payment arrangement where I would pay half of the past due ( 5 months ) and the remaining amount would be split up over 5 or 6 payments. She said I would need to do this through the Collections Department. I thanked XXXX for caring and helping me and told her I would call Collections the next day. 
On XX/XX/XXXX, I called Collections and asked for the payment plan and was told, very rudely, that XXXX was wrong. I explained that I was very frustrated with the handling of my situation by SEVERAL reps and that someone should be able to help me. The young lady came back to the phone and said her manager would make an exception and accept 4 payments by XX/XX/XXXX. I told her that I should be given what I was originally offered and she rudely told me we are making an exception for you because this is the first time this has happened. Her tone was rude and condescending so I asked for her manager. Unfortunately I was on my lunch break and could not hold because we have to punch in right at XXXX or face penalty points. I called back later that evening and demanded to speak with a Team Lead or manager in Loss Mitigation. I was able to reach XXXX who listened to me very attentively and agreed that XXXX was wrong, but said he would do what he could to help me. I told him I DO NOT WANT A MODIFICATION and I just needed time to get a lump sum together to get out of foreclosure. He gave me the email to request the reinstatement amount and suggested that I follow up with my bank for proof of payment of the {$1000.00} that was sent on XX/XX/XXXX. Because XXXX was able to listen to my concerns, I asked if he would ask someone to research ALL of my calls and review the timeline of events in an effort to offer some kind of consideration or discretion since I feel that Loancare was very negligent in presenting me pertinent information that could help to save my house. XXXX said he would review everything. 
Because this situation has caused me a great amount of stress, I waited 9 days to call back. I called back today and spoke with XXXX in Loss Mitigation. She said she would have XXXX call me back with the status of his research. I have not heard anything as of XXXX on XX/XX/XXXX, the writing of this letter. 
My loan is 5 months past due and I currently have 2 and a half payments that I can send in, but I need to be assured that they will process towards payments. 
Loancare has also told me that they dont take payments when a loan is this far behind, but if you review my account, you will see that they have. 
Loancare has not even investigated my original Loss Mitigation packet that was mailed in on XX/XX/XXXX. I have enclosed a copy of the receipt with tracking number that was sent to zip code XXXX and reported as received. I understand that the Loss Mitigation Packet was sent with the payment, but I find it very hard to believe that it is the companys policy to shred anything that is not a payment. 
I sent a complaint to Loancare several times between XXXX and now asking that they review EACH AND EVERY PHONE CALL so that corrective action can be taken immediately to help me save my home. Furthermore, I NEVER RECEIVED A BREACH LETTER FROM LOANCARE. 
I spoke with XXXX in Loss Mitigation on XX/XX/XXXX. He assured me that I was in good shape and that my account was being reviewed by the underwriter. After over a week without any communication from LoanCare, I called on Monday XX/XX/XXXX and was told by a representative that my Loss Mitigation Request was set up for trial payments in the amount of {$1000.00} for XX/XX/XXXX, XX/XX/XXXX, and XX/XX/XXXX. I was told that I would receive documentation by XXXX or XXXX in the next few days. On Wednesday XX/XX/XXXX, I called LoanCare and was told that I was denied. This is yet another instance of LoanCare giving me incorrect information, furthering my distress with this matter. 
I called XXXX for clarification, he said he would reach out to the underwriter and get back to. As of the date of this letters update ( XX/XX/XXXX ), I have not heard from XXXX. My account has now gone 6 months past due, and this could have been prevented at the 4 month mark. 
On Thursday XX/XX/XXXX, I received an email from Loancare that had been forward y an attorneys office indicating the payoff amount for my loan. However, I requested a REINSTATEMENT amount back on XX/XX/XXXX. In addition, the payoff letter expired XX/XX/XXXX, but I did not receive it until XX/XX/XXXX. Also, when I got home that night, I received a letter from LoanCare address to me and XXXX XXXX regarding a pre-foreclosure sale. I called LoanCare and spoke with XXXX and asked if there was any information in my file that LoanCare had received my complaint. XXXX indicated that I could call XXXX and file a complaint. I called that number and left a voicemail. 
On Friday XX/XX/XXXX, I called XXXX AFTER XXXX Eastern Time and the recording stated they were closed. The previous recording stated there hours were Monday through Friday XXXX to XXXX Eastern Time. I called Loancare and spoke with XXXX in Loss Mitigation who advised that I would get a supervisor call back the same day. I never received the call. 
LoanCare is NOT interested in me keeping my home, but only in taking it from me so they can profit. They have stalled, lied, miscommunicated and misrepresented information on NUMEROUS occasions throughout this ordeal which has caused me a significant amount of stress. I have called numerous times over the past 7 weeks and been given inaccurate information on numerous occasions. I have NEVER received a follow-up call from a supervisor and at this point need this situation ESCALATED to HIGH MANAGEMENT. 
THE BOTTOM LINE IS THIS : LOANCARES REPRESENTATIVES FAILED TO INFORM ME DURING SEVERAL PHONE CALLS IN THE IN THE MONTH OF XX/XX/XXXX THAT I COULD DO AN IN-HOUSE REPAYMENT PLAN AND I WAS TOLD ON XX/XX/XXXX THAT I WAS ONE DAY LATE AND MY HOME WAS SENT TO FORECLOSURE. IT IS BECAUSE OF LOANCARES NEGLIGENCE THAT MY HOME IS IN FORECLOSURE. I AM REQUESTING ALL TELEPHONE CALLS BE PULLED AND INVESTIGATED TO PROVE THAT LOANCARE IS AT FAULT FOR MY LAON REACHING THIS LEVEL. I HAVE 5 PAYMENTS THAT I CAN SEND IN BUT THEY ARE REFUSING AND DECIDED TO PLACE MY HOME IN FORECLOSURE SO THAT THEY CAN PROFIT FROM IT. 
PLEASE REVIEW THIS INFORMATION THOUROUGHLY SO THOSE RESPONSIBLE CAN BE HELD ACCOUNTABLE AND I CAN RESUME PAYMENTS ON MY MORTGAGE.

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