Consumer complaint received 2021-05-20
Company: Freedom Mortgage Company
State: DE
Product: Credit reporting, credit repair services, or other personal consumer reports
Sub-product: Credit reporting
Issue: Incorrect information on your report
Sub-issue: Account status incorrect

Complaint:
Below is a copy of email sent to XXXX XXXX, CEO of Freedom Mortgage : Loan XXXX XXXX XXXX XXXX Fri, XXXX XXXX, XXXX ( 6 days ago ) to XXXX Good evening, Mr . XXXX, I am writing to you in the hope that perhaps you can help me rectify the terrible experience that I have had as a result of an error that was made in completing my mortgage streamline. As I wait on hold with your organization for more than one hour without any contact with a human being, I find it ironic that the hold message boasts of the stellar customer service and personal attention that I have yet to receive. 

I have had my mortgage with your organization for a few years now. I was contacted in XXXX by XXXX XXXX offering me a streamline rate reduction. I found her rather aggressive. My husband and I have been wanting to refinance later this year with a conventional loan and I was apprehensive to do a streamline as I was concerned that it might hinder or delay my ability to do so. XXXX assured me that while a conventional loan was a different product, it would not hinder my ability to refinance down the road. After careful consideration my husband and I agreed to the streamline. We completed the necessary applications and were contacted soon after that we would close later in XXXX. We were advised at that time that we should skip our XXXX payment in anticipation to close on XX/XX/XXXX. We were also told at that time that we would skip the XXXX payment as well and our next payment would be due XX/XX/XXXX. While I was skeptical, I confirmed with the loan officer that this was in fact the case in addition to speaking with another one of your representatives. They stated that had I made a payment in XXXX that it would change the structure of the loan amount and would also require me to bring cash to closing which we also did not want to do. We were pleased with the terms of this streamline and closed as planned on XX/XX/XXXX. It was a quick and easy process. As promised. I received my XXXX billing statement with the upcoming payment due to be paid on XXXX as expected. 

You can imagine my astonishment this morning when I received a notification from my credit monitoring service stating we had been reported delinquent for our XXXX payment. I am a XXXX XXXX who works full time and have done so throughout the pandemic. I have an impeccable payment history- even last year when my husband was laid off during the pandemic. I take my credit history very seriously and am very concerned that this negative mark has caused my score to plummet more than 70+ points. As you know, this can be the difference in a lot of money when measuring someone's creditworthiness. 

I immediately contacted your customer service department. The representative opened a ticket but it took over an hour for me after being on hold etc. Even then she could not guarantee me that my credit report would be corrected in an expedient manner. So I called back on my lunch break. I spent another hour plus on the phone. She was able to get someone by the name of XXXX XXXX on the phone who verbalized exactly what I had said all along that the XXXX and XXXX payments should not have been made. She could see that I closed on XX/XX/XXXX but for whatever reason Freedom Mortgage did not release the funds on my account until XX/XX/XXXX. She then stated that her area is unable to update the credit bureau XXXXnformation and transferred me to XXXX in service id XXXX. Iwas on the phone for more than two hours at this point. Still no resolution. She assured me that she would escalate my inquiry to a manager who would call me back by the end of the business day. That never happened. so now I am reaching out to you. Clearly, this error was made and was no fault of mine. I am requesting that my credit report be updated immediately to delete the derogatory information and written confirmation of such an update is sent to me via email and post mail. Again, my credit is very important to me and had I known that the stream line was going to be such a headache I never would have done it. I am aware that mistakes are made. The complete lack of accountability, sloppiness and failure to follow through with any sort of ownership that has taken place in this situation is infuriating and very disappointing. This is deceptive practice. 

I work very hard. In my line of work mistakes can be detrimental. I take pride in my work and take ownership for my actions. Please make this right, honor the terms of our loan agreement, and follow what your company said they would do and correct my credit report. I appreciate your time and attention in rectifying this matter. It should be noted that I have now been on hold for XXXX with no contact. Please right the wrong. 

Sincerly, XXXX XXXX XXXX XXXX XXXX XXXX XXXX, DE XXXX ***I was contacted on XX/XX/XXXX by XXXX XXXX XXXX XXXX the Freedom Mortgage XXXX Legal department XXXX Stating that the issue has been escalated to senior management. I followed up today ( XX/XX/XXXX ) and was told that the error in reporting was a direct result of en error in funding my loan late ( it should have been completed by XX/XX/XXXX but was delayed until XXXX which I am certain violates several federal banking regulations ). I was also told that while they plan to correct the error in credit reporting that it could take two months for that to happen. This is unacceptable. I know that they are able to submit a manual credit update to the credit reporting agencies so that the correction can be reflected expeditiously. This error is not only tarnishing my credit history but it is also costing me money as I have a major purchase to make for a new vehicle but can not do so until the delinquency that was erroneously reported has been corrected. 
I have in good faith, attempted to rectify this issue. The unfortunate nature of this matter is that there are likely many other consumers who have been negatively impacted by the sloppy business practices on the part of Freedom Mortgage, which is consistent with deceptive banking practices which is illegal. If this can not be rectified immediately I will have no choice but to pursue legal action and financial compensation against Freedom Mortgage. 
I thank you in advance for your assistance in getting this matter resolved. 

Best regards, XXXX XXXX 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