Consumer complaint received 2019-07-29
Company: LoanCare, LLC
State: VA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
Loancare LLC apparently had a policy change this spring that they did not notify me about, where they now only accept one payment a month. I had been making half payments every two weeks for over a year, so when this policy went into effect, it caused one of my half payments to be applied to my loan principal, and subsequently for my account to become delinquent. I noticed this XX/XX/2019 and it took six phone calls over six weeks to get this resolved on XX/XX/2019. 
Loancares phone system is always overloaded with higher than normal call volume, and wait times always seem to exceed an hour. The times I have opted to give them a phone number to call me back when the next agent is available, I have never received a call back. At this point, I estimate I have wasted around 12 hours on the phone dealing with payment issues, where Loancare has messed up either misapplying payments, or losing payments. 
I will definitely be monitoring my account each month from this point forward. Since I have not owned my home for very long ( 18 months ), I can not refinance at this point without raising my interest rate and payment, so this is not an option for me at this time to get away from Loancare. As soon as it makes sense financially, I will be refinancing. Here is a history of my issues/calls from spring/summer XXXX. 

XX/XX/XXXX call - the representative told me my XX/XX/XXXX half payment had been mis-applied directly to principal, and they would get it reversed to be applied to my payment. 

XX/XX/XXXX call - the representative told me their system changed and only accepts one payment a month now, and this is why my payment went directly to principal, and they would get the XX/XX/XXXX half payment reversed and applied to my payment. 

XX/XX/XXXX call - I called again because the payment had not been reversed. I was told the representative couldn't tell me why it had not been done yet, but they would get it done. 

XX/XX/XXXX call - I was told the matter would be escalated to a supervisor because this representative couldn't tell me why no one could get the payment reversed. I was told it would take 1 or 2 days  to get the payment reversed with the supervisor, and to call by XX/XX/XXXX if it had not been reversed. 

XX/XX/XXXX call - the representative said she could not escalate or help me, because it was already escalated to the supervisor level. I asked to have a supervisor call me on Monday XX/XX/XXXX, because every time I call, their phone system says they have high call volume, and wait times are greater than an hour. The representatives response to me was, " You got through pretty quick today, didn't you? '' That was completely unprofessional, and the supervisor never called. The payment was actually reversed on XX/XX/XXXX though. 

As of XX/XX/2019, my account still showed as past due, and my XX/XX/XXXX full payment had not posted as of XX/XX/XXXX. This electronic payment came out of my bank on XX/XX/2019, and was supposedly to LoanCare on XX/XX/XXXX. I have never had a payment take longer than 5 days to post, so I called them again, twice, on XX/XX/XXXX. Once again, the automated system said they have high call volume, and wait times exceed an hour. I put my number in for a call back each time, with no call. This isn't unexpected, because no one ever returned my calls when I was dealing with my first issue from XXXX to XX/XX/XXXX. 
I called promptly at XXXX on XX/XX/XXXX, and a representative picked up right away. I asked why my account still shows as past due, and she looked, and said I'm not past due. I asked why the mobile app and website shows me as past due, and she couldn't answer that question. I then asked if they had received my XX/XX/XXXX payment, and she said they have not. She told me to send proof of payment to their payment research department, so I did that and provided her the tracking number the system sent me. She then said the issue will be investigated and resolved by XX/XX/XXXX, and to call back if it has not been resolved. 

XX/XX/XXXX call I had a voicemail from Loancare, which said they were calling to touch bases with me. I called them back, and the representative said they were calling to let me know the misapplied funds had been credited to my account. I already knew this, but asked why the website and mobile app was still showing me as past due. The representative said it shouldnt be showing that, because I was not late at this point. I then asked if they had found the {$900.00} payment, and she said they had, and it was credited to my account. I checked the website and mobile app daily on XX/XX/XXXX, XXXX, and XXXX, with still no indication they had posted the {$900.00}, so I was set to call Loancare the morning of XX/XX/XXXX. 

XX/XX/XXXX my account was updated with the {$900.00} payment. 
However, I was given no explanation as to what had happened, so I made a document inquiry through the website on XX/XX/XXXX asking, I noticed a recent payment dispute was resolved, and I was wondering if I could get information as to what happened. My payment was " lost '' for a couple of weeks, and I would just like to know details about where the payment was, what may have happened, etc. I would also like to know if this could happen again in the future. The reference/ticket number is XXXX XX/XX/XXXX I received the following email, which does not address the lost payment issue referenced by the ticket ; but instead talks about the misapplication of funds yet again. It also addresses me as donotreply, which is very unprofessional and makes me think there is no attention to detail with this company. There are also grammatical errors in the response, further lowering my trust in this company. 

Reference number : XXXX Please use this ticket number in any correspondence with us. 
Subject : XXXX payment Dear donotreply, Thank you for contacting us. 
Attached is a copy of your account history. Please be advise part of your payment was misapplied to principal. We had to reverse the payment to apply it as a monthly payment. 
Please feel free to contact us if you have any additional questions. 
Sincerely, Customer Support XXXX XXXX XXXX XXXX XXXX, VA 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