Consumer complaint received 2023-05-22
Company: MIDFIRST BANK
State: VA
Product: Mortgage
Sub-product: VA mortgage
Issue: Struggling to pay mortgage

Complaint:
Consumer Financial Protection Bureau Subject : Mortgage Forbearance Issues- Request for Assistance Dear Consumer Financial Protection Bureau XXXX XXXX XXXX XXXX, Washington XXXX DC XXXX Mortgage Assistance XXXX XXXX Mortgage Mortgage Assistance XXXX XXXX XXXX XXXX Oklahoma XXXX, OK XXXX XXXX XXXX XXXX : Current address information I dont have available. They went under a consolidation or merger. 


I hope this letter finds you well. I am writing to bring to your attention the challenges my family and I are facing regarding our mortgage forbearance. We have encountered a series of issues that have caused significant distress and financial strain, and we are seeking your assistance and guidance in resolving this matter. 
Our mortgage is a XXXX XXXX, and we were not adequately informed about its assumable status when we initially sought forbearance. Our forbearance was initiated with XXXX XXXX XXXX, but shortly after, our loan was sold to Midland Mortgage without our knowledge or consent. Unfortunately, this change in servicing has further complicated our situation. 
During the forbearance period, we diligently worked to stabilize our finances, with the intention of coming out of forbearance as soon as possible. However, due to the lack of communication between XXXX XXXX XXXX and Midland Mortgage, the latter was unaware of our efforts to exit forbearance. As a result, they are now proposing a loan modification that is simply unaffordable for us. 
We believe that we were not properly informed about the assumable status of our VA XXXX, which has significant implications for us as borrowers. Had we been aware of this, we would have explored alternative options that could have provided us with more flexibility and control over our mortgage situation. 
Given these circumstances, we kindly request your intervention to help us address the following concerns : XXXX. XXXX XXXX XXXX : We were not informed about the assumable status of our XXXX XXXXXXXX, which limits our ability to explore potential solutions such as finding a qualified buyer who could assume our mortgage. We would like clarification on why this information was not provided to us initially. 
XXXX. Communication Gap : There seems to be a significant breakdown in communication between Home Point Financial and Midland Mortgage, as the latter was unaware of our intention to exit forbearance. We request assistance in rectifying this situation and ensuring that all relevant parties are aware of our efforts and goals.

3. Affordable Loan Modification : The loan modification proposed by Midland Mortgage is beyond our financial means. We kindly ask for a comprehensive review of our financial situation to determine a more reasonable and sustainable modification that aligns with our income and obligations. 

OUR STORY : My father passed away in XX/XX/XXXX. My family and I were residing there then and continue to live there. I was made executor of his estate. We made on time payments beginning in XX/XX/XXXX. He was a XXXX  XXXX in the XXXX. He had a VA loan on the home XXXX XXXX XXXX XXXX XXXX, VA, XXXX. My husband, XXXX XXXX XXXX, and I have the house deed in our name, but the mortgage is not. 

We began the XXXX XXXX program in XX/XX/XXXX w/ XXXX XXXX. We began to exit the program resuming payments per XXXX direction in XXXX of XXXX. They advised us that we needed to make three on-time payments, and they said the balance of the forbearance would be put on the end of the loan. They advised us that the balance would not be paid until we sold the house. 

We made two payments to XXXX, and they sold the loan to Midland Mortgage. Midland Mortgage was never notified of any of our conversations with XXXX, and Midland did not provide us with any documentation regarding the terms and conditions of the forbearance. 
Once we were transferred to Midland Mortgage, they immediately put us in a status where they would foreclose. We advised them of the situation and described what we said above. They informed us that we needed to return to the forbearance program again and start applications for assistance. Midland told us again that the balance could be placed at the end of the loan. However, we have been offered a loan modification that is not affordable. Midland Mortgage increased our mortgage. If we accept the loan modification, the revised payment will be over {$1000.00} monthly, higher than our current payment. Our goal is to assume the existing loan on the property and avoid foreclosure. 
We contacted a HUD XXXX XXXX XXXX of XXXX. She was able to make a 3-way call to Midland to get clarification. She spoke with XXXX # XXXX. XXXX told her that XXXX 's administration stopped offering forbearance in XX/XX/XXXX, and we needed a modification or repayment plan. She also verified the current modification interest rate was 6.875 %. 

We have complied with Midland for over a year, promptly providing them with documentation and resubmitting verifications. It's deplorable that the company 's departments can not communicate, especially the customer service and loss mitigation departments. We are open to any other suggestions or advice you can offer us. We plan to stay in our home. 
Thank you in advance for your time and consideration Thank you for your prompt attention to this matter. We eagerly await your response and guidance in helping us navigate through this challenging situation. 
Sincerely, XXXX XXXX XXXX XXXX XXXX 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