Consumer complaint received 2016-03-29
Company: NATIONSTAR MORTGAGE LLC
State: CA
Product: Mortgage
Sub-product: Conventional adjustable mortgage (ARM)
Issue: Loan modification,collection,foreclosure

Complaint:
To Whom It May Concern, I am filing this Complaint with the CFPB because of Nationstar Mortgage LLC 's, herein Nationstar, blatant disregard for the law. I have been fighting to save my home since XXXX. Upon hearing and learning about the questionable practices from our nation 's stop mortgage servicers, I decided to inquire more about my debt obligation. In doing so, I discovered that I too have been a victim of shoddy mortgage practices. As a result of my research, I mailed to my servicer, Nationstar a Notice to Rescind on XXXX XXXX, XXXX. Nationstar received my Notice to Rescind on XXXX XXXX, XXXX. Nationstar failed to take the necessary and mandatory steps under the Truth in Lending Act, herein TILA, by unwinding the transaction and sending me a reconveyance on the debt or file a lawsuit against me within 20 days. Under the Act, Nationstar had 20 days to take these mandatory steps, they did neither. The first step mandatory step under TILA is that it automatically cancels the Deed of Trust and the debt by operation of law. Congress intended TILA to be self-enforcing. It appears that Nationstar has no interest in following the steps mandated under TILA. The statute and regulation clearly specify that the security interest and promissory note arising by operation of law on the property becomes automatically void. The Official Staff Commentary, a commentary by the Federal Reserve, has stated the creditor 's interest in the property is " automatically negated regardless of its status and whether or not it was recorded or perfected ''. Furthermore, the security interest is void and of no legal effect irrespective of whether the creditor makes any affirmative response to the notice. Under TILA, Nationstar has no right or authority to grant or deny, agree or disagree with my Notice to Rescind. Strict construction of Regulation Z would indicate that the voiding be considered absolute and not subject to judicial modification. The statute makes no distinction between the right to rescind in 3-day or extended as neither cases nor statute give the courts equitable discretion to alter TILA 's substantive provisions. There is no burden of proof for me to make the rescission effective. The voiding of the security interest is not a procedure in a sense to be followed or an action to be taken, it is automatic by law. Because the voiding is done by operation of law, any foreclosure activity currently pending on my property must be canceled forthwith. There can not be a legal foreclosure n a Deed of Trust that is null and void and has been canceled. If Nationstar or my actual creditor wanted to challenge my Notice to Rescind, they had to have filed a lawsuit against me challenging the rescission as a creditor. They failed to take this action. Since Nationstar and/or my actual creditor failed to take that action, Nationstar has no right or standing to challenge it now as any defense to my Notice to Rescind are now barred and is effective as of the date it was mailed. Given the blantant disregard and disrespect to my TILA rescission rights, I respectfully request that you immediately review my case in critical detail and make a determination that Nationstar is in violation and should suffer consequences for their action. It is my belief that these servicers should be held accountable for violating both Federal and State laws. 
Thank you, XXXX XXXX XXXX

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation