Consumer complaint received 2015-09-14
Company: NATIONSTAR MORTGAGE LLC
State: NY
Product: Mortgage
Sub-product: Conventional adjustable mortgage (ARM)
Issue: Loan servicing, payments, escrow account

Complaint:
HIDDEN FEE AND EXCESSIVE CHARGES : I have a mortgage that was assigned from XXXX XXXX XXXX to Nationstar Mortgage LLC. It was assigned to them. The payment instruction give a grace period for payments to be received without penalty! However they are fraudulently representing this statement because there is a hidden PER DIEM Penalty. In my particular case, they are charging {$13.00} PER DAY XXXX PER DIEM FEE ) for any funds received after the 1st day of the month, irrespective of the Latest DUE Date offered on the statement. This information is in my opinion not fully disclosed or understood by the consumer. This is a Penalty of huge magnitude for any payment made within the grace period. 
They do not charge a late fee if received within the grace period, BUT instead charge a PER DIEM amount within the grace period i.e. a Penalty, which can be XXXX or XXXX times higher depending on your principal balance owed XXXX Imagine a check lost in mail-per diem x 40 days because you will not know until next statement ). Where is the consumer protection and advocacy board. I stumbled on this when I notice that my principal amount owed is about XXXX more than I expected. I did not ask for the loan assignment nor did I sign any mortgage agreement with Nationstar. I did not notice this change in terms and my principal over the past couple of years has not changed according to the payment because fraudulent and deceptive practice concerning the grace period - Per diem Hidden Penalties and Fees. 
1. Every credit card must show the balance if not paid in full and also provide interest and penalties paid monthly and a forward look at future payments if the full balance is not paid in full. We are paying in full. 
The mortgage does not disclose this hidden penalty and in this electronic age, you think you are on time when in reality you are paying a penalty XXXX Times the interest rate of the loan. You will never pay off the loan even if you pay the full amount due within the grace period. No DISCLOSURE. This in fact HIDES the per diem interest as normal interest paid jus like you are paying off your loan. The mortgage company does NOT disclose this, so as a consumer, you pay the bill electronically never realizing the hidden fees are being charged at XXXX times the original loan rate PER day XXXX in my case 32.20 % approaching load sharking ). It is not the money, but the selecting the date of payment can cause you to go bankrupt. In effect a PENALTY AND INTEREST PENALTY IN HUGE MAGNITUDE. The LOAN OFFICER on the phone gave me an example of another client paying her loan off by the grace period over the full term of the loan and still owed XXXX in principal because of the per diem fee/PENALTY, which are actually LATE FEES charged on any money payments made within the grace period. I have been charged over {$8000.00} in Per Diem fees since my mortgage was assigned to Nationstar even though my mortgage was current and on time and paid by the grace period. The only issue was that the house suffered damage from Hurricane XXXX and the bank must have assigned to Nationstar LLC because of the LOSS in value that resulted and possibly the risk. 
Who will stand up against Nationstar Mortgage LLC for this malpractice. If your principal payment XXXX at a mortgage rate of 3.25 %, how are they allowed to calculate XXXX PER DAY in interest charges 993 % PERCENT above the loan rate for a payment that is NOT LATE and received by the grace period date.

Company response to consumer: Closed with explanation