Consumer complaint received 2015-09-12
Company: Ditech Financial LLC
State: CA
Product: Mortgage
Sub-product: Conventional fixed mortgage
Issue: Loan modification,collection,foreclosure

Complaint:
We have tried to work proactively with Di-Tech to resolve our loan. 
Situation : We have lost the ability to earn income, are XXXX and XXXX years old, and can no longer make our payments. We asked our children to provide money to help us make payments for the past year and fix our house so we can sell it to repay the debt. We shared this information in writing to Di-Tech and voluntarily put our home on the market to sell it. We have provided information in a timely manner to Di-Tech. At first, they ignored our request for a single point of contact. That appears to be resolved after asking the CFPB to help. Di-Tech asked for information to confirm our income and sent us forms to fill out. We did that and clearly demonstrated that our monthly expenses and our monthly income do not allow us to meet any portion of our housing cost. We have had a very reasonable and simple request. Do not increase the cost of this loan, do not charge high fees, we are selling our house to resolve the debt so that, hopefully, some money will be left for potential medical bills and so we can find a place to rent. Our home is in escrow, but it has a contingency and is located in a slow moving market. They received all the information requested ( financials, tax return data ) and instead of considering that information and coming up with a reasonable plan to waive a few months of payments, as soon as they noticed they could money off of the home they sent a denial letter the same day and hired an attorney the next day to put us on the street ... .and this is when we are trying to sell the home voluntarily. It 's outrageous that they have not offered a single alternative to elderly people trying to do the right thing and get this debt repaid. We filled out whatever forms we sent them, and if they would spend even a few minutes reviewing the information not to check a box but to try to work with a person everyone would be better off. Our cash flow has been negative every month now for several years, and without our children providing us cash we could not have improved the property, made payments and had even a little cushion for emergencies. Now, instead of working with us when we are trying to the right thing, they are attempting to foreclose quickly. This also could result in our attempt to sell the property being lost - if the buyer finds out how desperate we are - why buy the property? It 's a slow market. We are beginning to believe they want to foreclose, take the property, kick out XXXX XXXX people, and make fees and money in the process. We asked to have the escrow released on taxes and insurance so, with the help of our children we could keep these current. We can not afford high cost or risky force placed insurance, but they declined to do this. Why ca n't they release these funds and let us continue that insurance? After getting these most recent letters immediately after providing proof of our hardship and proof the home was in escrow we are very concerned they never intended to try to work with us. We were told they would take 3 to 4 weeks to consider this and that collection efforts would stop - but instead we get a letter from an attorney that they are foreclosing. Now we believe it was a mistake to let them know the home was in escrow, maybe they viewed this as a way to grab whatever equity is left for themselves. We hope not and that this is some type of mailing mistake or oversight. The single point of contact XXXX seems reasonable, but then we get letters that are the opposite of what is said would be considered we are afraid. Please help us. We believe the actions we are taking are the most responsible ones possible and will result in the most rapid repayment of the debt.

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