Consumer complaint received 2017-04-28
Company: LoanCare, LLC
State: TX
Product: Mortgage
Sub-product: FHA mortgage
Issue: Trouble during payment process

Complaint:
In  XXXX   XXXX , I financed my home with  XXXX   XXXX   XXXX . Loancare took over managing this loan. They sent out correspondence to me in late  XXXX  to participate in  a Equity Accelerator Program by  setting up bi-weekly payments, which I did. It was n't until  XXXX   XXXX  that I found out ( because of an alert on my credit monitori ng ) th at  Loancare was reporting my payments as delinquent. I called Loancare and they informed me that partial payments were not being applied to my loan, but being held in a " suspension account '' until the full amount of the monthly payment was received. Also they were charging late payment fees. All the while, I never knew that my payments were n't being applied appropriately. I NEVER got any notice from Loancare regarding the application of my bi-weekly payments, despite th e fact that they had the correct address, phone number and email address on file. In  XXXX   XXXX  I spoke to someone  at Loancare who se emed to get things cleared up. He requested that funds be reapplied correctly, he requested reversals of late fees, and told me that a payment of {$570.00} would bring my account current. I turned off bi-weekly payments, obtained my new mortgage payment, and turned on monthly payments. My next payment schedule is as follows :  XXXX   XXXX ,  XXXX ,  XXXX   XXXX ,  XXXX ,  XXXX   XXXX ,  XXXX ,  XXXX   XXXX ,  XXXX ,  XXXX   XXXX ,  XXXX , and  XXXX   XXXX ,  XXXX . These are the dates that payments were sent from my bank account.     For whatever reason, Loancare is not receiving or applying these payments in a timely manner which is resulting in MORE delinquent payments being reported to the credit agencies. I 've rais ed 3 tickets to Loancare customer service. I 've sent PDF files of my bank statements as requested by Loancare for review of the issue but  did not receive any response or resolution. I called to follow up on the initial ticket from  XXXX   XXXX  and a representative told me that it was closed and/or not resolved because they did n't have bank tracing numbers to review. No one ever contacted me to request this information so I was advised to start another customer service inquiry! Conveniently, after I called to follow up on the resolution, customer suppo rt at Loancare sent me an email saying that they reviewed my account and were not able to remove the reported information to credit agencies. I decided to file another ticket to customer service and this time I sent PDF bank statements, tracing numbers, and another narrative of the problem. Cu stomer service responded that payments had been applied already and asked me for a copy of the transmittal form so they can see how the bank is sending payments.  Loancare is supremely  incompetent and I have done more than my due diligence in getting this issue resolved. Late payment fees continue to be applied and my credit has been significantly affected. Please give me some guidance so I can get this resolved. I also have credit reports with the negative reporting.

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