Consumer complaint received 2016-03-01
Company: Ocwen Financial Corporation
State: MD
Product: Mortgage
Sub-product: Conventional adjustable mortgage (ARM)
Issue: Loan modification,collection,foreclosure

Complaint:
On XXXX/XXXX/XXXX, I received approval correspondence dated XXXX/XXXX/XXXX, from Ocwen to enter into trial period plan under HAMP & instructions on how to accept the offer. In that approval letter, it states that in order to accept the trial period offer, " you must make the first monthly trial period payment by the date show below. '' As you can see on page XXXX, the date of the first payment is on XXXX/XXXX/XXXX. As of the date of this filing, the trial period payment is not due until XXXX/XXXX/XXXX, therefore, there is not a denial or failure to comply with the terms of the offer/agreement. 
Further, on page XXXX, it states " If you accept this offer by making the first trial period payment in a timely manner and you continue to make all other trial period payments in a timely manner and otherwise comply with the terms set forth herein, we will not conduct a foreclosure sale. '' Page XXXX states " The terms of the trial period plan below are effective on the date you make your first trial period payment, provided ( i ) you make such payment on or before XXXX/XXXX/XXXX ... '' Then it states " If you accept this offer as described above and otherwise comply with the terms of the trial period plan, we will not proceed with foreclosure sale during the trial period. '' Page XXXX is the Trial Payment Plan Coupons stating the date the first, second and third payment is due. 
On XXXX/XXXX/XXXX, we received the attached notice from The XXXX XXXX XXXX, XXXX, indicating that there is a foreclosure sale on the property. Upon further investigation, we found the property listed on the XXXX website with a sale date of XXXX/XXXX/XXXX, as well as the XXXX XXXX XXXX ' website with a sale date of XXXX/XXXX/XXXX. We also found the legal advertisement public notice, advertising the sale of the property for XXXX/XXXX/XXXX. 
Per the National Mortgage Settlement, which requires Ocwen to comply with the new standards, and the XXXX/XXXX/XXXX CFPB Rules, we have completed and submitted the loan modification application with all attachments timely, post referral to foreclosure, we received an approval letter, and we have NOT rejected the offer or failed to comply with the terms of the offer, such as trial modification. 
Exh. A of Ocwen Servicing Standards, Section IV ( B ) ( 8 ) states : If, after an eligible borrower has been referred to foreclosure, Servicer receives a complete loan modification application more than 30 days after the Post Referral to Foreclosure Solicitation Letter, but within 37 to 15 days before a foreclosure sale is scheduled ... and, if the borrower is extended a loan modification offer, Servicer shall postpone any foreclosure sale until the earlier of ( a ) 14 days after the date of the related evaluation notice, and ( b ) the date the borrower declines the loan modification offer. If the borrower timely accepts the loan modification offer ( either in writing or by submitting the first trial modification payment ), Servicer shall delay the foreclosure sale until the later of ( if applicable ) ( A ) the failure by the Servicer timely to receive the first trial period payment, and ( B ) if the Servicer timely receives the first trial period payment, after the borrower breaches the trial plan. Section B ( 11 ) states : Servicer shall not move to judgment or order of sale or proceed with a foreclosure sale under any of the following circumstances : a. The borrower is in compliance with the terms of a trial loan modification, forbearance, or repayment plan. 
I have reviewed the approval offer from Ocwen, and see no other instruction on " acceptance '' offer than to make 1st payment on or before XXXX/XXXX/XXXX. Verbal acceptance, although NOT instructed by Ocwen, was given via email. The offer was dated XXXX/XXXX/XXXX and 14 days from that date is XXXX/XXXX/XXXX, so there is not a breach in the terms of the offer, despite Ocwen instructing 1st payment on XXXX/XXXX/XXXX more than 14 days after the offer.

Company response to consumer: Closed with explanation