Consumer complaint received 2017-10-19
Company: Ditech Financial LLC
State: MA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
Hello, It needs to be noted with importance that weve asked multiple times for our concerns to be heard, fully investigated and acknowledged by ditech. This is a very serious matter and the severe emotional distress we are continuing to suffer as a result of gross misconduct by XXXX XXXX XXXX the Company ) and ditech as well as any other affiliates, non affiliates and any additional subsidiaries, Board of Directors and Elective Officers, respectively are very troubling. 

In addition, we have and continue to dispute any and all debt referenced directly or indirectly, with the XXXX. 

Further, we filed a complaint with the Massachusetts Attorney XXXX XXXX in XXXX XXXX over the Company and Ditech 's business practices concerning our account. As of date of this letter, Ditech has not responded to settle this matter. 

First, my family has been nothing more than collateral damage when it comes to the XXXX and its own financial uncertainty. Our original note was with XXXX with an origination date of XXXX XXXX, XXXX. Our starting balance was {$270000.00}. It was received and recorded in the XXXX of Massachusetts, XXXX XXXX XXXX of Deeds on XXXX XXXX, XXXX. 

Subsequently, our loan was sold to Green Tree XXXX Green Tree an affiliate of Ditech and both subsidiaries of the XXXX XXXX. 
Next, Green Tree posted our initial balance short and after repeated attempts by us to rectify our account and specifically our starting balance our concerns went unanswered. Our balance after our XXXX XXXX payment is {$82000.00}. 

Then, Green Tree would indicate our account was late and our scheduled payment was not received. Green Tree then required us to make immediate payments that resulted in additional fees and charges. After these payments with associated fees were made, our initial payments would post and it would often be applied to unapplied funds. 
Therefore, we asked for statements and an updated account history that reflected dates of our payments, when our payments were processed and precisely how our funds were actually being applied to our loan. 
XXXX, Ditech listed all transactions as payments. Simply, there was no delineation as to when, where or how our money was posted and how these payments affected our loan balance. 
Further, once our payments were put in unapplied funds we were assessed more unrecognized charges and fees. Once these fees and charges were assessed our money would continue to be parked in unapplied funds. Our monthly payment was not applied and our money would just sit in unapplied funds for " unreasonable '' amounts of time. There was no running balance or history of the money put into UAFs account. In addition our monthly statements did not reflect the total amount we actually paid. Our total payment would often be higher than the previous month 's statement had indicated. 
Eventually, our payments would be grouped and posted to our account as a reconciliation. This would result in large principal payments but would not identify why our payment made and the transaction did not reconcile. 
We repeatedly asked for updated account statements and a full detailed transaction history, but we never received anything. Likewise, there was no accurate or running record of our principal mortgage balance and we questioned how our balanced varied and to the degree that it did. 
Next, Ditech did not adhere to the terms of our loan or the escrow waiver and in XXXX XXXX Ditech added an escrow account to our loan. We indicated to Ditech we did not have an escrow account and our loan reflected as such with a mortgage escrow waiver. Now, in addition to our concerns with our payment history and varying loan balance, we also now had to deal with the grave mishandling of the escrow funds. The constant mismanagement caused our family to suffer severe emotional distress and angst. 
Instead of helping us Ditech chose intimidation, in lieu of researching our account to address the unethical business practices and not adhering to the purpose of their XXXX XXXX. 
Our repeated calls to XXXX Customer Service Department resulted in representatives placing us on hold for significant periods of time, simply disconnecting the call, or representatives never returning to the line. We made repeated attempts to speak with the Ditech but they still continued with the same immoral, unethical and unprofessional business practices. 
Therefore, in XXXX XXXX we filed a complaint with the Massachusetts Attorney XXXX XXXX. We were assured that Ditech would stop these wrongdoings and would remove all escrow accounts, return all money, as well as any late charges and fees posted to our account. Additionally, our account would be updated to reflect an accurate payment history and account balance and any negative information would be removed immediately from any and all credit reporting agencies from the Company and any and all affiliates and subsidiaries. But, its very disheartening that as of the date of this letter, the AGs office has not been able to get Ditech to respond to their attempts to settle the matter. 

We are well educated responsible Americans that are very concerned about what more the Company and their affiliates and subsidiaries can do with these deceitful practices of harassment and intimidation. We should be celebrating with our children on our financial responsibility to homeownership but because of the unacceptable wrongdoings caused by the Company and its subsidiaries, we cant. 

Our most recent correspondence from Ditech dated XXXX XXXX, XXXX and received by us via regular mail on XXXX XXXX, XXXX indicated that Ditech is going to foreclose on our property as of XXXX XXXX, XXXX. 

In the same mailing it also included a congratulations letter indicating weve been approved for a modification Trial Period Plan that would modify our existing loan for an additional 40 years. But, not before we made XXXX additional payments of {$720.00} for a Specific Trial Period. 

XXXX provided supporting evidence documenting these transgressions and the Company, its affiliates and subsidiaries ignore our requests and instead use intimidation and fear to disregard these business practices and us, their customer. 

According to the XXXX XXXX XXXX XXXX, posted on its website and amended as of XXXX XXXX, XXXX their purpose is : The Company values its reputation for honesty, fairness and integrity. The Company holds its officers, directors, and employees to these standards and expects them to adhere to these values and demonstrate professionalism and respect in dealings with our customers, suppliers, business partners, shareholders and each other. 
The purpose of the XXXX shall be to assist the XXXX XXXX XXXX XXXX XXXX Company with oversight of The Companys compliance management system, including its program for compliance with state and Federal consumer financial protection laws, rules and regulations and other laws, rules, regulations, guidance and standards governing its consumer-oriented businesses, including those governing its dealings with government sponsored enterprises ( the Consumer Business Regulations ) The Companys regulatory relations and its handling of key regulatory matters, The Companys management of risks relating to ethical, reputational and regulatory matters ; and The performance of the Companys compliance function. 

How does the Company adhere to their XXXX XXXX XXXX and its specific purpose when theyre exhibiting inappropriate business practices as grossly demonstrated with the evidence weve provided? 

Finally, we built a house in XXXX, Massachusetts and turned that house into a beautiful home for our family. Also, in less than 15 years we have paid off a mortgage balance of {$270000.00} on a XXXX note that had a maturity date of XXXX and instead of congratulating us on our success, the Company has continued to intimidate, harasses and threatened foreclose on our home unless we agree to an unjust modification. This modification would result in us paying Ditech {$36000.00} over 40 years. This is insane when we do not owe Ditech any more money. 

The Company, its affiliates and subsidiaries have caused such wrongdoings to our family over their unethical, immoral and incompetent business practices that it resulted in the mishandling of our account. These practices resulted in a continuous incorrect loan balance, inaccurate posting of payments in a timely manner, and finally the mishandling of our complaints to rectify our concerns in a timely manner so we do not have to file complaints that they 're threatening to take our home that we have paid on continously. 

In conclusion, we hope you can help us, and stop the financial and emotional carnage this Company and its affiliates and subsidiaries have ensued due to their gross incompetence, neglect of duties, immoral and unethical business practices and the unprofessional behavior of its employees that fosters such a deceitful and fraudulent environment. 

Thank you.

Company response to consumer: Closed with explanation