Consumer complaint received 2015-09-16
Company: GENWORTH FINANCIAL INC.
State: MO
Product: Mortgage
Sub-product: Conventional fixed mortgage
Issue: Loan modification,collection,foreclosure

Complaint:
I 'm seeking help in having my PMI insurance company Genworth Mortgage pay for the lien on a foreclosure that secured the XXXX mortgage on property the original PMI was on. In 2012 I lost my home to an unlawful foreclosure and Genworth Mortgage was my PMI on the loan held by XXXX. The home equity loan for the property was for {$25000.00} and was held by XXXX. My family suffered a financial setback with the lost of my husbands job and XXXX adopted children that suffered with XXXX and prolong hospital stays. My attempts to get a loan modification ran into delays of processing by claims of documents not received by the lender, repeated submitting of personal financial information to secure the modification. We were told that the modification was approved by a representative named XXXX XXXX with Genworth and the file was now with the bank and they would contact us to set up a new payment, which they approved for {$900.00} to {$950.00} permonth from {$1400.00}. We waited and made several calls to both Genworth and XXXX and each referred us to the other for help. This created a delay and we had to start the process over again because now our file was outdated. Now with a new agent from Genworth we were working with a XXXX XXXX and again submitting the same documents. Now XXXX had started a program where you had a representative that was to monitor the account to insure the documents were received on their end. This process was also a delay of certain documents that seem to never reach the bank, my file being lost and so on. The many delays in securing a loan modification made it harder to get help because the bank continued the process of foreclosing on your property while claiming they were attempting to work with us and just ignore the letters and notifications of foreclosure. We were being set up to fail because we were holding on to faith and the words of Genworth that yes we did qualified for a loan modification and that XXXX had our documents however the foreclosure was being pursued by XXXX and XXXX aggressively. 
In the end I lost my home to foreclosure and XXXX and XXXX were both bailed out by the government, the taxpayers, so they did not lose. XXXX sold my home for {$70000.00} and again there was a gain by the sale. Now lets talk Genworth, my PMI, their job was to protect the lender, all of the lenders regarding the home : XXXX, XXXX and XXXX XXXX XXXX XXXX from a lost. I paid this payment each month with my house payment and it remained as part of the payment each month until they foreclosed on the loan. With this insurance why was Gateway not paid for the {$25000.00} which held a Home Equity lien on the home. They instead for reason truly unknown were allowed to remove the lien from the property, dropping the collateral held, the home and now hold an unsecured Home Equity Loan or a second mortgage but out of the ordinary, there is not a home to secure the loan. How is it that Genworth did not protect the lender from default or myself from owing the {$25000.00} that the insurance is set up to do? How was this lien removed from the property and why? The behind the scene manipulation of the removal of home equity lien from the property during the foreclosure has now allowed Genworth to walk away from their purpose of insuring the credit union protection of default by myself the customer should it happen. This remains a negative on my credit and Genworth would not speak to me because my home was foreclosed on. I need answers and help in having Genworth take the responsibility of securing the debt and having it removed from my credit.

Company response to consumer: Closed with explanation