Consumer complaint received 2015-07-05
Company: Ocwen Financial Corporation
State: MD
Product: Mortgage
Sub-product: Home equity loan or line of credit
Issue: Loan modification,collection,foreclosure

Complaint:
In XX/XX/XXXX, my wife and I took a home equity loan of approximately {$130000.00} through XXXX XXXX. We XXXX clearly remember being told that after XXXX years, the loan would convert from a variable-rate, interest-only loan to a 30-year fixed rate, fully amortized loan. During closing, we were rushed through the process and encouraged to sign a large number of documents without the opportunity to fully read and understand them. Several years later, the loan was sold to another company, Ocwen. We have made all payments over the XXXX years in a timely fashion. 
In XX/XX/XXXX, we were informed by Ocwen that a balloon payment of approximately {$130000.00} was due on XXXX XXXX. We were shocked and devastated. We are XXXX seniors ( I am XXXX ) and unable to make this balloon payment. I asked for a copy of the loan document and it said that a balloon payment would be due after XXXX years. 
I began discussions with Ocwen, seeking a loan modification. I spoke with a XXXX XXXX, who was identified as our " relationship specialist, '' and after describing the problem, he told us there was nothing he could do for us. I next spoke to his supervisor, a XXXX XXXX, who was much more accommodatiing. Once he realized that our problem was not making the monthly but rather making the balloon payment, he advised us to complete a " request for loan modification '' document and to send it to him. My wife and I were both on the line at the time when he clearly told us that, in the case of an inability to make a balloon payment, in nearly every case the loan would be modified to a XXXX-year, fixed rate, fully amortized loan. He sounded very knowledgeable and confident in this regard. He encouraged us to keep in touch with him after the loan modification papers were submitted. 
On XXXX XXXX, we received XXXX via XXXX mail XXXX a denial of our request. The document stated that we were being denied because we had the ability to make our monthly payment. We were stunned. We knew ( and admitted ) that we could make the monthly payment on the loan, but we had submitted our request for loan modification based on the fact that we could not make the BALLOON payment. I immediately called XXXX XXXX. He was unavailable, but I was promised a callback within XXXX hours. When I did not receive a callback, I submitted an appeal ( via email ) to Ocwen 's Escalated Cases unit. In that email, I emphasized our inability to make the balloon payment. I restated our ability to make the monthly payment, and I asked that our case be reevaluated based on our inability to make the balloon payment. 
On XXXX XXXX, we received an email from XXXX XXXX denying our appeal based on the same criteria our original request was previously denied : That we were able to make the monthly payment on the loan. It was as if no one had even bothered to read the appeal to the Escalated Cases unit. I immediately called supervisor XXXX and was again told that he was unavailable. I was promised a callback within XXXX hours. To date, I have received no such phone call. I then sent an email back to the Escalated Cases unit and XXXX XXXX in yet another attempt to get Ocwen to be responsive to our problem. I have not yet received a response to that email. 
I seems no one at Ocwen XXXX except XXXX XXXX - whose ID number is XXXX ) seems to understand - or even wants to understand our dilemma. We feel threatened with foreclosure on our home which would be devastating. As XXXX, we have limited options in that regard. To make matters worse, we were forced to file a bankruptcy XXXX years ago, and we were unable to find anyone to refinance this loan. 
I have found that Ocwen has quite a history of questionable dealings with consumers, many of which have been reported to the CFPB. Please intercede on our behalf in resolving this issue which is so critical to us. Many thanks!

Company response to consumer: Closed with explanation