Consumer complaint received 2018-08-07
Company: Reimer, Arnovitz, Chernek &Jeffrey Co., LPA
State: OH
Product: Debt collection
Sub-product: Mortgage debt
Issue: Attempts to collect debt not owed
Sub-issue: Debt was already discharged in bankruptcy and is no longer owed

Complaint:
Att : XXXX QWR Notice of Error Property Address : XXXX XXXX XXXX XXXX XXXX Ohio, XXXX Owner : XXXX XXXX XXXX Loan : XXXX Description of loan violations such as FDCPA, RESPA, Chapter XXXX  Bankruptcy Code, Contempt of Court : XXXX agreed to modify a monthly payment agreement Doc XXXX filed and recorded on XX/XX/XXXX.See Exhibit A. XXXX XXXX XXXX Lender has since XX/XX/XXXX violated the debtors confirmed bankruptcy plan. On XX/XX/XXXX while this property was under the Federal bankruptcy stay XXXX XXXX XXXX created an escrow account for forced placed insurance for the property located at XXXX XXXX XXXX XXXX XXXX, Ohio XXXX. Although in XXXX this action taken by the creditor under the bankruptcy code might not be considered a violation of the debtors plan but XXXX XXXX XXXX took this action a step further and created an escrow account on the loan to collect at a later date the unapproved insurance premium. Only after the debtor discovered the violation and reported it to the XXXX  by the way of a CFPB complaint. Upon notification XXXX removed the violation and closed the escrow account in XXXX ( See Exhibit B pg.2 5, C ). On XX/XX/XXXX XXXX violated the debtors confirmed chapter XXXX plan by pay off a tax contract that was part of the debtors confirmed plan ( See Exhibit D pg. 6 5 Claims for Real Estate Taxes, E, F ) in this confirmed plan it plainly states that the debtor is responsible to pay the contracts not the creditor. XXXX reopened a escrow account to accomidate the improperly paid tax contract and recoupe the payment of {$1500.00} for the contract and now escrow for the monthly taxes coming due on the property. This violation of the confirmed plan prompted XXXX to raise the already court ordered payment agreement of {$130.00} ( See Exhibit A ) adding it to the debtors monthly premium to escalate the collection of the balance of the delinquent taxes and illegal forced placed insurance causing an increase in the court ordered payment of {$130.00} to {$330.00} ( See Exhibit G ) this action gave the XXXX the ability to take legal action within the courts if the new payment was not paid. The debtor made contact with XXXX about the above violations with notices starting in XXXX after receiving a monthly statement dated XX/XX/XXXX showing the escrow tax balance and listing discharged bankruptcy debt on the monthly statement as owed to the creditor. The debtor has since XXXX asked XXXX for the tax escrow and listing of the discharged bankruptcy debt to be taken off the monthly statement with no success only to be ignored and forced to pay whatever listed on the monthly statement or be foreclosed on. In XXXX the debtor filed another CFPB complaint in regards to the collection of discharged debt ( See Exhibit I ). The debtor refused to pay the inflated monthly payment and was then forced to pay a reinstated amount which listed the discharged debt as owed in XXXX ( See Exhibit J ) to avoid a foreclosure motion being filed on the property. However after the reinstatement payment was made which allowed XXXX to collect the tax contract money and the legal fees XXXX still did not correct the loan balance to comply with Exhibit A nor did XXXX close the escrow account. The debtor filed another CFPB report only to be answered by a forclosure motion filed by Reimer, Arnovitz, Chernek & Jeffery CO L, P, A. In this motion the law firm has asked for the discharged bankruptcy debt in the amount of {$45000.00} to be paid to the creditor ( See Exhibit K pg. 1 1. ) XXXX finally on XX/XX/XXXX admitted to the violations of the debtors bankruptcy plan as set forth above and adjusted the loans to match the confirmed plan ( See Exhibit L ). However this action by the creditor to fix the loan making it compliant with the court ordered agreement and the closure of all escrow accounts in XXXX along with the crediting of the loan any money charged to the account has not been brought to the XXXX county Courts and Federal Bankruptcy courts attention till today by the debtor to stop illegal activity and foreclosure in case 15 cv 88009. 
VIOLATIONS : 1. Asking a debtor for Bankruptcy discharged debt in the amount of {$45000.00} interest in the arrearage balance as printed on exhibits. ( see Plaintiffs Exhibit G, J, K ) 2. Asking for discharged Bankruptcy in a payoff statement. See ( Plaintiffs Exhibits J ) 3. Failing to comply with a court order ruling to adjust the debtors loan to match the court order amount. See Exhibit A 4. Violating a bankruptcy stay in XXXX by placing forced place insurance on the debtors property while the property was under the federal stay and not notifying the courts of this action. ( See Exhibit B, C ) 5. Trying to collect a debt by a confirmed plan after the finale decree was issued. see ( Exhibit D, G, H, J, K ) 6. Seterus violation of the debtors confirmed plan by paying off a XXXX county property tax contract on XX/XX/XXXX this contract was for XXXX XXXX XXXX XXXX and raising the court ordered monthly payment to recouped there mistake. See Plaintiffs Exhibit D, E, F, G ).

7. XXXX  law firm asking for Discharged Bankruptcy debt to be paid back to the creditor in the case XXXX XXXX XXXX in the amount of {$45000.00}. see Exhibit K Please be aware the property located at XXXX XXXX XXXX XXXX XXXX, Ohio XXXX has been petitioned to be sold at a sheriffs sale on XX/XX/XXXX. At this time I have been in contact with XXXX and was informed that XXXX is conduction an audit on my loan. I am requesting that the sale be canceled until a thorough audit of my loan is completed by XXXX. I am sure you are aware that the debtor in case XXXX is entitled to a finale discharge of any remaining unresolved debt in the confirmed plan as per this letter I am now making preparations to do so in late XXXX. At this time all violations of my plan that I have not resolved with a creditor will be brought to the courts attention to be resolved. I would think that a creditor with the violations and supporting documentation against them as listed above that could easily place that creditor in contempt of Bankruptcy Court and to avoid any large fines would come to the table to settle any issues. I always I have found that it easier to settle things out of court. If you have any questions I can be contacted at ( XXXX ) XXXX. Please Advise XXXX XXXX XXXX

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