Consumer complaint received 2016-08-18
Company: Selene Finance LP
State: GA
Product: Mortgage
Sub-product: FHA mortgage
Issue: Credit decision / Underwriting

Complaint:
In XXXX of XXXX, while we were in the process of closing a loan modification with XXXX. On the date we were to have the modification finalized, our loan was instead sold to Selene Finance. Neither company honored the modification. We just recently found out XXXX had purchased Selene. Selene went on to raise our mortgage payment by {$500.00} claiming it was due to an escrow shortage, even though our tax and insurance payments had not changed. We once again told Selene, we needed the modification due to the financial strain this caused & we requested another loan mod from Selene. Selene then strung us along for over a year with a promise of a loan modification they never delivered on. After trying for close to 15 months to get the modification, in XXXX of XXXX, we went to an outside company that promised results. Selene refused to work with them. 
Upon this event, we fell behind on our payments. Upon receiving a notice of sale from Selene in XXXX of XXXX, we contacted them to see what we could do to save our home. They set us up on a forbearance agreement where we made a down payment of {$3700.00} by XXXX XXXX, XXXX, and then make XXXX payments of {$4500.00}. The amounts included were to make our account current our ie. late payments & late fees. Selene contacted XXXX, to offer us a special deal available only through XXXX and Selene. In XXXX of XXXX, we were contacted my XXXX with this special offer. The offer was supposed to lower our principal balance and monthly payment. We accepted the offer. We did not get the offer we were promised. 
Selene over-inflated our principal balance and gave the underwriter inaccurate information that failed to show our mortgage was current before we closed on the loan due to the forbearance. They had also inflated the amount they claimed we owed by {$72.00}, XXXX. We noticed, & the FDIC confirmed the numbers that Selene 's had given to XXXX during the underwriting process was inaccurate and told me that I needed to file a complaint with the CFPB right away. The amounts listed on the XXXX XXXX Application are inconsistent/inaccurate several times during the underwriting process. 
Our case number with the FDIC is XXXX Before we refinanced our home with XXXX, we were in a forbearance agreement with Selene Finance in order to keep our home from being foreclosed. We had to make a down-payment of {$3700.00} by XXXX XXXX, XXXX, then XXXX payments of {$45000.00}. These amounts included the monthly payment along with the late payments & fees. When Selene purchased our loan the assignment shows that the listed price was {$300000.00}. ( See ) property document. 
This loan originated in XXXX and was XXXX of XXXX loans. If they purchased a loan which was originally listed as {$300.00}, XXXX. How could it go up after 6 years of payments to {$320.00}, XXXX? On XXXX form XXXX pg XXXX of XXXX. The acquired year : XXXX, There were XXXX loans. The first lien is in the amount of {$300000.00} which was the lien Selene purchased. Yet, Selene had our principal balance was increased to {$320.00}, XXXX on the loan application. This application was written up in XXXX of XXXX. 
The billing statement from Selene on XXXX of XXXX, shows our principal balance as {$250.00}, XXXX. See ( document named XXXX ) Yet, on our Hud 1 Settlement Statement pg XXXX of XXXX Section XXXX the payoff amount for Selene was listed as {$270000.00}. The liabilities of a spouse should be included in the XXXX XXXX XXXX Application because the property right 's of the spouse must be considered. Yet, the only expense listed was {$490.00}. This information could not lead to our true ability-to-repay. Our final billing statement from Selene shows our principal balance was {$250.00}, XXXX. There is an overdue balance listed, but we paid off all of our late fees during our forbearance. Continued ....

Company response to consumer: Closed with explanation