Consumer complaint received 2023-12-07
Company: Ocwen Financial Corporation
State: FL
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process
Sub-issue: Escrow, taxes, or insurance

Complaint:
XXXX XXXX XXXX XXXX XXXX XXXX XXXX, Florida, XXXX XXXX XXXX XX/XX/XXXX Consumer Financial Protection Bureau XXXX XXXX XXXX XXXX, XXXX , DC XXXX Dear Sir/Madam, I am writing to bring to your attention the deceptive trade practices committed by the mortgage servicer formerly known as Ocwen, which later became PHH, and the subsequent injustices I have faced as a result of their actions. The following details the problematic nature of my interactions with PHH regarding my loan # XXXX encumbering the property located at XXXX XXXX XXXX XXXX, XXXX, Florida XXXX, from XXXX through XXXX, and the ongoing issues I have encountered since. 

Beginning in XXXX, PHH repeatedly refused to accept payments for my mortgage over a period of three years, despite my consistent attempts to fulfill my financial obligations. This led to a situation where they forced the sale of my home through foreclosure proceedings, causing significant distress and upheaval in my life. Moreover, the payoff amount included force-placed insurance for a period during which I already possessed coverage. Upon promptly providing proof of my existing insurance, PHH has continuously refused to refund the overage, despite my persistent efforts to rectify this matter. 

After I closed on the sale of the house and sent documented proof of insurance, when I called and spoke to the representative at PHH, he requested a verbal verification from my insurance agent. I promptly got her on the phone, and she confirmed coverage. Afterwards, I was led to believe everything was verified, and I would be getting reimbursement. However, after several weeks and no check, I called and was told that nothing had been received, and that I must provide proof once again. 

I promptly sent the policies to them by email as requested. I waited several weeks and called back. I was told nothing was received. I explained the situation again, and I was told it was probably because I had sent all of them together, and I needed to send each year individually. At that point, I sent each policy to them individually by year for the years XXXX through XXXX. 

Furthermore, after I provided the proof of insurance again, I began receiving a deluge of emails from PHH, each containing mixed messagessome indicating acceptance and others rejection. This barrage of contradictory communication persisted over a span of 22 days, from XX/XX/XXXX, to XX/XX/XXXX, during which I received a staggering total of 153 emails, all with mixed messages. This incessant and confusing correspondence has only added to the distress and frustration I have experienced throughout this ordeal. 

It is worth noting that I have dutifully provided proof of insurance from the year XXXX up until XXXX, as per PHH 's requests. Despite my unwavering efforts to comply with their demands and address their requirements comprehensively, the resolution of this matter has been needlessly complicated and prolonged. 

In light of these circumstances, I firmly assert that PHH is obligated to refund all force-placed insurance charges incurred during the specified time period. Regulation 1024.37 explicitly stipulates that, within 15 days of receiving evidence demonstrating that the borrower has maintained hazard insurance coverage, the servicer must : ( 1 ) cancel the force-placed insurance purchased to ensure the borrower 's property and ( 2 ) refund to the borrower all force-placed insurance premium charges and related fees for any period of overlapping insurance coverage, removing such charges.

These actions by PHH have not only caused undue financial strain and emotional hardship but also demonstrate a clear pattern of deceptive behavior and unfair treatment towards consumers. As a result, I kindly request that the Consumer Financial Protection Bureau investigate this matter thoroughly and take appropriate action to rectify the injustices I have faced. I urge the Bureau to hold PHH accountable for their deceptive trade practices and ensure that they address the outstanding issues surrounding the forced insurance and refund overage. 

I am willing to provide any additional documentation or information necessary to support the investigation of this case. I hope that the Consumer Financial Protection Bureau will undertake the necessary steps to enforce fair and just practices within the mortgage servicing industry and provide me with the resolution that I rightfully deserve. 

Thank you for your attention to this matter. I look forward to a prompt and satisfactory resolution to this issue. 

Sincerely, XXXX XXXX

Company response to consumer: Closed with explanation