Consumer complaint received 2015-04-27
Company: Ocwen Financial Corporation
State: MO
Product: Mortgage
Sub-product: Conventional fixed mortgage
Issue: Loan servicing, payments, escrow account

Complaint:
Due to a financial hardship when I purchased and had installed a new furnace I requested a loan modification in XXXX XXXX through XXXX ( XXXX ) with IndyMac Mortgage Company. IndyMac requested from me the same documention and information over and over again, with no resolution as of XXXX XXXX. Due to the financial hardship my mortgage was behind by XXXX payments. Upon sending my XXXX payment which was late the payment was returned. The lender was not working with me, would not accept my payments and by XXXX XXXX I received foreclosure documentation to be effective XXXX XXXX, XXXX. One week prior to foreclosure I received a XXXX alternative trial loan modification with IndyMac in XXXX XXXX on an original loan balance of {$72000.00} with a monthly payment of {$700.00}. The trial loan modification required that I paid {$500.00} for XXXX to XXXX and a permanent modification would be granted if I was in full compliance. A full modification was granted in XXXX XXXX with an unpaid principal balance now of {$77000.00}. There was an escrow shortage in the amount of {$1100.00} with the monthly payment of this shortage to be paid over a five-year ( 60 months ) period. This monthly payment has been already included in the monthly escrow payment. Review of OCWEN 's Annual Escrow Account Disclosure Statement Account History now reflects a NewLoan Setup Fee and which there should be no modification fee. This is not a new loan and assignment or transfer of this loan from the previous servicer, IndyMac to Ocwen effective XXXX XXXX, XXXX does not warrant the fee assessed to this loan. My escrow is to be used for taxes and insurance and this servicer by federal lending guidelines are now violating fair lending laws and are exhibiting predatory violations. Communication with OCWEN has been tedious and frustrating because I initially responded in XXXX and their response in XXXX XXXX is as follows. Please be advised that the servicing of the loan was relocated from XXXX Ocwen servicing location to another on XXXX XXXX, XXXX, with a negative escrow balance of {$790.00}. OCWEN caused the negative escrow balance when charged the NewLoan Setup Fee. This is not a new loan and relocation from XXXX Ocwen servicing location to another is an OCWEN charge not a charge to the consumer or customer. This act is predatory and the loan modification clearly states that the escrow shortage on this loan is included in my current payment. Additionally, my mortgage payment changed, in XXXX, it was {$500.00} and in XXXX it went down to {$490.00}. OCWEN 's attempt to assess 18 months later an unauthorized charge to my escrow that only allows for taxes and insurance is a predatory act and blatant violation of Fair Housing, Fair Lending and Mortgage Servicing Laws and is illegal. In summary the prior Loan Servicer, IndyMac Mortgage Services verified that this is a loan transfer effective XXXX/XXXX/XXXX and transfer of the servicing of this loan does not affect any term or condition of the mortgage contract.

Company response to consumer: Closed with explanation