Consumer complaint received 2022-10-21
Company: PLANET HOME LENDING, LLC
State: NC
Product: Debt collection
Sub-product: Mortgage debt
Issue: Took or threatened to take negative or legal action
Sub-issue: Seized or attempted to seize your property

Complaint:
In XXXX a foreclosure notice was put on the door of my house. I bought the house in XXXX. I had no idea what was going on. I had to work and dig to find out. I was subpoenaed to a foreclosure hearing and I found out that it was from an equity loan I had opened in XXXX for XXXX. Unbeknownst to me, my ex husband had stopped making payments on said equity line in XXXX, with an approximate balance of XXXX. I had since remarried and mine and my ex husbands young adult daughter, her fianc and their son lived in the house and began making house payments to the primary mortgage holder We didnt know the equity loan still existed. They have never been late on a mortgage payment. I added my daughter and her fianc to the title per a quit claim deed, with intentions of it being their family home. Then the foreclosure notice was posted. I attended the hearing in XXXX and agreed to work out repayment to the new owner of the loan, Planet Home Lending. Come to find the original loan was charged off by the lender in XXXX, and was sold to XXXX, who sold to Planet Home Lending. The loan was dead debt and the later 2 companies bought the loans for pennies on the dollar. Ive been told if I had disputed the debt all of the collection efforts would have stopped. I contacted Planet Home. Lending after the hearing and they agreed to put the loan back on payments with a XXXX. Down payment. I could not come up with that, but my ex, my daughter & her fianc and me and my husband all pooled together and we came up with XXXX. Even tho I had lost my job because of covid, and my ex was diagnosed with terminal XXXX. Planet knew we had all intentions to pay this debt. We signed the loan modification agreement and my daughter and her fianc made payments for a year. We signed the loan mod under duress per the foreclosure threat. My ex and I are at fault there because we did not read the document throughly, and after a year of XXXX payments, the website would not accept a payment and I called to see why and found out they only set the payments back up for the one year with a balloon payment of the balance. Also they had placed the previous payment in suspense. I was so upset, because I had trusted them and they had certainly tricked me. We thought we had resolved the problem. I called them many times to beg for the balance to be paid in payments. They would only agree to that with another down payment of XXXX. My daughter had never been late on her payments to them. I received collection calls and was talked to like a criminal, disrespected, and threatened with foreclosure. I finally stopped taking their calls. I was told they couldnt foreclose without the primary mortgage holder agreeing because they held a approximately XXXX. Balance and no payments had been late. I got another foreclosure notice on the door and a subpoena. I went to the first hearing in XXXX XXXX and explained everything to the clerk of superior court and their lawyer knew absolutely nothing about the situation, couldnt answer any questions and did not have a business card. He really never said much. His face and neck were burning red. He was very nervous. I began to suspect he was not an attorney at all. The clerk continued the hearing and the next one is XXXX XXXX, XXXX. I submitted a settlement offer of XXXX and when I tried to log in to check on their answer, they had disabled our user information. I never received any response even tho I got a confirmation number when I submitted it. When I call them now, they wont communicate with me. The NC attorney general office referred me to a debt help company to assist me in communicating with them and we did a way call with them and was so ugly to us. Again I would have to put more money down, now XXXX. To set back up on payments or pay in full or they are foreclosing. They wouldnt even discuss the situation, they just kept referring me to their website and so that is where I submitted the settlement offer, I have XXXX in equity in the house and the payoff on the primary mortgage is approximately XXXX. I received a letter from their lawyer that I can cure the loan for the current payoff of over XXXX. How? I have paid Planet Home Lending approximately XXXX. To date on a XXXX balance. Come to find out fees eat up the down payment to modify the loan. They charged that much to set it back up on do copayments for only a year. They have also charged all their collection and legal fees to the account plus late charges of almost XXXX a month since XXXX XXXX. My primary mortgage company tried to do a refi per the huge amount of equity so that we could pay them in full and add my daughter and her fianc to the loan but because Planet Lending has reported foreclosure on my credit reports it was not finalized. I called and told them I had the ability to pay them off but could they remove the foreclosure reporting but they refused. Now Ive been told that if the foreclosure is approved they have to pay off my primary mortgage to take ownership, however they can evict the occupants. I believe they are intentionally not working with me so they can get the house, but why? My daughter is having panic attacks, and nightmares. She got a promotion and she is under XXXX already. Its been a nightmare. On top of everything else, they have never fulfilled my request for loan documents on the original loan and even referred me to XXXX to see if they have documents. I expressed that to their attorney the last hearing, and he promised he would get those to me yet I still have not received them and when I called them to request them again, they referred me to their website and I told them the attorney promised to get them to me, she said, well youve taken care of that then. When I ask about whats the end result of their foreclosure process, they just more or less say we take your home. They will not explain any thing and will only discuss new payment arrangements with another down payment. Please help us. I have plenty more information and copies of letters and other docs. Planet Home Lending is based in CT. They are a privately held company by a group of investors. They are mls liscensed. I dont have time right now to onattach documents. I have to go to work, but I can provide those if you need them. My phone number is XXXX

Company response to consumer: Closed with explanation