Consumer complaint received 2015-09-09
Company: Ditech Financial LLC
State: SD
Product: Mortgage
Sub-product: Conventional fixed mortgage
Issue: Loan modification,collection,foreclosure

Complaint:
In XXXX I began having financial problems due to a job change in my primary income, a lost second income and a divorce. I contacted Greentree in an attempt to modify my XXXX mortgage payments to an amount that I could continue paying. My ex-wife was considered unemployable due to her health condition. Greentree requested documentation which we immediately sent. We were told they would get back to us. During this process I was still trying to make mortgage payments at the expense of my own basic living expenses. I was able to find a roommate willing to pay all of the household bills so that I could make even partial payments. Greentree repeatedly assured us throughout XXXX and into XXXX that the modification was close to being completed. They agreed to add the real estate taxes for XXXX and XXXX to the loan at this point. They requested more documentation which was sent promptly. Our Greentree contact informed us by phone that they would be writing off the second mortgage in order to focus on collecting XXXX. At this point I was barely able to make even partial payments. I needed groceries and gas for my vehicle in order to have any income whatsoever. Greentree was taking money out of my savings account even when I had n't authorized it which generated overdraft fees in addition to the lack of income. XX/XX/XXXX Greentree decided that, instead of adding the taxes to the loan, they would pay the taxes and give us an additional payment to the mortgage payment. When the payment was returned for insufficient funds, they said we 'd have to start the whole process all over again after almost two years. At this point both my household and my ex-wife 's household were receiving up to XXXX calls per day from Greentree asking for payment. We talked about what options were available to us with our contact and, with Greentree 's help, we began the steps to do what they called a short sale. We contacted a real estate agent who knew an attorney who dealt with short sales and they agreed to help us. Greentree sent us a packet of forms required for the short sale and we returned them promptly. Our agent and attorney were also communicating with Greentree and were experienced the same issues that we had run into during the modification process. Greentree was unwilling to allow any communication by e-mail and insisted all communication on their end be handled by phone only. XX/XX/XXXX the house as listed for sale 'as is '. There were XXXX bids placed. We accepted the one that was over the list price and submitted the bid to Greentree ; who then sent their own appraiser to do comps in the area. The offer exceeded his appraisal figure. Our attorney was in contact with Greentree and was assured that things were progressing well and that we would hear something back in about a week on our buyer 's offer. She was also assured that the second mortgage was going to be written off. The inspector hired by the buyer found hail damage on the roof that would need to be replaced. We had our own inspector take a look at it and he agreed with the assessment. The buyer amended his offer to a lower amount for this reason. We submitted the amended amount to Greentree with an explanation. By this time the contact at Greentree was giving conflicting statements to our attorney. She went to a supervisor and was told that the second mortgage was not being forgiven and that the requests had been submitted as another modification which would require more documentation. The buyer withdrew his offer due to Greentree 's incompetence. XX/XX/XXXX we requested a deed in lieu of foreclosure from Greentree at which time we were informed that the house was going into full foreclosure and we were n't eligible for that option. On XXXX XXXX, XXXX it was sold at auction for approximately {$76000.00}, which was under the amended offer of {$78000.00} for the short sale. Contact me for more.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation