Consumer complaint received 2020-05-15
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — 
Company: CITIZENS FINANCIAL GROUP, INC. (NC)

To Whom It May Concern. 

My situation revolves around the recent COVID-19 pandemic, and the economic impact it has had on everything and everyone. 

Being XXXX is difficult enough, but on XX/XX/2020, I received notice from my major client, and source of 90 % of my income, that all work was stopped. With that event, I started the process of filing for unemployment benefits. It took weeks to get online with the North Carolina Department of Commerce, to apply for unemployment benefits. Once I finally was able to register my application for unemployment benefits, I have been held in limbo with their review process because I am sXXXX. 

Being XXXX I do not fit the cookie-cutter application for benefits. And, even though I submitted supporting documents proving that I am XXXX, along with a copy of the letter from the client and the XXXX form showing what they paid ( {$120000.00} ) me last year, they have determined that I had insufficient income during the year. I have filed an appeal and a letter of protest with the NCDC, and still waiting for a response. So, I am not receiving any benefits or support at this time. I am also waiting to receive the stimulus check from the government. So, I have generated little to no income over the past 8 weeks. But, this is not the focus of my complaint. 

Then, to add to the stress level, my wife is a XXXX XXXX working at a local XXXX XXXX office. She is working on the front line of this pandemic and has recently been XXXX  to a XXXX  that may have the XXXX. We are currently waiting on test results. 

MY COMPLAINT IS WITH CITIZENS ONE HOME LOANS. 

In late XXXX, we were notified by Franklin American Mortgage Company, that they sold our mortgage papers to Citizens One Home Loan. This transfer of mortgage papers is not unusual. It is done all the time. However, had my mortgage papers not been sold, I would be able to apply for " 90 days deferment of payments '' with Franklin American Mortgage. Deferment of payments means that no payments have to be made for 90 days. It is understood that interest will accrue, and the life of the loan will be extended for another 90 days. This is certainly helpful with cash flow, and the lender does not lose money. 

But, the new holder of my mortgage paper, Citizens One, only offers a " 90 day forbearance ''. Forbearance of payments means that no payments have to be made for 90 days. It is understood that interest will accrue, and the life of the loan WILL NOT be extended. At the end of 90 days, THEY WILL DEMAND FULL PAYMENT OF THE PAST 3 MONTHS, WITH INTEREST. 

I have talked with representatives of Citizens One, and they expect full payment at the end of 90 days, as described above. If someone can not make the payment, they then offer to restructure the entire loan, or allow you to apply for a new loan to cover the shortfall. The problem with this approach is that it is another loan that you have to qualify for. How can anyone qualify to restructure a current loan, or get a new one, when you have no income? 

In light of the economic impact that the pandemic has generated ; how does this company think forbearance is helpful to the average person? Every bank and lending institution that I know of, including credit card companies, are offering deferment. 

Deferment may not be the final answer or solution. But, it is helpful.