Consumer complaint received 2020-01-17
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — 
Company: RUSHMORE LOAN MANAGEMENT SERVICES LLC (NY)

My name is XXXX XXXX and I am the owner of XXXX XXXX XXXX in XXXX, New York. On this date being XX/XX/XXXX, this letter serves as a formal complaint against Rushmore Loan Management Services. Mortgage Account No # being XXXX. My complaint stems from a violation of RESPA Section1024.41 ( c ) ( 2 ) ( iii ) and 1024.41 b ( ii ) I am citing the following : A. Wrongfully Foreclosing B. Refusing to Offer any Loss Mitigation Options, if the Loss Mitigation Application was Incomplete 1. Wrongfully Foreclosing : First, I have applied for Loss Mitigation and have provided the Servicer with all documents/statements in order to approve Loss Mitigation Application. The Servicer has failed to evaluate documents for Loss Mitigation by requesting documents that had been previously submitted and insurance that had been previously placed by the Servicer since XX/XX/XXXX. 

Second, The Servicer provided a Notice of Intent to Foreclose dated XX/XX/XXXX less than 30 days of requesting additional documents. The Servicer is requesting {$1000.00} to cure the default by XX/XX/XXXX, or commence with foreclosure proceedings. Timeframe provided on Servicers response letter for Loss Mitigation Application dated XX/XX/XXXX, does not clearly specify the requested document deadline. 


Third, I have paid my mortgage in the amount of {$280.00} since XX/XX/XXXX the time period in which the Servicer had received the account from XXXX XXXX XXXX. I had received a modification with XXXX XXXX XXXX in XX/XX/XXXX. In or around XX/XX/XXXX payment increased to {$380.00} and subsequent payments of {$350.00} commencing in XX/XX/XXXX. I have paid mortgage payments in the amount of {$350.00}, since XX/XX/XXXX. 

The Servicer did not honor XXXX and XXXX XXXX XXXX attempt to approve /execute a feasible Loss and Mitigation Plan. Instead, The Servicer imposed any/all outstanding debts on the property to the borrower which was presumably to be paid by XXXX XXXX XXXX upon receiving the approved Loss Mitigation Plan. If there were any outstanding debts owed on the property, it was no-fault on the borrower to have monthly payments increase. The Servicers actions to ignore borrowers concerns in past CFPB Complaints in this regard resulted in this current collection of debt process. 

2. Refusing to Offer Any Loss Mitigation Options, if the Loss Mitigation Application was Incomplete : First, the lender provided a letter dated XX/XX/XXXX, Servicer requested additional documents for determination for Loss Mitigation. The Servicer requested the following : a ) Three month Profit and Loss Statement b ) Proof of Insurance c ) Recent 3-month bank statements Second, the Servicer never provided any short-term payment forbearance program or a short-term repayment plan based upon an evaluation of an incomplete loss mitigation application. 

Closing Remarks : As noted in my provided Hardship Letter, the Servicer is well aware of my past XXXX which has impacted my life in general. Complications of the XXXX had been ongoing. I may be physically fit to carry routine duties one day and the next day maybe in the emergency room. I have medical bills that I am liable for out of pocket. 

I have managed to consistently provide mortgage payments in the amount of {$350.00}, although I do not agree as to how my initial Loss and Mitigation Plan was completely disregarded by your institution for mortgage service errors made by the previous Servicer. Therefore why should I require any monies down towards an approved Loss and Mitigation Plan? 

I believe that I have substantiated the Loss and Mitigation qualification process. I have provided all documentation only to resubmit the same information. In addition, I have been consistently making mortgage payments which consist of property debts from city and county municipalities. This would also include payments for insurance the Servicer placed on the property, since XX/XX/XXXX. Why should have to pay for additional insurance that I am currently receiving from the Servicer? 

If the Servicer believes that I have not fulfilled the Loss and Mitigation process, why have I not received a denial letter and/or helpful options from the Servicer? Although XXXX has its contractual agreements as the Servicer previously provided, they have offered forbearances and is aware they must adhere to certain laws that protect borrowers as well. 

The Servicer is aware of my hardship, but requests {$1000.00} in less than 3 weeks to cure a default. The Servicers action with the intent to foreclose, if monies are not received by XX/XX/XXXX will automatically result in loss of the property. I am seeking a fair lawful opportunity to gain an approved Loss and Mitigation permanent plan. 

I am attaching the following : Servicer Letter Dated XX/XX/XXXX, Intent to Foreclose Letter Dated XX/XX/XXXX, Lender Placed Insurance Info.