Consumer complaint received 2024-09-29
Product: Mortgage — FHA mortgage
Issue: Struggling to pay mortgage — Foreclosure
Company: Volunteer Mortgage Loan Servicing (TN)

This complaint is submitted due to Volunteer Mortgage Loan Servicing ( VMLS ), XXXX  XXXX XXXX XXXX ( XXXX ) and their legal representative XXXXXXXX XXXX XXXX XXXX show no concern that government funds were received by the seller under proven fraudulent actions and misrepresentation of the said property- Case XXXX XXXX XXXXXXXX. Assistance was requested through VMLS and XXXX in late XXXX due to the transaction conveying the deed for said property seemed to have contained signs of misrepresentation and fraud. At the time of contacting VMLS in XXXX, XXXX  was told they are just the servicer and could not help. At the time of contacting XXXX in XXXX, XXXX  was told they did not have any resources or help for the XXXX  and maybe try calling XXXX. Issue at hand was that the conveyed property has significant water intrusion in the basement/ Downstairs Livable Space of the property. The water intrusion was and is so significant that the entire basement ( XXXX the total square footage of property ) is not livable space. After the XXXX  could not find assistance with this suspected issue, the XXXX reached out to the seller/seller broker ( investor/spouse of investor ) which ignored inquiry of accountability on the flooding issue or even knowing about the water issue. Due to the large amount of water intrusion and the frequency of events, XXXX  contacted the TN Real Estate Commission with the concern and received a response of no action will be taken against the XXXX. At this point, XXXX retained council and pursued the matter through XXXX XXXX XXXXCase No : XXXX. The case was filed against the Seller and Broker/Investor and Investors Spouse. The jury of 12 members of the Brokers peers found him guilty of all counts on the verdict form. The case was appealed, and the lower courts decision was upheld with a remanding of the court to provide reasoning as to why the punitive damages were set at the given amount. 
Due to the flooding/water issue and the requirement of the XXXX XXXX  ( XXXX ) to retain value in the property and insure the property for the XXXX vested interest of others, there were a chain of events that no one is taking into account. In XXXX, XXXX XXXX insurance was obtained by the XXXX  ( XXXX ) and XXXX mitigation to convey the property over to XXXX XXXX XXXX and XXXX XXXX Water Utility Company ) was discussed with XXXX XXXX XXXX. XXXX claims were made on the property insurance policy before or about year XXXX. XXXX for water intrusion and XXXX for replacement of the retainer wall after an uninsured motorist crashed into the wall. The wall claim was the only claim the insurance company paid. In XX/XX/XXXX, XXXX was made aware that the current insurance policy provider would not renew the policy for the property. This was due to the claim submissions. XXXX ( XXXX ) diligently looked for replacement coverage and could only find XXXX XXXX willing to cover the property at XXXX USD a year. This policy was acquired XX/XX/XXXX. Over the next 2 years the required monthly payment increased to over XXXX additional USD per month. The XXXX ( XXXX ) continued in Good Faith as the payments increased while continuing to retain legal council to oversee the appeal case against the investor/broker. XXXX ( XXXX ) were contacted by a XXXX representative approximately in XX/XX/XXXX due to escrow shortage, that was to high to pay in lump sum like XXXX ( XXXX ) had paid previously. When speaking with Customer Service Representative ( CSR ), the XXXX inquired about distributing payment over a longer period of time. XXXX then suggested XXXX speak to Loss Mitigation team due to how much the required payment increased. At the time of this call, the referenced account was current with payments. XXXX in XXXX department stated that the LM department was there to help and that the loan modification program was open to any Person that stated there was a need. No restrictions were in place as a Person stating the need for modification was all that was required. XXXX inquired about such option as no other option was given. XXXX stated XXXX must stop making current payments as the account must go into delinquency and this would also give their department time to draw up paperwork. A date will be given as to when to start paying again and the new adjusted amount would be stated for the payment. Also, XXXX USD of the loan would be placed in a separate holding account that would reduce the amount of the loan that would accrue interest and the XXXX would have to be paid dollar for dollar by the time the rest of the load is paid off. XXXX stated that XXXX would like to move forward with this opportunity. XXXX stated now we will start the default process that leads to foreclosure but dont worry as you are now in the LM department and just complete the paperwork once you receive it and return it. The XXXX referenced Want it be great to not have to make payments for a few months? You can use that extra money to pay down other bills. XXXX asked could the new payment be paid now? XXXX said no that would mess up the process. 
XXXX followed the XXXX instructions and made no payments. XXXX was received in XX/XX/XXXX, along with a letter stating acceptance into the LM program. A collections XXXX called XXXX the last week in XX/XX/XXXX inquiring if paperwork would be returned. XXXX stated yes at the end of the week along with the XX/XX/XXXX payment that would be the first payment due under the XXXX loan modification program. XXXX was completed on XX/XX/XXXX in front of the required notary and autograph was verified. Package sent via provided FEDEx packing to XXXX XXXX XXXX XXXX showed that it was received on XX/XX/XXXX signed for by XXXX XXXX VMLS XXXX department held these documents for over half a year and XXXX made monthly payments at {$1700.00} USD as required. XXXX in Good Faith continued making payments as required and looking for cheaper property insurance. A cheaper policy was found and property coverage transferred to begin in XXXX of XXXX. On XX/XX/XXXX, XXXX received a call from a VMLS XXXX in the Escrow/insurance department to receive confirmation that the policy was transferred. While on this call, the XXXX inquired with the XXXX as to what was the status of the XXXX  process. XXXX stated they could not confirm the status but would have someone contact the XXXX with an update. A LM XXXX ( XXXX ) called on XX/XX/XXXX stating that everything with the loan was Good they were just waiting on the funding which should be received at any time and thank you for continuing to make your monthly payments. On XX/XX/XXXX, XXXX. sent an email stating XXXX, We have been unable to process your loss mitigation documents due to the signature does not match the loan origination documents. We must have a verifiable matching signature of the original Note and Deed of Trust you executed on XX/XX/XXXX. We are sending you out a fresh set of documents with a FedEx return envelope. Please let us know if you have any questions about the documents. Thank you for continuing to make your ongoing payments timely. XXXX awaited the new documents. Then, XXXX ( XXXX ) reached out via email for clarity on XX/XX/XXXX due to the documents were the same as the previously completed documents : Hello, Thank you for your response. Clarity is needed as to what is required to verify the signature. This clarity was needed because the XXXX no longer had a signature but an autograph as shown on the completed documents submitted to VMLS in XX/XX/XXXX and legal notice had been given on XX/XX/XXXX and XX/XX/XXXX referencing this fact. H.J.s reply was Hello, Have you received the documents? Looks like they were sent out Monday the XXXX of XXXX. On XX/XX/XXXX, XXXX  ( XXXX ) called and spoke with XXXX XXXX and XXXX XXXX XXXX due to clarity was never received as to what was needed to verify that the documents were completed by the Nameholder on behalf of XXXX pursuant to XXXX XXXX XXXX XXXX XXXX 3 USC 54 ; 1L.Ed.57 ; Dall N54 ) UNITED STATES SUPREME COURT RULING 1795 . What was the purpose of using a notary to verify the completion of the documents if the documents would be questioned. Also, this same XXXX ( XXXX ) insured that payments were made each month from the businesss bank account. Clarity still not received. Payments were still being sent in Good Faith On XX/XX/XXXX, XXXX in collections XXXX, contacted the XXXX  stating that the account had been returned to collections department and no longer in the XXXX department. XXXX stated that the documents had been submitted in XX/XX/XXXX and XXXX was awaiting clarity on documents needed to assist VMLS with validation of XXXX autograph. XXXX transferred call to XXXX for which the call was recorded and XXXX was told that documents related to the autograph being legal and lawful could be submitted for review. Documents were sent on XX/XX/XXXX via email attachment XXXX XXXX, Per our telephone conversation on today, XX/XX/XXXX, I am forwarding the said information and proof. Please find attached, legal notices of record for your review, processing and verification purposes. Confirmation of receipt and response is requested. During the phone call, XXXX stated that a call would be returned by XX/XX/XXXX even if the legal team had not given any guidance on the emailed documents. XXXX, XXXX, nor anyone else called by XX/XX/XXXX with clarity. Note : on this same day XX/XX/XXXX, a letter from VMLS stating that they were not going to move forward with any LM services or offer any relief was received. The letter was dated XX/XX/XXXX. The letter stated that additional information could be provided for the account to be reviewed further. This is why the documents were emailed on XX/XX/XXXX to the LM email. 
A call from collections XXXX XXXX was received on XX/XX/XXXX, XXXX  ( XXXX ) requested that all communications moving forward be in writing since no one can hold true to communicating verbally and the tracking number of the certified recorded communication concerning the Notice of Default was given to XXXX for VMLS records. The certified recorded communication Notice of Conditional Consideration shows received and signed by a VMLS agent on XX/XX/XXXX. No response to the Notice was received by the XXXX calendar day as required by the Notice. This is the same Notice that XXXX. states was received on XX/XX/XXXX in a correspondence from XXXX. dated XX/XX/XXXX but not mailed out to XXXX until on or after XX/XX/XXXX. A Notice of Abandonment and Cease and Desist was sent via certified mail to VMLS and their council. The notice was accepted and signed for by a VMLS agent and their council on XX/XX/XXXX and XX/XX/XXXX, respectively. Since receipt of the cease and desist, VMLS/VMLS agents and their council have fail to recognize received notices but in turn expect XXXX and the XXXX  to comply with and/or respond to all communications. The VMLS council has determined on their own that the XXXX County Court case ruling Case No : XXXX, has nothing to do with the foreclosure of the property. This is far from the truth in that the transaction and conveying of the deed would have never taken place if the seller and her broker would have disclosed the material fact about the water intrusion/flooding of property. Pursuant to XXXX U.S.C. 6385-U.S. CODE- Unannotated Title 5. Government Organization and Employees VMLS agents have acted outside their scope of authority and determined that the XXXX  did not have a legal and lawful right to act on behalf of XXXX the entity. This is far from the truth as VMLSXXXXXXXX XXXX XXXX own agents are acting on behalf of VMLS/XXXX XXXX XXXX XXXX-Entities . VMLS and its council send several communications, some certified others not certified as if they are willing to do business. When they have said verbally and in writing that they could not do business with LLH due to no one can SIGN the name in cursive script-this is unconscionable or Bad Faith in the bargaining process or terms. Also, it was communicated that the cursive writing of the name was needed so VMLS agents could guarantee that XXXX/VMLS could get paid, and to protect the interest of LLH. This was all said by an agent on a recorded line or via written communications. The communication process has been very confusing and convoluted due to XXXX  ( XXXX ) being told to correspond with more than one VMLS agent, VMLS council and being directed to send communications/questions to addresses in XXXX, XXXX. XXXX ( XXXX ) requested to access the stated opportunity to present reasons why the foreclosure actions were not legal or lawful on more than one occasion. This request has been ignored. The XXXX reserve all rights under the Uniform Commercial Code without Prejudice 1-308.