Consumer complaint received 2024-08-10
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — Trying to communicate with the company to fix an issue related to modification, forbearance, short sale, deed-in-lieu, bankruptcy, or foreclosure
Company: Onity Group Inc. (ID)

Dear Consumer Financial Protection Bureau, I am writing to file a complaint against PHH Mortgage regarding their handling of my mortgage assistance request. I believe their actions constitute violations of the Real Estate Settlement Procedures Act ( RESPA ).

Summary of Issues : 1. Inadequate Response to Mortgage Assistance Request : - I submitted a complete application ( Borrower Response Package ) to PHH Mortgage after my home was severely damaged due to a disaster. Despite this, PHH denied our claim for mortgage assistance without properly reviewing all the facts or contacting me to discuss the situation.

- I made multiple attempts to communicate with PHH, specifically requesting that the assigned representative, XXXX XXXX, contact me to discuss my hardship. Despite emailing several times and requesting callbacks on XX/XX/XXXX and XX/XX/XXXX, I never received a response. 

2. Inappropriate Alternative Offered : - When I eventually spoke to someone in the loss mitigation department on XX/XX/XXXX, the only assistance offered was a home equity line of credit. I felt this was grossly inappropriate, as it seemed like PHH was more interested in profiting from a loan with a higher interest rate rather than providing genuine assistance to help me stay in my home.

3. Lack of Knowledge and Failure to Review : - The representative I spoke with appeared to lack knowledge about loss mitigation options. When I inquired about a forbearance, the representative was unfamiliar with the term.

- I also requested that PHH review our application with XXXX XXXX, the investor of our mortgage, but this was never done.

4. Misleading and Inaccurate Communication : - On XX/XX/XXXX, I received a letter from PHH stating that they would not issue a lender-placed insurance policy, which I never requested. They never explained what this was or why they were doing it.

The letter also claimed that PHH 's research suggested our insurance claim would be denied, even though it was never submitted to the insurance carrier. It is unclear how they could predict this outcome without submitting the claim.

5. Poor Communication and Reassignment : - Throughout this process, PHH has failed to maintain adequate communication. Despite numerous requests, I have never spoken to my assigned account representative. The only communication I have received from PHH has been generic letters that do not indicate any real evaluation of my situation.

- Furthermore, PHH recently reassigned us to a new representative, who has also failed to reach out or respond to any emails or phone calls.

Request for Action : I respectfully request that the CFPB investigate PHH Mortgage for their handling of my mortgage assistance request and their potential violations of RESPA. I believe their failure to properly review my application, provide appropriate assistance, and maintain communication constitutes a breach of their obligations under RESPA.

Thank you for your attention to this matter.

Sincerely,