Consumer complaint received 2022-11-28
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — 
Company: Franklin Credit Management Corporation (PR)

Summary of Facts : 1. On XX/XX/XXXX, XXXX XXXX XXXX  XXXX XXXX XXXX XXXX XXXX R-G '' ) granted XXXX XXXX a loan in the amount of {$260000.00}, due XX/XX/XXXX, with interest at the rate of XXXX  % per annum. The loan was evidenced, among others, by the issuance of a Mortgage Promissory Note payable to XXXX or to the order for the aforementioned sum. The Mortgage Promissory Note was signed, as a signatory, by XXXX XXXX. 
2. After XXXX was closed by the XXXX XXXX XXXX XXXX XXXXXXXX XXXX  in XXXX, and the Federal Deposit Insurance Corporation ( `` FDIC '' ) was named the receiver, the mortgage loan that is the subject of this Third-Party Lawsuit was transferred to XXXX. 
XXXX. By XX/XX/XXXX, XXXX XXXX was hit by Hurricane Maria. As part of the unprecedented ravages of the natural disaster, XXXX XXXX residence suffered severe damage making it uninhabitable and forcing her to move residence and ensure the best welfare of her minor child. 
XXXX. XXXX XXXX was not only forced to rent a residence in order to provide a safe roof for her minor son, but also to hire the services of XXXX XXXX to represent her in the processing and negotiation of the claim with the insurer XXXX. 
XXXX. XXXX finally issued XXXX ( XXXX ) checks namely : check number XXXX in the amount of {$38000.00} and {$160000.00}. These checks were drawn payable at the order of the Respondent and XXXX checks that, at present, have not been disbursed to the Respondent or credited to the debt in question. In fact, the only disbursement made by XXXX was a refund for the amount previously paid by the XXXX XXXX for the removal of a tree and cleaning of the yard in order to gain access to the property. 
XXXX. Since then, the funds have been frozen in an escrow account initially at XXXX, then at XXXX, and currently in an account at Bosco and/or Franklin, which is unknown and about which Bosco and/or Franklin has refused to provide any information and/or formal notification, despite multiple attempts to do so. 
XXXX. Because of this, XXXX XXXX was forced to hire a lawyer who, despite his best efforts, could not help her access the funds paid for by the insurance. 
XXXX. In addition to the damage caused to property by Hurricane Maria, there is a subsequent deterioration of the property for reasons attributable to the negligent administration and unfair practices of Bosco XXXX. 
XXXX. From the beginning, Bosco XXXX and its unfair practices have intentionally and negligently imposed a series of illegal and undue obstacles on XXXX XXXX regarding the availability of funds paid by XXXX. This series of obstacles which, to date, continues to impose is part of a pattern that has caused a range of repercussions for it in terms of delinquent debt, the progressive deterioration of the property, its ability to do the same to make it habitable, subsequently preventing it from making the necessary repairs and improvements to your residence to make it habitable again and / or fulfill your obligation. Because of this, XXXX XXXX had to hire another lawyer again. 
XXXX. For information and belief, XXXX also issued a XXXX ( XXXX ) check payable to XXXX XXXX allegedly for expenses. The correctness and/or regularity of this transaction is unknown. 
XXXX. The only disbursement made by XXXX, to date, is a refund for the amount paid for the cleaning of the yard and removal of a tree. 
XXXX. Since XX/XX/XXXX, XXXX, XXXX, Bosco and / or Franklin have deposited the sum of {$200000.00}, however, they have been reckless and negligent in presenting a cause of action knowing that there is money deposited in an " escrow '' account that approaches, if it does not equal or exceed the total balance truly owed. 
XXXX. In XX/XX/XXXX, XXXX urged the action of collection of money and foreclosure. 
XXXX. Sometime after the filing of the Writ of Enforcement, XXXX XXXX 's account was sold to him and transferred to Bosco XXXX. This information was never provided to XXXX XXXX and without communication as provided for in the RESPA Act, supra. The aforementioned law, in its section 2605, requires a notification at the time of a transfer in the loan. Section 2605 reads, as appropriate : ( b ) NOTICE BY TRANSFEROR OF LOAN SERVICING AT TIME OF TRANSFER ( 1 ) ( 2 ) TIME OF NOTICE ( A ) In general Except as provided under subparagraphs ( B ) and ( C ), the notice required under paragraph ( 1 ) shall be made to the borrower not less than XXXX days before the effective date of transfer of the servicing of the mortgage loan ( with respect to which such notice is made ). 
XXXX. It is not until XXXX  XXXX counsel filed a " Written Request '' with XXXX that on XX/XX/XXXX, XXXX XXXX was allegedly notified of the transfer of her account, that is, after the expiration of the term provided for in the RESPA Act. We must indicate that this communication was never received by her and that transfer was not notified to the Court in a timely manner. 
XXXX. Franklin sends an inspector, XXXX, to inspect the residence and he claimed that Franklin 's practice was always to pay reimbursements for the arrangements paid by the owners and not to pay any amount to make the arrangements paid for by the insurance. 
XXXX. In addition, as a result of Franklin 's negligent actions, XXXX XXXX has not been able to defend itself in the case filed by XXXX XXXX  in collection of money demanding payment for the services rendered in the negotiation against the insurer, there being a Judgment against the defendant in case XXXX. 
XXXX. Even Franklin continues month after month to make negative credit reports to XXXX XXXX totally destroying her credit empirical. 
XXXX. They do not have a physical office in XXXX, or person assigned to the case of insurance or loss mitigation, they have not provided a response to the requests for information and / or documents, the account number and balance of the account that has the insurance money, or the price paid for the property. They only provide XXXX XXXX with a XXXX number with people who attend to her from abroad and who say they have no information about the case or the insurance account and only take messages and offer the same generalized information. 
XXXX. XXXX and, even more, Bosco and/or Franklin have been reckless and negligent not only in administering the mortgage and discharging their contractual and legal obligations, but also during both judicial and out-of-court proceedings., as well as when filing a cause of action, especially when they have not complied with the legal prerequisites to be able to file a cause of judicial action for enforcement and knowing that there is money deposited in an escrow account that approaches, if not equals or exceeds the total balance truly owed. 
XXXX Despite the above, XXXX XXXX has complied on more than 5 occasions with the process and documents required in Loss Mitigtion, and on more than 4 occasions she has presented estimates from different contractors and certifications to access the disbursement of the insurance payment. 
XXXX. However, so far no bona fide offer has been submitted, no real options for retention of property, nor has any payment of the property insurance payment been disbursed. XXXX XXXX was even asked to provide a certified insurance policy for the property when even the previous insurance payment has been hijacked by Bosco XXXX. 
XXXX It is important to mention that XXXX XXXX has the economic capacity to pay the mortgage, however, being forced to rent another residence so she could not make both payments. And she can not return to her residence due to the non-payment of the insurance money to make the necessary arrangements and that has been kept by Franklin Credit.