Consumer complaint received 2023-12-11
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — An existing modification, forbearance plan, short sale, or other loss mitigation relief
Company: NEW YORK COMMUNITY BANCORP INC (NC)

To : XXXX XXXX : XXXX XXXX XXXX : XXXX XXXX XXXX : XXXX On XX/XX/2022 my wife and I were granted a loan modification from Flagstar Bank thanks to CFPB help. We received the modification with the executed date being XX/XX/2022, but the modification was backdated to the beginning of XX/XX/2022, which we were told by several of the loan counselors we talked with at XXXX was very odd. Over several phone conversations I was told that the modification was being processed and they would let me know when to pay. We never received anything from Flagstar about paying, and every time we called, we were told that the modification was being processed. The website was not updated until XX/XX/2022 and at this point, we were being foreclosed on due to 7 missed payments. So, after I called and spoke with XXXX, a loan XXXX, on XX/XX/2022, I was told I could not make any payments and had to go through the foreclosing attorneys office. I was told by XXXX XXXX, attorney for Flagstar, on XX/XX/XXXX that I would need to pay {$56000.00} to bring the loan current. I explained to him that amount was incorrect due to our modification and that XXXX from Flagstar would be sending him the correct information later that day, he said he would get back to me, but he never did. The foreclosure was later dismissed and I started working with the bank to get everything taken care of. 
I have been in the process over the last 10 months trying to fill out Flagstars Loss Modification documents and to gain a forbearance, but am having a very difficult time doing so. I will receive notices and supply the needed information, and nothing happens. Then I will receive a notice in the mail saying the application has been closed, but on the website, it will say processing. I have been told by several of the loss mitigation counselors that you cant trust the website and I should call. I have done this 3 times now, and the bank will send me information on what they need and when I upload the documents, they say they never received them. A few weeks later, the application will be closed, and I will have to start the months long process all over. I have screenshots, where the documents appear on my forbearance application as being uploaded but Flagstar says they never received them. At this point, Flagstar has turned us down for any mortgage relief and has also denied our appeal for a new or trial modification on the grounds we missed XXXX or more payments in the first 12 months of the modification executed on XXXX. How were we supposed to make any payments as the modification was back dated to XX/XX/2022, so we had already missed XXXX payments due to this alone, as well as the fact that the bank didnt have the correct information on and payment amounts on their system until XX/XX/2022. We were told in XXXX we should have started making payments anyway, but we had a payment of {$56000.00} due up until XX/XX/XXXX when our account was finally updated. There was absolutely no way we could have made that payment, so we were essentially blocked from making any payments until XX/XX/XXXX. So, we had no chance of making XXXX payments at all. 
We dont want to lose our home and just want to be able to pay our monthly mortgage payments but we are out of options dealing with the bank. We love this house and just want to be able to live in it without this constantly hanging over our heads. I wanted to file this complaint, with the leaders of Flagstar Bank listed on the complaint, to bring to their attention the failure of their XXXX XXXX XXXX, XXXX XXXX and XXXX XXXX.