Consumer complaint received 2023-07-30
Product: Mortgage — Reverse mortgage
Issue: Struggling to pay mortgage — 
Company: Onity Group Inc. (FL)

PHH Mortgage Services XXXX XXXX XXXX XXXX, NJ XXXX Subject : URGENT Notice of Error - Dual Tracking and Request for Immediate Sale Cancellation Dear PHH, I am writing to you with profound concern and urgency as an heir to my late parent 's reverse mortgaged property, which is currently serviced by PHH. This notice of error pertains to the impending foreclosure sale scheduled for Tuesday, XX/XX/2023, and the distressing dual tracking practices pursued by your institution. 
Despite receiving a conditional approval for the reverse mortgage short sale, you have claimed that a final approval can not be provided within seven days or less of the current scheduled sale date. As you are aware, I have diligently adhered to the conditions of the conditional approval, which in turn enabled me to secure a buyer who has already taken significant steps towards completing the short sale transaction. This committed buyer has promptly deposited funds in escrow with the title agent, demonstrating their genuine intent and readiness to proceed with the closing. 
However, to my deep concern, the foreclosure sale has not been canceled indefinitely, despite your ability under 12 CFR 1024.35 ( i ) to do so to rectify any errors and comply with the law. This has caused severe damages and injuries as a confirmed successor in interest. As a direct result of the impending foreclosure sale that has not been canceled, I am facing the inability to complete the loss mitigation short sale transaction. This puts immense strain on both my financial stability and emotional well-being. 
The continuation of the foreclosure sale while the short sale process is ongoing points to concerning dual tracking practices employed by PHH. I must stress that this behavior is strictly prohibited under the applicable regulations ( 12 CFR 1024.41 ). Dual tracking during the entire loss mitigation process exacerbates the already dire situation and raises serious concerns about PHH 's compliance with the law.

The potential fallout from PHH 's actions is deeply concerning, as they may lead to significant financial liability on the part of your institution. I must emphasize that the regulations under 12 CFR 1024.35 ( i ) explicitly afford you the ability to cancel the sale indefinitely to resolve these errors and comply with the law. 
I implore you, with the utmost seriousness and urgency, to immediately cancel the foreclosure sale scheduled for Tuesday, XX/XX/2023, and cease any further dual tracking activities. Failure to take immediate action will not only exacerbate the already dire situation but also highlight the severe liability PHH is facing for non-compliance with the applicable regulations under 12 CFR 1024.35 ( h ) and 12 CFR 1024.41 ( f ).

As an heir and confirmed successor in interest, I am fully aware of my private right of action under these regulations. I expect PHH to take immediate corrective measures to rectify these violations and protect my rights.

I demand a written response within the timeframe set by the regulations, confirming the indefinite cancellation of the foreclosure sale and providing clear details of the remedial actions undertaken to address these errors and cease dual tracking practices.

Please be advised that this Notice of Error serves as a formal record of the egregious dual tracking practices employed by PHH and the urgency for resolution. The potential consequences of non-compliance are severe, and I hope this letter promotes swift and decisive action from any human involved in reading it. 
Time is of the essence, and I look forward to your immediate response, displaying a genuine commitment to resolve these issues promptly and responsibly. 
Sincerely, XXXX XXXX ( Heir and Confirmed XXXX in Interest )