Consumer complaint received 2023-07-08
Product: Mortgage — FHA mortgage
Issue: Struggling to pay mortgage — 
Company: Mr. Cooper Group Inc. (AL)

I need HELP!! I was approved for a forbearance during COVID in XXXX, but was also terminated from my job in XX/XX/XXXX. My dad ( a veteran ) died from XXXX in XX/XX/XXXX, so I requested an extension for the forbearance and was approved. I was denied unemployment and during the appeal process, a librarian helped me fax some papers. She informed about the Mortgage Assistance for Alabama. I applied but was denied because they said my loan payment showed it was over the {$50000.00} maximum. 

I went to XXXX XXXX XXXX and XXXX XXXX for assistance. I was asked if the mortgage company could accept the {$50000.00} and apply the partial/balance over the {$50000.00} amount to me, or modify the remaining ( since it would primarily have been for escrow due to taxes & insurance ). The Mortgage Assistance of Alabama program stated there is a time frame, and funds were available on a fist come first serve basis. Mr Cooper REFUSED to assist me! 

Mr Cooper demanded the full past due amount and would NOT accept any smaller payments! They only offered to refinance my entire loan for another 40 yrs & a higher payment, & higher interest rate! They were forcing me into foreclosure, so in XX/XX/XXXX I filed bankruptcy to prevent foreclosure. My attorney advised me to apply for another modification while the bankruptcy is active. However, on XX/XX/XXXX I was terminated from my current job ( reason states for filing bankruptcy ), and I have applied for Unemployment. My employer is refusing to pay the Unemployment Benefits. I have appealed and I am currently waiting on a date and/or update, but I currently do not have ANY income. 

In XXXX, I called Mr Cooper and explained my situation. I was instructed to contact my bankruptcy attorney and have him call them. On XX/XX/XXXX I received a packet with a modification agreement that states it will add {$13000.00} to the current principal balance of {$160000.00} adn the new principal balance modified will be {$180000.00} ... which will begin on XX/XX/XXXX. On page 2, it states in 1 ( A ) I am experieincing a financial hardhsip, and as a result, ( i ) I am in default under the Loan Documents or my default is imminent, and ( ii ) I do not have sufficient income or access to sufficient liquid assets to cure the default or to make the monthly mortgage payments now or in the near future. It states the new maturity date will be XXXX/XXXX/XXXX ( which is 40 years )! And the current Total Outstanding Balance of my loan is {$220.00}, XXXX. The interest rate will increae from 4.25 % to 6.8750 % and the new monthly payment will be {$1500.00} due on XX/XX/XXXX. 

The original loan amount was {$200000.00}. They have ignored or disregarded ALL the payments that I have made from XXXX! I called and they said They could not speak to me, only my bankruptcy attorney, due to the bankruptcy filing. My attorney filed the affidavit authorizing me the ability to communicate with Mr Cooper and receive statements or any documents pertaining to a modification. This seems like price gouging or predatory lending to me! Today is XX/XX/XXXX and I STILL do NOT have ANY income! Plus, I am in an ACTIVE bankruptcy ( due to Mr Cooper ). So, I know I will not be able to pay ANYTHING on XX/XX/XXXX! Hopefully, I will have had my Unemployment Appeal and my Termination Appeal before then, so I can get my job back and/or have some type of income!