Consumer complaint received 2023-10-02
Product: Mortgage — VA mortgage
Issue: Trouble during payment process — Trying to communicate with the company to fix an issue while managing or servicing your loan
Company: CrossCountry Mortgage LLC (CA)

After struggling through the end of XXXX  and into early XXXX  due to loss of income from COVID I reached out to my servicer late XXXX of XXXX  and requested COVID forbearance through the cares act and received a letter in the mail dated XX/XX/XXXXXXXX   that I was approved ( see attached file titled " Initial Approval '' ) with XXXX, XXXX and XXXX payments put into forbearance. Separately, I received another letter with the same date ( XX/XX/XXXXXXXX  ) that gave me options ( see attached file titled " Options '' ). You can see one the 1st page under Option 1 that there is a " disaster extend modification '' that extends the term of the loan by the amount of payments missed. Additionally, " no additional documents are required '' - and then " If '' I can not resume payments there is another option below this titled " VA disaster modification '' that changes payment terms. This is important to remember later. 

XXXX and XXXX went by with my payments in forbearance and I proactively reached out to the number on the letter in late XXXX since XX/XX/XXXX would be the last payment in forbearance. I reached out with the intention to resume payments as normal starting XX/XX/XXXX. With some financial help with family after getting married XX/XX/XXXX, and some hard budgeting decisions my hardship was over. When reaching out to the loss mitigation department in late XXXX to let them know I was ready to resume payments XX/XX/XXXX I was advised to reach out in XXXX. When I reached out in early XXXX I was told to reach out the second half of the month. I reached out the second half of XXXX and told loss mitigation I was ready to resume payments. The options were given to me ( the same as what the attached letter " options '' gives ) and I asked for the " Disaster Extend Modification '' since I was able to resume payments as normal. I was told nothing further was needed and it could take a couple weeks or month or so for this to be processed. 

The rest of XXXX went by and I had not heard back. I was nervous with my XX/XX/XXXX payment coming up and being stuck in a limbo state of not having things resolved but also not knowing what to do for XXXX, so I called loss mitigation and asked for a status of my " disaster extend modification '' and also how I should proceed since my forbearance was approved for XXXX, XXXX, and XXXX but not XXXX. I was told that there were no updates on the disaster extend modification and that the loan was not considered late until the XXXX of the month. They stated they would take a payment for XXXX if I wanted and this would look good as well. I made my normal payment of {$9300.00} in early XXXX ( prior to the XXXX ). At this time I was also reported 90 days late ( contrary to my understanding of the CARES act ) and asked for this to be removed. 

The entire month of XXXX came and went without hearing anything. I reached out a couple times to get the status of my Disaster Extend Modification and was told it was still in process and be patient. XXXX XXXX I reached out again to check status and make another payment. Once again, I was reported 90 days late and I asked for that to be removed and made my payment again for the amount of {$9300.00}, the amount my payment was prior to forbearance. Still no updates from loss mitigation and was again told in process. At this point it was about two months since I had asked to come out of forbearance and resume payments as normal. The month of XXXX came and went. 

Early XXXX ( though it is dated XX/XX/XXXX ) I received a letter in the mail that referenced a " trial workout agreement '' ( see attachment " Trial Workout-Foreclosure Threat '' ) that threatened foreclosure if I did not sign and send {$14000.00} by XXXX. I of course immediately called ( XX/XX/XXXX ) - I spoke to a XXXX ( initials given XXXX  ) but he hung up. I called back and got a XXXX ( initials given XXXX  ) - who told me she could not see anything in the system referencing the letter that I had in my hand. I asked was she sure and she told me yes. I think this is evidence that the letter was sent out much later than dated since there was nothing in loss mitigations system that referenced this letter. I told her I was really nervous since the letter threatened foreclosure and she said she couldn't put anything in writing ( what I wanted ) but that I was okay, she had checked with her supervisor and confirmed I was still in for review of my disaster extend modification. 

At this point it was clear to me that something had gone wrong. I called the VA and spoke to me assigned rep there. He told me he believed the letter that I had was for a modification that would increase the rate from the 2.25 % that I currently have to market rate of over 7 % and permanently increase my payment by $ XXXX - {$9300.00} to {$14000.00}. 

I called back loss mitigation on XX/XX/XXXX and this time they did see the letter I had in their system. They confirmed this was something that I did need to do. He explained ( initials ARU ) that I had NOT been approved for the " Disaster Extend Modification '' and was instead being given then " VA Disaster Modification '' - which meant my rate would go to market rate and payment would increase by over $ XXXX permanently. 

This was obviously a big problem and a big deal for me to have the payment go up by over $ XXXX. No explanation was given as to why I was not given a " Disaster Extend Modification '' as originally requested. Furthermore, the " VA disaster modification '' is listed on the letter as an option " if you can not resume making the full contractual payment '' - which I told the loss mitigation department I could. Even if I couldn't this other option reads as meant to decrease the payment if the previous payments were too high, not increase the payments by over $ XXXX. 

Regardless, I wanted to continue to show good faith and made a third payment of {$9300.00} on XXXX since coming out of forbearance, clearly evidence I am able to resume. I was again reported 90 days late ( a third time ) on my credit report. 

Since no one was able to help me on the phone, seemed to have old or inaccurate information, or knew what was going on over the phone I sent an email to the loss mitigation department on XX/XX/XXXX and again XX/XX/XXXX detailing what I have sent to you above. I did not get a reply as of today ( XX/XX/XXXX ). I called them again today ( XX/XX/XXXX ) and asked if they received my email. The person on the phone ( initials XXXX  ) confirmed they had received both emails on XX/XX/XXXX and XX/XX/XXXX and that they had been forwarded to supervisor. At this point, since it is now past XX/XX/XXXX I am fearful my home will be foreclosed on as threatened on the letter titled " Trial Workout-Foreclosure Threat '' which is my reason for reaching out today.