Consumer complaint received 2024-06-22
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Problem with a company's investigation into an existing problem — Their investigation did not fix an error on your report
Company: PENNYMAC LOAN SERVICES, LLC. (SC)

PennyMac was servicing the mortgage I took out to purchase a condominium in XXXX, NC. During the year XXXX, I was seized of this property by the XXXX County Court system, and the property was auctioned. The courthouse then used the proceeds to satisfy the judgment against me, and then remitted the remaining funds to PennyMac to pay down the mortgage. This payment was approximately {$190000.00}, and the outstanding mortgage balance at the time of the seizure and sale was approximately {$200000.00}. 

I've noticed that my credit report has remained with a balance due to PennyMac  in the amount of {$200000.00}. Recently, on XX/XX/XXXX, I contacted PennyMac to inquire as to the outstanding balance, as well as the status of the funds they received from the courthouse. 

PennyMac advised me that had, in fact, received the $ XXXX funds from the XXXX courthouse and had applied them to my account. They went on to say that my account balance is now at {$0.00}, and the account is paid off in full. 

They advised the best way to clean up my credit report would be to dispute the amount on my credit report as having a balance of {$200000.00}, and PennyMac would then respond and remove that amount from my credit report. That same day, on XX/XX/XXXX, I submitted a dispute to XXXX and XXXX, per the PennyMac agent 's suggestion. 

Today, XX/XX/XXXX, I received a notice that the dispute with XXXX was complete, and that PennyMac reported the outstanding balance of {$200000.00} is correct. So now, I am unsure what to do about this balance on my credit report, since PennyMac has acknowledged they received the payoff funds from XXXX County, they have advised me the account is closed out and has a {$0.00}, and that I should submit a dispute in order for PennyMac to update my account with the credit bureaus to report the {$0.00} balance and closure of the account. 

PennyMac has acknowledged the receipt of the funds from XXXX County, as well as the status of the account, yet they recently responded to my credit bureau dispute by saying the opposite : that I still have an outstanding balance of $ XXXX and that the information they have provided to the credit bureaus is correct. So, they acknowledged the error in reporting to the credit bureaus, and advised me to dispute the amount, then PennyMac responded to that dispute and failed to correct the error which they previously acknowledged during the phone calls I had with them on XX/XX/XXXX. 

I am asking the CFPB to please reach out to PennyMac and require them to update my credit report based on accurate and true figures, namely, taking into account the $ XXXX they received from XXXX County as well as the {$0.00} balance and payoff status of my account I held with them. They have acknowledged this via phone, but responded by saying the opposite when I disputed these balances with the credit bureaus. 

This is adversely affecting my credit score and ability to become eligible for financing, and PennyMac seems to be going out of their way to make it hard for me to do so. They are fully aware of the true status of my account with them, which they acknowledged via phone, however, they responded to the credit bureau dispute and stated the inaccurate information that is currently reported to the bureaus is accurate.