Consumer complaint received 2022-11-23
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — 
Company: Mr. Cooper Group Inc. (TX)

Our mortgage was sold to RightPath Loan Servicing on XX/XX/XXXX. Prior to the transfer we completed ( signed and notarized ) XXXX loan modifications ( # XXXX for $ XXXX and # XXXX for $ XXXX ) and the most recent one ( # XXXX ) was to go into effect XX/XX/XXXX. Once I setup our portal in XXXX, I didnt see any kind information on our loan. It was like we didnt have one. I called and verified that they got our loan modification documents but was told the loan wasnt booked yet. They told us in XXXX that they were rejecting the loan modification because we had not made our first payment on XX/XX/XXXX and they cant book the loan without it being current. It was current when we switched over, so they should have booked it in XXXX when we switched over. I called again in XXXX and they said the same thing, that we would now have to pay XXXX and XXXX in order for them to book the loan. At this point our mortgage had not been reported to the credit bureaus and it was not on our online portal. It was like we didnt have one, but they still wanted the monthly payments listed on the loan modification that they rejected. We couldnt make both payments but were able to make one so we did. In XXXX we got a letter from our homeowners insurance company that the loan servicer had failed to make a payment for our homeowners insurance and they were threatening to stop coverage. By the time I called the insurance company, RightPath had sent them the payment, even though we didnt have a booked loan. I spoke with someone at RightPath again who said they should be honoring our loan modification ( # 2 ) and that he would send it to their underwriting team so they could get it booked. We got another letter saying they rejected it because they didnt receive the signed documents from us by the due date, even though they didnt send us any documents and I had verified with 3 people at this point that they had our signed loan modification from the previous company. Our new statement that we received in XXXX showed that we owed over $ XXXX, which would have been the amount that we owed from loan modification # 1. It also showed that the payment we made in XXXX was unapplied. The mortgage had also not been reported to the credit bureaus as of XX/XX/XXXX ( 5 months after we switched over ). We received another statement in XXXX that showed we owed $ XXXX now and that a partial payment had been made in XXXX and that our monthly payment was {$1700.00}, which was the amount from the first loan modification we did back in XXXX. It took them 3 months to apply our payment. This statement also included a threat to foreclose on the house. We applied for assistance from the HAF and have been assigned a case worker who has contacted the mortgage company twice for documentation, which they drug their feet on sending to her both times. I called and spoke to someone yesterday, XX/XX/XXXX, and was told once again that they couldnt book a loan modification until it was brought current but that they had booked our first loan modification, even thought it was almost 10 months past due. He also told me that our home wasnt in danger of being foreclosed on yet. Our mortgage had also hit our credit by this point. They refuse to book our most recent loan modification ( # 2 ) even though they have our signed documents. They chose to only book the first modification even thought its significantly more past due than the second one and they told me they cant book past due loan modifications. They also held onto our money for 3 months without applying it to our loan. I trust gas station sushi more than I trust this company. I know they also go by the name Mr. Cooper and that they have had numerous lawsuits filed against them for mishandling borrowers payments and preying on people during covid by not honoring loan modifications.