Consumer complaint received 2015-08-13
Product: Mortgage — Conventional fixed mortgage
Issue: Settlement process and costs — 
Company: NATIONSTAR MORTGAGE LLC (CA)

XX/XX/2015To The Office of the Consumer Protection Bureau and Attorney General of the State of California : I am requesting you investigate the practices of the Mortgage Servicer Nationstar. I am making this request on behalf of my client XXXX XXXX whose loan is serviced by Nationstar, the many consumers whose loan are being serviced by Nationstar and have been denied foreclosure prevention, Realtors who are being forced to accept the illegal practices in order to assist their clients, those consumers who may not even know that they are being subject to breaking the law due to illegal practices being carried out by Nationstar and finally the investors who loans are being serviced under Nationstar 's Master Servicing Agreement. 
Under Section 8 of the Real Estate Settlement procedures Act ( RESPA ), it is illegal for anyone to give or receive a fee, kickback or anything of value in exchange for referrals of settlement service business to a particular person or organization relating to a mortgage loan. The CFPB 's has made it clear illegal referral schemes in the real estate industry resulting in unfair treatment will be penalized. It is my hope that CFPB will investigate thoroughly the information I am providing. 
After numerous attempts by my client to modify their loan Nationstar has continually denied their modification overlooking most of the Federal and State laws put into place to protect consumers. At a later point in this letter I will detail those laws I believe are not being followed by Nationstar, but today I am filing a complaint surrounding the laws that violate RESPA in Nationstar 's Short Sale process which have been completely overlooked by CFPB. A Short Sale still involves a mortgage loan. 
On XXXX XXXX, 2015 my client received a letter from Nationstar stating they were qualified for the servicer 's Short Sale program ( attached ). I am the XXXX that listed my client 's home prior to the letter being issued in XXXX of 2015 to my client XXXX by Nationstar. The letter that Nationstar presented to my client 's did not detail the guidelines for their program and after reviewing them I understand why they did not detail the guidelines, the letter only confirmed with the borrower that they must accept the guidelines. During the Short Sale process I was provided an additional letter for my client and I to sign by Nationstar which was labeled " Validation '' ( attached ). Nationstar insisted that both the borrower and I sign this letter before allowing the borrower to move forward with the Short Sale. The " Validation '' consent allows a company ( XXXX ) that Nationstar is the parent company of to auction the borrower 's property. In the very fine print they disclose that Nationstar not the investor will receive proceeds from XXXX in the form of a 5 % buyer 's premium. The auction company is first and foremost a California licensed Real Estate Brokerage that Nationstar has set up to receive kickbacks on the properties it services for investors. This is most definitely illegal and for Nationstar to force the borrower, and any perspective buyer to participate in this practice is incomprehensible. I add that the perspective buyer is forced because in order to place an offer on a property the perspective buyer must give up their rights to using any third party service such as escrow and title and allow Nationstar to select the service where Nationstar receives compensation ; again this is a RESPA violation. Nationstar can not force any member of the public or the investor into illegal activity to receive financial gain for Nationstar. 

CONTINUED IN ATTACHMENT