Consumer complaint received 2017-02-15
Product: Mortgage — Conventional fixed mortgage
Issue: Loan modification,collection,foreclosure — 
Company: Title Security Agency LLC (AZ)

I purchased my home in XX/XX/XXXX. The seller of the property XXXX XXXX is also a realtor and he ended up serving as our lender for this mortgage loan. The title and escrow was handled by Title Security Agency of Arizona. I was extremely surprised that no appraisal was conducted, but we thought the house was a good deal. Once we began making mortgage payments we were surprised that the company that collected the mortgage payments was also Title Security Agency of Arizona. Additionally they disbursed the property taxes and insurance from our escrow account. I felt at that time there may be some type of conflict of interest here. In XX/XX/XXXX I was laid off from my job working on the XXXX due to the XXXX. I had some money saved and was able to make the payments for several months while I tried to find new work but eventually the money ran out and I defaulted on the loan. I immediately reached out to XXXX XXXX to tell him what had happened and see if anything could be worked out in relation to the loan. He was non-responsive. I missed a couple more payments and was then contacted by XXXX Attorney XXXX XXXX. He demanded full reinstatement of the late payments, along with some exorbitant and questionable late fees and legal fees. By this time I had found work again as a XXXX and was able to resume making regular payments and tried to get XXXX XXXX to work with me. Once again, I was obstructed by XXXX XXXX, who stated that all communication must go through him. He told me there were no options other than full reinstatement. 

I am now facing a foreclosure sale date. This is an avoidable foreclosure, as we make sufficient money to afford the payment -- at issue is the few payments I missed while out of work, and the refusal of XXXX XXXX to accept any money from me unless I am paying back every cent they claim I owe. I began looking into the loan and the situation and I have some serious concerns. 

As I recall XXXX XXXX served as the realtor on this loan as well as the owner of the property and the mortgage lender. I believe that may be a problem relating to his fiduciary responsibility to me as the buyer of the home. His preferred title company, Title Security Agency handled the title and escrow for the loan and are now also servicing this same loan. I believe there are serious conflict of interest issues here. I also believe that there may be RESPA violations relating to kickbacks and referrals of business that I feel should be investigated. I also believe that XXXX XXXX and his Attorney XXXX XXXX have violated Arizona foreclosure protocol, by denying me access to ANY POSSIBLE OPTIONS to retain my home, or offering the possibility of mediation. I believe there are serious concerns with the business practices of the parties involved in this loan and am filing this complaint to alert your organization to take a deeper look. I am curious as to how Title Security Agency was able to insure the title for this property without having an appraisal completed. I have gotten the feeling that XXXX XXXX feels that since he is a private lender that he is not subject to any type of scrutiny or regulation.