Consumer complaint received 2022-05-27
Product: Mortgage — Other type of mortgage
Issue: Trouble during payment process — 
Company: Fay Servicing, LLC (FL)

I had a second mortgage on my home at XXXX XXXX XXXX XXXX, XXXX XXXX XXXX  XXXX. 

The mortgage was previously in pre-foreclosure and the debt was purchased by XXXX XXXX XXXX XXXX. A workout arrangement was signed and agreed to ( a copy of which is attached to this complaint ). The date of the agreement was XX/XX/XXXX. 

As part of the terms of the new loan, a BUY DOWN was agreed to at the following terms : Deferred Balance Part : {$9200.00} Buy Down : {$4000.00} Write Down : {$5200.00} Deferred Balance Part : {$9200.00} Buy Down : {$4000.00} Write Down : {$5200.00} Pmt received by XX/XX/XXXX XX/XX/XXXX This is XXXX buy downs, totaling a {$10000.00} reduction in exchange for {$8000.00} in total payments if received prior to XX/XX/XXXX. 

The other term was that all payments were to be made on time. 

The loan was serviced by XXXX XXXX XXXX. 

On or around XX/XX/XXXX, Fay Servicing LLC acquired the loan from XXXX XXXX XXXX. 

Fay Servicing failed to provide a notice of the change in a timely manner, so XXXX payments were made to XXXX, which were then sent to Fay Servicing, along with a letter explaining to Fay Servicing of their responsibility to provide a welcome letter. 

On XX/XX/XXXX, Fay Servicing reached out to me about late payments/payments not received since they were the new servicer. Payments were made and an automatic payment plan was scheduled so that I would not violate the terms of the buy out. 

XXXX XXXX XXXX provided proof of my timely payments to Fay Servicing and to me directly. 

On or around XX/XX/XXXX a payoff amount was requested from Fay Servicing and the payoff did not include the buy down provision. 

I reached out to Fay Servicing to make them aware of buy down and request a revised payoff since we informed them that we would be paying off the loan and were selling the house. 

Fay Servicing did not recognize the buy down provision in their updated payoff statement to the title company. 

I informed the title company and Fay Servicing of the error and provided documentation to show the buy down, the timely payment history and requested they review and update the payoff statement. 

Fay Servicing indicated that the loan came over with late fees attached, thereby invalidating the buy down provision. 

I provided evidence that payments were made to XXXX XXXX XXXX in accordance with our agreement and that they were made on time. In addition, I confirmed with Fay Servicing that the late fees were removed due to an error on Fay Servicings part and provided evidence of the timely payments. 

Fay Servicing advised that I could make the full payment and they would determine if the buy down was valid. 

Fay Servicing has refused to provide evidence of their review nor will they honor the terms of buy down. 

The full payment was made by the title company because they can not enforce the buy down. 

It seems that no one can require a mortgage company to honor the terms of the loan that they acquired. I understand that they may not have been aware of the buy down, but the documents show I have honored the terms of the buy down and that it is valid and enforceable. 

Please help! 

Here are the individuals at Fay Servicing who were involved in the emails and phone calls : XXXX XXXX XXXX Customer Service XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX