Consumer complaint received 2020-03-13
Product: Mortgage — FHA mortgage
Issue: Closing on a mortgage — 
Company: CARRINGTON MORTGAGE SERVICES, LLC (TX)

In XXXX I did a modification loan to bring down my mortgage payments. At the time my loan was with XXXX  XXXX XXXX. That loan was later sold to Carrington Mortgage. In late XXXX early XXXX I contacted Carrington to request processing a refinance in order to do an equity cash out. 
When I called I spoke to XXXX XXXX to start the process. During the time of asking and answering questions I was asked if I had ever refinanced my home. I of course said yes I had done a modification in XXXX. I was then told that amount had to be paid back first and added the end of the original loan and would then be less that amount for the cash out I would receive. 
I understood and agreed. 
After several other errors made by Mr. XXXX whom was laid off due to this issue with this account, I finally asked for someone else to help me. 
I then started working with XXXX XXXX. Everything seemed to be going fine and when I came to closing out the paper work I was then put into contact with XXXX XXXX. 
When talking with her several other changes where made do to the miss information I had been given by Mr. XXXX. 
During closing I received my Payoff Statement and it clearly has a line saying " Deferred Pursuant to Loan Modification : {$6000.00} My original Loan principal Balance was {$62000.00} with other charges and the modification being one of them the payoff balance was {$67000.00} I never questioned the amount asked being they are the mortgage company looking up the information to give me. 

My husband and I closed on the house XXXX of XXXX and received the equity cash out a week after closing. Everything at that point seemed to be fine. 

On XXXX XXXX I received 3 letter from HUD stating they had never been payed for the Loan Modification I did in XXXX. 
They said the amount I owed was {$5700.00} and if it wasn't paid I could potentially have my home foreclosed on. 
On XXXX I sent an email to XXXX XXXX from Carrington Mortgage regarding the letters. She asked me to sen her copies of the letters so I did along with the Payoff Statement from Carrington. 
On XXXX I again sent XXXX XXXX from Carrington Mortgage an email because I never heard back from her. She responded with an email stating they didn't see any error on their part but I again had her refer to one of the documents I had sent to her on XXXX of the Carrington Payoff Statment On XXXX she emailed me back stating I was right and had even highlighted the line on the Payoff Statement of the payment On XXXX I emailed XXXX XXXX of Carrington Mortgage and asked for the document of payment to be sent to me for my records. 
On XXXX I again emailed XXXX XXXX of Carrington Mortgage and asked again for the document of payment be sent to me. 
I never heard anything back again until XXXX when she called me to ask me to call her to discuss the account. 
I had missed her call at the time so I emailed her that I would call her once I was off of work. 
When I called her she proceeds to tell me that the loan for HUD was different from the Deferred Loan Modification. I disagreed with her and told her that couldn't be because that was the only time I had processed any modifications. When I asked her what and who was paid the {$6000.00} I was told that was for other fees and penalties. She couldn't explain anything more. She told me I could apply to re refinance and go through that entire process again. She had tried to tell me I had been misinformed by XXXX and that XXXX XXXX must of missed the HUD loan. 
When I said I would not be refinancing anything she then said I would need to contact XXXX XXXX from XXXX XXXX of any questions I had. 
I emailed XXXX XXXX again on XXXX requesting who was paid the {$6000.00} and that I wanted an itemized statement for that amount. She responded with - refer any questions to XXXX XXXX at XXXX XXXX. Nothing more on that email. Like she was washing her hand of me because she wasn't going to get anymore money out of me. 

I called XXXX XXXX of XXXX XXXX  on XXXX & XXXX leaving messages. When I never heard back I emailed her on XXXX She did call me back but with no information. She said she was going to call her legal team to see what happend. When I talked to her again later that day she told me the legal team at Carrington Mortgage had my file and that I should hear from them by the end of the week. 
I called HUD on XXXX & XXXX leaving a voice mail to be called back On XXXX @ XXXX XXXX XXXX called me back from HUD. He explained to me that the loan had not been payed off. I told him what information I had on my Payoff Statement from Carrington for the amount of {$6000.00}. He said first of all that was a red flag because the amount is only for {$5700.00} and because it is a government loan there is no interest or penalty fees. XXXX then proceeded to inform me that the file was turned over to the Treasury Department on XXXX XXXX I called and spoke to XXXX at the Treasury Dept on XXXX she informed me that do to them gaining the file a 30 % fee was added to the total of the HUD Loan and now I had to pay {$7500.00} She did inform me that I could send in a letter to dispute the claim until I could get this taken care of by Carrington Mortgage. 
I sent in the dispute letter on XXXX I have to ask for an extension on my taxes because if I qualify for any refund the government will keep it. I have lost several hours from work to be able to make the calls and send the emails to try to have someone contact me back On XXXX I sent an email to XXXX XXXX of Carrington Mortgage and XXXX XXXX of XXXX XXXX demanding a call back and a supervisors name and contact information being that I had been asking for that several times already. I had already waited almost 2 weeks for their legal team to contact me and as of that day I still hadn't heard a word. XXXX XXXX did email me back stating she had forwarded my email to her contact person at Carrington Mortgage. 
Finally on XXXX I received a call from XXXX XXXX of Carrington Mortgage Legal team. He informed me that he had JUST received my file and could I explain to him what was going on. I was livid that I was being told he was just getting the file for the first time after I had been told for 2 weeks they were working on it. I explained what was going on and he said he was going to start his investigation and he would get back to me. He couldn't give me an estimated time frame of how long this could take. I have been dealing with this for 5 months too long.