Consumer complaint received 2020-03-07
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — 
Company: U.S. BANCORP (SC)

My husband and I are attempting to obtain a loan modification. Each time we have applied we receive a loan modification package in the mail, complete it with all requested information, but are denied. 

In this package we are asked for copies of all of our monthly bills, our income pay stubs, our 401-k statements and copies of our bank statements. 

We are very confused about how our information is used, why we have to jump through these same hoops each time just to be denied because the only information the are using is our income and the amount of our house payment to determine our DTI. These is no consideration that we have taxes or medical insurance deducted from our paychecks e each month. There is no consideration that we also have light bill and water bill that has to be paid or we would not have a home to live in. There is no consideration that we have groceries to buy to just survive. There is no consideration in the fact that we have medication to purchase each 90 days. 

I find this very hard to understand! The information being used is not a true representation of what it takes to live in a home ... .anywhere. 

I believe this is just another way lending institutions can lead people down a path to ruin. The information is not a total picture of the truth. They want to see the truth in examples of bank statements, pay checks and copies of our expenses, but because they are a lending company they choose not to use the true picture. Only what will satisfy what they want to see. Only what will either leave us without a home and of course leaving the mortgage company with income, earnings and all the equity we have built in the property. 

I believe my husband and I are in a catch 22 here. The mortgage company will never assist because they feel as though they don't have to. They will continue to operate in this manner because it earns them income, a house to resell and even though my husband and I have worked hard to obtain the equity, they will also have earned a profit from the resale of our home. 

I do understand that our Federal Government has set rules and regulations for all lenders, but every lender also has someone that can look at this situation and see that it is a very one sided problem. I understand that my husband and I need to pay our mortgage, but the Federal Government and the Mortgare company also needs to understand that it takes more to keep a home than an income. 

What is happening right now between myself, husband and the mortgage company is a game to see who wins our home. I have asked what LAW states that a modification has to follow these guidelines but I was not given an answer. I believe the servicer of our loan has the ability to step in and review our loan, our income and our debt and realize that what is being used is not a true picture of our reality. If the true picture is not being used, then the decision being made is based on untrue information. 

At this point I am at a loss as to how to move forward. We are in our XXXX. We have been in this home for several years. If we lose this home we will not be able to purchase another. We have filed bankruptcy and have requested that the past due and fees be added to our bankruptcy, but we will be in the same mess with our mortgage unless we are given assistance with a modification. 

We have asked if our mortgage could be extended to 30 years with the current balance and we were told we did not qualify. 
We requested that our interest rate be lowered and we were told we did not qualify. I find it amazing that although we are not qualified we keep receiving payment plans to bring our mortgage current that are 2x what our current payment is. If the mortgage company believes we can afford a payment such as that, ( which we can not ) then why can we not qualify to have our mortgage spread out for 30 years or our interest rate dropped. 

This is a slap in the face. This allows the mortgage company to add additional fees and penalties to what is already owed. There are $ XXXX of dollars in fees so the mortgage company will have additional income from us in the end but we still don't qualify for a modification. 

I would like to have a human response to this. Not the same form letter that we get each time we request a notification.