Consumer complaint received 2022-01-12
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — 
Company: LoanCare, LLC (CA)

I'm doing my best to avoid litigation with this company, but they are making it impossible. This is my final attempt at an amicable resolution to this problem before I proceed with a lawsuit. I've contacted LoanCare over THREE dozen times, by telephone and email, regarding FHA Loan # XXXX. I have not received any response or return calls/messages as of the date of this complaint. 

On 9/15/21, as my approved Covid-19 forbearance plan was ending, I contacted LoanCare to discuss options to bring my loan current. I had a lengthy and detailed conversation with an agent who explained that because I had returned to work, but with my income/hours reduced by fifty percent due to continued impact of the pandemic  on my job, and the hospitality industry in XXXX XXXX, I would be eligible to receive an offer for a lower APR and modified terms to reduce the monthly amount of my payment to a more affordable amount. I was also promised my missed payments would be "added on" to the end of my loan period so that I could continue making payments until the loan was paid off. I was told I'd receive the packet in 10-12 days by mail to sign, notarize and return.

Finally, I received 'paperwork" on XXXX--TWO FULL MONTHS later! But the paperwork was not as promised (details below). Meanwhile, in the interim and EVERY DAY SINCE (including the date of this complaint), LoanCare has sent me auto-emails and placed robocalls several times each day (including Saturdays and Sundays) threatening me with foreclosure and collections! Again, I didn't do anything wrong! LoanCare didn't deliver the documents they promised, not me!

Worse, as previously stated, when this so called document packet/paperwork finally arrived, the package did NOT include ANY of the promised provisions whatsoever! There was NO offer for the reduction of my APR or lowered payments so I could continue making my mortgage payment. The terms were NOT changed to add the missed payments and extend the length of the loan to accommodate as promised. 

Instead, the packet demanded that the missed payments be due in one lump sum at the maturity of the loan. This is NOT loan modification! This was a partial claim, I never indicated I was interested in this option. On the phone, the representative did not offer this option. Again, I spent a great deal of time asking questions and clarifying the offer. I have a RECORDING of our phone call! He promised me documents for a modification to lower my monthly payments with reduced APR. I didn't make a mistake or misunderstand; this company is being deceitful, fraudulent and unscrupulous. The lies the state repeatedly in the attach XXXX XXXX XXXX  shall serve as proof.

Loancare did NOT send the paperwork in a timely manner, and they did not send the CORRECT documents as indicated to include the offers promised by Loancare's customer service agent on XX/XX/XXXX Now, here we are in a New Year--and Loancare is still pursuing illegal collection activity with daily emails and robocalls threatening me. I AM STILL WAITING FOR THE CORRECT DOCUMENTS TO BE SENT FROM THEM TO REDUCE MY APR AND LOWER MY MONTHLY PAYMENTS! I'm not sure how to make this statement in plainer English. What is their problem? What is their disconnect? I'm not convinced this is just a series of unfortunate errors that, unfortunately negatively impact me. No, I'm hard-pressed to believe these actions are one under percent intentions on the part of this company. Here's why:

I am convinced this company has no interest in reducing my APR and monthly payments ands instead is trying to "run out the clock" so they can foreclose on me giving the bogus excuse I didn't "return their documents" or some nonsense, when in truth, they REFUSE to send the CORRECT documents to me to have notarized and return! An example of this is, in the XXXX XXXX XXXX XXXXomplaint attached, XXXX XXXX at Loancare claims the correct documents were sent, however, this is FALSE. To this day, I still have not received them. If XXXX  can deliver a package to me in an afternoon, why does this company have such trouble with the MAIL?

Further, I attempted to contact XXXX XXXX at her number, XXXX XXXXXXXX XXXX XXXX to explain she told a falsehood to the XXXX  and never set the application/documents for loan medication as promised and noted in her response to XXXX. Her voicemail greeting answers, however, you are unable to actually leave a message and are instead returned to the main menu--a common tactic Loancare employs. 

My attorney has looked over this case and agrees it appears the company is perpetuating fraud here, so he believes we have a strong case against Loancare if I'm forced to sue to their refusal to cooperate. I have all of my records, I have the voice recording of the aforementioned conversation on XXXX and the promises made, copies of emails I've sent to XXXX XXXX on their Loss Mitigation team, phone logs showing all dates/durations for the calls I've made to their offices. I have all the receipts from certified mail I have sent them regarding this matter, as well as the letters my attorney has sent. I also have a copy of the 100% false statements they made to the XXXX XXXX XXXX regarding my complaint with them; find it attached. (Which is actually great because it will help prove our claims of fraud and illegal handling of this matter in court). What I DON'T have is, any actual response from Loancare, whatsoever! Save robocalls and threatening emails, that is...

This complaint with CFPB is my final attempt at an amicable resolution before taking this matter to court. Unfortunately, I have exhausted all other options. Loancare has repeatedly deceived me, defrauded me, and damaged my credit rating through no fault of my own. They continue to engage in illegal collection activity daily. They are threatening me with foreclosure, but repeatedly have either failed or intentionally refuse to provide the promised documents so I can modify my loan to bring it current. They are also incorrectly and illegally reporting a delinquent status to the credit reporting agencies, which has caused serious damage to my credit rating--which is another reason I'll be suing for any and all available damages. And again, ALL of this is because of LOANCARE's inaction, mistakes, fraud, and incompetence--not mine! Reduce my APR and lower my payments to an amount I can afford now that my income is 50% less due to Covid and I will pay the mortgage!