Consumer complaint received 2016-11-21
Product: Mortgage — Conventional fixed mortgage
Issue: Loan servicing, payments, escrow account — 
Company: PENNYMAC LOAN SERVICES, LLC. (OH)

My complaint today is against my wife 's mortgage company, PennyMac XXXX XXXX XXXX XXXX, CA XXXX. 

Her property was XXXX of XXXX homes in the area, thatwere damaged due toan arsonist. Although her son rented the home, he was not hurt but his personal property was damaged beyond repair. The home was n't a total loss but it sustained a lot of smoke damage along with structural and water damage. Our insurance company, XXXX XXXX, was very helpful in securing the property and assessing the damages. After their thorough itemization, they submitted a partial check to start on the renovations.Unfortunately, the check was written out to my wife and PennyMac. After contacting PennyMac, they advised her toendorse the check and send it them. She was n't sure why PennyMac needed to deposit the check into their account only to write another checkfor the contractorbut, what good was the check with both names on it? So she sent it to PennyMac. After contacting PennyMac to see when, exactly are they going to forward their check to or contractor, PennyMac stated it was under review. (????? ) PennyMac then told my wife that the house wasin foreclosure. (????? ) After negotiating with PennyMac, they offered a forbearance which wasquicly taken back.My wife was so upset about the news that I had to take over her affairs. I called PennyMac and ask for their attorney 's information which was reluctantly given to me. I called their attorney and asked for the case number but theydid n't have any information about the foreclosure because their law firm had n't started on it. (????? ) I told them that we were going to repair the property and PennyMac had our insurance check which was over the owed amount. The attorney stated that they would wait to hear back from PennyMac before they start the foreclosure process. After contacting PennyMac, again, and asking about the status of the check, they stated that they were going to send us a list of forms that our contractor needed to fill out first. We received the forms, filled out our part, had our contractor fill out his, and sent it back to PennyMac. That was n't good enough. It was one thing after another. My contractor had to send them a copy of his contractors license, waiver of lien form was wrong, needed another copy of his XXXX, etc. etc. etc.We felt likewe weretrained seals in a circusjumping through theirhoops. Then we we 're served with foreclosure papers. Now we were second guessing our decision to send PennyMac the check. After talking to PennyMac once again and expressing our displeasure for the way we are being handled, I figured it was time to contact the CFPB. I let PennyMac know what my plans were so they sent me an email stating my wife was given a mortgage modification. (????? ) That 's odd because she did n't fill out any new paperwork. Our first payment of the modification was due XXXX XXXX. Our payment was sent XXXX XXXX through XXXX XXXX. That cost us an additional {$14.00} for same day delivery. PennyMac still claims they have n't received it. I contacted XXXX XXXX and was told that payment was delivered 15 minutes after it was sent. I do n't know what game PennyMac is playing but we are tired of it. It is now month XXXX since the fire and renovations are still on hold. I do n't think PennyMac wants to release our funds because they are gaining so much interest on our money.