Consumer complaint received 2020-04-29
Product: Mortgage — VA mortgage
Issue: Trouble during payment process — 
Company: PENNYMAC LOAN SERVICES, LLC. (MI)

Dear CFPB, Please find my Complaint against PennyMac Loan Servicing LLC ( PennyMac ), fka XXXX XXXX and my request to help with forbearance of my VA loan under CARES ACT enacted by President Trump on XXXX XXXX, XXXX. The Act allows veterans with Government Guaranteed loans to place their loan in forbearance for up to 12 months due to economic damages resulting from coronavirus pandemic with ruined American economy and severely harmed my family who all lost jobs, specially who worked in travel and transportation industry which are down indefinitely - as well as all income. 

Please help me to place my loan on forbearance as provided by the law due to economic hardship caused by COVID19 pandemic. 

In addition to hardship caused by pandemic, I am also a victim of nefarious scheme operated by XXXX  XXXX XXXX and their sham conduits PennyMac who falsely poses as an Owner/Creditor/Purchaser/Servicer/Investor and Issuer of securities backed by my XXXX XXXX loan - while nobody -including PennyMac - can provide any evidence that my loan was ever securitized and placed in a XXXX XXXX XXXX as promised to me by a purported Lender, XXXX XXXX, XXXX when I signed my loan documents. 

As I later learned, this entire transaction was just a masquerade for a much larger scheme - issue of derivatives backed by personal data and my financial information - commonly known as identity theft- operated by XXXX  XXXX XXXX through a chain of actors who pose as Lenders and Servicers to defraud borrowers like myself and investors whom Stockbrokers and their sham conduits like PennyMac resell borrowers personal data without attaching it to any debt. Which creates a fatal damages to property Titles. Entities like PennyMac are hired to push borrowers in defaults and launder fatally defective Titles - but creates enormous profits for Stockbrokers ( here - XXXX  XXXX XXXX XXXX at least 12 times more money that the amount they purportedly loaned from a reserve pool which are is attached to any loans ( aka table funding ) Statement of Facts. 

On or about XX/XX/XXXXXXXX  I was approached by PennyMac who informed me that they are new Servicers for my loan backed by XXXX XXXX which is a subject of very strict standards and regulations. I immediately suspected a scam, specially after I learned that PennyMac and XXXX XXXX XXXX , XXXX ( a purported " prior Servicer '' are actually parts of the same company - XXXX XXXX, operated by the same executives who collapsed US economy in XXXX, defrauded investors from trillions of dollars ; and illegally foreclosed millions of families with forged documents. So, demanded to validate my debt and provide me a proof of a legit transfer. 

My simple request resulted in an avalanche of lies which continues as of today. PennyMac never validated my debt, and violates every single law possible, including but not limited to FDCPA, RICO Act, MI Statute of Frauds, UCC, etc - and now illegally threatens me with a foreclosure. 

According to PennyMac, SOMEONE ( whom PennyMac can not identify ) sold them my performing loan ( which is was not available for sale since XXXX XXXX does not sell performing loans, only if a loan is over 4 months delinquent ) and this is how PennyMac became an owner/investor/ Issuer of XXXX XXXX securities backed my loan and a Servicer who collects my payments to remit it to XXXX  XXXX XXXX  XXXX  as a Trustee for a Trust ( which nobody can identify ) who distributes my payments to investors ( here - PennyMac ). Which is a total absurd and a flagrant lie, as proven by multiply sources, including XXXX XXXX, XXXX and XXXX  XXXX. 

According to XXXX XXXX Senior VP Mr. XXXX, XXXX XXXX has absolutely no knowledge about PennyMacs role as an Issuer of securities backed by my loan. 

XXXX never confirmed any sales of my loan to PennyMac or PennyMac 's ownership of my loan. 

No one can provide me ANY information about XXXX XXXX XXXX where my loan is purportedly pooled as a security - even a basic information such as Trust name, date when it was created, who is a Trustor who established this Trust - NOTHING. Worth to mention, XXXX XXXX XXXX are XXXX XXXX  which are treated as a corporation for the purpose to avoid Federal taxation. Thus, they must have a State registration and pay taxes from profits received from my mortgage   payments - which is apparently was never done. 

Yet, PennyMac expects me to take their relentless lies as a truth and treat PennyMac as an owner of my debt - which is a lie ; and as a Servicer for a legal entity - Trust - which nobody is able to identify. 

According to a recent respond from Michigan Department of Insurance and Financial Services representative, MrsXXXX XXXX, XXXX XXXX XXXX XXXX XXXX purportedly transferred servicing rights for my loan to PennyMac - but never mentioned that XXXX or anyone else SOLD my loan to PennyMac - which requires a Proof of Sale under UCC Art. 9. or otherwise transferred an ownership for my debt, as PennyMac claimed. The proof was never provided. 

Moreover, all evidence supports my conclusion that that the entire transaction - my purchase of a loan from XXXX XXXX XXXX XXXX ; purported transfer of my loan to XXXX XXXX XXXX  on XX/XX/XXXX while according to Allonge  to my Note some Collateral Shipper XXXX XXXX assigned my loan to XXXX on XX/XX/XXXX, or my closing day - while some reason refuses to admit this transaction - was a scam. 

The entire enterprise was about selling and reselling my private financial data while I was tricked into thinking I were entering a loan agreement while the other side spared no effort in avoiding the title and liability of a lender under lending laws. That was not a loan and the agreement was not a loan agreement at all. 

More importantly, the agreement might not be enforceable at all since ( a ) there was no meeting of the minds and ( b ) there was an absence of consideration caused by the payment of consideration together with an obligation to pay it back. 

For the investment bank ( XXXX  XXXX XXXX ) this was solely about getting consent to sell private data and issuing sand trading securities based on the data not any debt. 

It explains why PennyMac appeared in my loan in XX/XX/XXXX. On XX/XX/XXXX PennyMac, a default debt buyer, who for last 20 years helps XXXX  XXXX XXXX to defraud borrowers and investors from trillions of dollars, sold for {$190.00} million a box of color printed paper to investors and obviously needed my personal data to use it as collateral for their bogus securities which worth as much as the price of bulk print of their certificates. 

It is evident that my loan was never placed in any Trusts since none of it was created - to help XXXX  XXXX XXXX and their sham conduits to resell borrowers data as many times as they can. 

This scam became even more evident with CARES Act. 

* If the holders of certificates are suffering economic loss from nonpayment by homeowners why are they not the direct recipients of Federal relief? 
* Who is really going to get Federal bailout money and will it cover a loss or will it be profit? 
* If the ultimate result is that obligations are being paid, why isnt the homeowner getting notice of a corresponding reduction in the amount of payments claimed as due? 
* Who is the real party collecting money and why? 

The answers are obvious. XXXX XXXX is again playing fast and loose with its labels to suit its own ends. If investors fail to receive payments promised them by the investment banks they have only the rights set forth in their contract with an investment bank - the underwriter that underwrote the offering of certificates that were false labelled as mortgage backed and again falsely labeled as bonds. But the underwriter was actually the issuer. 

So the entire proceeds of sale of certificates went to the investment bank instead of a XXXX XXXX. 
And that is why there is no trust getting a Federal bailout and there was no trust getting a Federal bailout in XXXX. No trust has any claim to any money. 

Hidden beneath the waves of economic loss and relief packages is an essential truth about what XXXX XXXX has most people believing was the securitization of loans. 

But the loans were never sold, much less divided into pieces that were sold off as securities. 

It was personal data that was securitized and then there were complex instruments indexed on that personal homeowner data that was securitized. None of it had anything to do with the sale of any loan nor the collection of any money from me or any other homeowners. 

Those self-proclaimed servicers like XXXX and PennyMac are actually collecting money for the investment banks, in my situation - XXXX  XXXX XXXX - who receive money from multiple sources continued sales of certificates ( falsely dubbed mortgage backed bonds ), my loan payments, and most importantly trading profits on various derivative and hedge contracts - while never disclose this information to borrowers whose property Titles they fatally damage to defraud investors. 

Under CARES Act a borrower like myself in Federal Insured loans can contact Lenders to obtain up to 12 months relief. 

Since I am a victim of crimes commonly known as fraud, illegal collection, racket ; identity theft, unjust enrichment, ect - and manipulations with derivatives committed by XXXX  XXXX XXXX and their shame conduits, PennyMac, I have no legitimate Lender or any lawful creditor, to contact for forbearance since XXXX  XXXX XXXX XXXX the only actual party who collects my payments as their tax-free revenue ) has no intention to stop their racketeering activities and sends me threatening Notices - while XXXX  XXXX XXXX made millions by trading my personal data, at least 12 times more than my home worth. 

Thus, I request CFPB assistance with forbearance of my VA loan and for an independent investigation and help against PennyMac and XXXX  XXXX XXXX illegal conduct. I demand XXXX  XXXX   XXXX and PennyMac to provide me FULL disclosures how PennyMac became " owner '' of my debt, the name of the Seller who sold my loan along with a proof of transfer ( under UCC Art 9 ) ; Proof that my loan was placed in XXXX XXXX XXXX, with Trust name, EIN, and CUSIP ; pay me royalties from all trades of my personal data ; treble damages for fraud ; treble damages for racket ; and compensation for extreme emotional distress, no less that {$5.00} million ; as well as a Quiet Title for my home.