Consumer complaint received 2016-03-22
Product: Mortgage — Home equity loan or line of credit
Issue: Application, originator, mortgage broker — 
Company: ONEMAIN FINANCIAL HOLDINGS, LLC. (OH)

My husband & I bought our first home in XX/XX/XXXX. We realized we needed lots of stuff and got a " stated value loan '' through XXXX. Never heard of it before, but trusted it was something legal. I told them what I thought the house was worth and they gave us a loan for the difference from what we owed to that amount came and it came to {$25000.00}. The interest rate was 15 %, but it is a 15 year loan so I figured that is plenty of time to pay it off. We went to the appt. to sign. Everything was fine and we were almost done with the appt. when he says XXXX paper to sign and it was for the balloon payment. I said hold on I do n't want this loan anymore. He said you will be fine as long as you pay a little more than the minimum every month. We have paid more than the minimum every single month for almost 10 years and we still owe {$24000.00}. We have borrowed against it, but only around {$4000.00}. Even at borrowing {$4000.00} over 10 years, one would think the loan would have been paid down a lot by now. We ca n't afford to keep throwing money at this loan anymore. The loan was sold to Springleaf. I have tried several times to get help from them, but I have received minimal feedback. I asked to drop the interest rate and they said that was not even an option. I was told I could do a modification, but it would only be for 6 months and " I probably would n't get approved anyway '' but with no reason why the person said that. So I said ok I guess I will keep paying. That was in XX/XX/XXXX. We ca n't keep paying so I called this year to offer a settlement. The first person I talked to said to offer at least 50 % so I offered {$15000.00}. He said he would call me back with the decision. Never rcvd a call back. Call back ... denied. This person said you have to offer 75 %. I do n't have 75 % so I offered {$17000.00} which was around 68 %. They came with a counter of {$23000.00}. That is just under {$2000.00} of what I owe! I am trying to be a good consumer and give as much as I can. I have paid enough with this loan. I have heard that XXXX was being investigated for predatory lending/illegal lending and that is why they sold all of their loans. I have paid more than the minimum every month except I missed XXXX 's payment as well as XXXX and XXXX 's payments. I just ca n't pay anymore. So the question of " which part of the mortgage process is your issue related to? ", I could n't pick just XXXX. Applying for the loan because I feel that the loan should never have been given to us. I trusted the company that it was a legit loan, but then they were investigated for predatory lending and I feel that is what happened. We received XXXX flyers in the mail and calls. We were young and dumb and now see we should have never got a loan with a 15 % interest rate and a " stated value loan '' which no one else offered. We also fall into the category of signing the agreement. We were all done signing and then he brings out the balloon payment paper and said as long as you pay a little more than the minimum, you will be fine. Again, I believed him and he just wanted to get the loan is all. And finally, we fall under the problems when you are unable to pay. Springleaf has been no help whatsoever. They are rude when I call and offer no help at all and tell me you can apply for a modification, but you probably will be denied. So, what is the point then and a modification of only 6 months really does nothing. And then I was able to offer {$17000.00} to settle the loan ... the most I have ... I would be borrowing money from my parents ... and they came with an offer only {$2000.00} less than what I owe! I ca n't afford to pay my parents back plus still have the Springleaf loan. I have called several banks and lenders, including my XXXX mortgage lender. No one will not touch this loan. We are underwater on the house and this loan is worth nothing anyways. We are at a loss as to what to do.