Consumer complaint received 2020-12-08
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — 
Company: Mr. Cooper Group Inc. (CO)

This complaint is against Mr. Cooper dba Nationstar Mortgage, who settled a $ XXXX with a multi-state and CFPB joint investigation for improprieties in their mortgage servicing. This practice has not been resolved, and I am currently being mishandled by Mr. Cooper. See below for details. 

On XX/XX/2020 I was approved for an FHA Partial Claim. The terms of the claim required FHA to advance funds to cover the contractual mortgage payments from XXXX, for a total amount of {$10000.00}. The terms stated that I would resume my normal monthly payments on XX/XX/2020. When this was first approved I explained to my SPOC that approved a modification, then making a new payment due within 5 business days is beyond irresponsible, however, I couldn't change that, therefore, I conceded and signed the agreement. The XXXX claimed that the decision was made by FHA, not Mr. Cooper. 

I was informed that it took 30 days to process and finalize the modification to the loan so that my loan was reporting correctly. I waited until XX/XX/2020 to make my first payment, which I was unable to do online, but had to call in to complete this. At no point in my discussions with various representatives, did they inform me that I should not make my payment until the modification ( partial claim ) was finalized. So I waited ... I didn't trust the servicer to handle this correctly but I also did not want negative credit reporting to impact my wife, who is also on the loan, despite reps saying there were no credit reporting. I had zero confidence in this statement because previously when I contacted the servicer about a partial claim, none of the reps they employ in loss mitigation even knew what I was talking about. I had to explain to them what a mortgagee letter was ... unacceptable. 

Fast forward to XXXX. The partial claim was " booked '' and my account with Mr. Cooper showed I was due for the XXXX payment ... Come to find out, when I made that payment, and specified that this payment is for the XXXX payment per our agreement, they posted this payment to the XX/XX/2020 payment from the arrears. This action violates CFPB 's payment processing laws, and also invalidates the promissory note I signed with HUD because the amount of the funds advanced and listed on the note now is inaccurate by {$2300.00} ( my mortgage payment ). 

Action requested : I have asked the servicer to correct my payment application, and have my account reflect that I am only due for the XX/XX/2020 payment, which is accurate. They have since responded that they were able to do what they did and will not correct anything discussed above. I've been harmed from the moment I applied for loss mitigation options. I've spent 20+ hours trying to even get the partial claim, and now fighting their improper servicing practices. This is exactly why they were sued and settled with the CFPB. I am aware that this complaint will just be forwarded to the servicer to respond and they will just reference the last response they gave to me, but I am hopeful this will actually appear on someone's radar at the CFPB and will actually help me resolve this. 

Once resolved, I would ask that the servicer provide monetary compensation for the harm they have caused me trying to get my mortgage corrected.