Consumer complaint received 2022-01-04
Product: Mortgage — FHA mortgage
Issue: Struggling to pay mortgage — 
Company: Flagstar Bank, N.A. (WI)

Previously I requested my mortgage be placed in forbearance due to loss of income from COVID-19. Flagstar processed my request and there weren't any problems. In XX/XX/XXXX I attempted to remove my mortgage from forbearance, I contacted Flagstar and spoke with a representative that informed me that I qualify for a Covid-19 hardship partial claim. She indicated they would send me documents via FedEx to complete and have signed in front of a notary. Another condition of my acceptance of the terms was to send a payment to Flagstar equal to the amount of my normal mortgage payment. I received the documents, got them signed in front of a notary and made the payment, according to the terms on the document Flagstar sent me. The next month, I checked my mortgage statement and it indicated my payment that I sent in XXXX was placed in a suspense account. I called Flagstar to get more information because my mortgage was still indicating that it was in a delinquent status. I spoke with XXXX on XX/XX/XXXX, she indicated that there had been an error on the documents that Flagstar previously sent me and that they had sent me new documents to complete. I asked for the tracking number for the new documents and she could not provide it, as she didn't have it. She recommended waiting a week for the documents. I called back on XXXX to get the tracking number as I still hadn't received the paperwork. I spoke with XXXX, he indicated that my monthly payment had went up and that was the reason the documents needed to be resent to me. I had a few questions about that and upon longer discussion I came to the conclusion that XXXX was in loss mitigation and was not apart of the hardship task force. I realize there may be different processes between the departments, so I asked to speak with someone on the hardship task force team. XXXX attempted to transfer me, but the call was dropped. I called back and spoke with XXXX, XXXX indicated he was apart of the hardship task force team. Speaking with XXXX, he indicated that my payment amount had been incorrect and that a new payment amount was being calculated. He indicated they were working on that and to give another week for the new documents to be sent to me. On XXXX, I called back because I still hadn't received the documents. This time I spoke with XXXX, she was apart of loss mitigation but indicated they worked closely with the hardship relief task force. According to XXXX, she didn't see the documents had been mailed. She then indicated that she had sent an email to her supervisor to have this corrected. XXXX indicated that the principal had been incorrect on the documents that were previously sent. I informed her that XXXX and XXXX told me that my monthly payment amount was incorrect. XXXX responded that XXXX and XXXX were incorrect and maybe " needed more training. '' I stated to her that this has been going on for at least a month, and every time I call I get a different excuse. XXXX stated that she could not speak on what the previous reps told me, but she assured me that she was giving me the correct information at this point. She asked me to give the documents another week, and reminded me that there was a XXXX amount due. I gave the documents another week, and called back on XXXXbecause I still had not received the documents. Initially, I spoke with XXXX, he was not apart of the hardship relief task force, so I asked to be transferred to someone in the hardship relief task force. I was transferred to XXXX, who indicated he was apart of the hardship relief task force. XXXX indicated that the first set of documents sent to me were rejected due to an issue with my signature. I didn't understand because the signature had been done in front of a notary and they are there to verify that I actually signed the documents. XXXX also indicated that there may be issues because they switched vendors and a new vendor was doing the new paperwork. XXXX also stated that with the FHA accounts there was no acceptance payment needed as per our previous agreement. I asked XXXX if I could use my acceptance payment ( done in XXXX and in a suspense account ) for my XXXX payment due. XXXX indicated they could not do that and I needed to follow the first document that I signed. I was confused because he was asking me to follow the first document that was signed but they are going to send me a new document with new terms. The new terms would indicate there is to be no acceptance payment, only 1 regular payment. XXXX 's response was that I " needed to follow the agreement. '' I pointed out to him that I was following the agreement, but Flagstar had not followed the agreement, and was actively changing the terms. I made the payment with XXXX over the phone. XXXX indicated that I should wait another week and that the escalation team is handling my loan. The numerous errors and long waits for documents is unacceptable. I understand there being a few things that need to be worked out, but it should not take a month for documents to be mailed out. I also see that I am not the only one that has complained to CFPB about this same issue, so I am under the impression that Flagstar knows this is a problem, but I am not sure there has been any steps taken to resolve the overall issue.