Consumer complaint received 2023-01-26 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: Freedom Mortgage Company
State: FL

Complaint narrative:
Freedom Mortgage is attempting to place requirements on my loan for a payoff that are not in my Note or Mortgage. 

On XX/XX/XXXX Mortgage Statement listed an outstanding balance for the loan as {$2600.00} with a payment of {$940.00} due on XX/XX/XXXX. On XX/XX/XXXX I made a payment totaling the entire amount as shown : {$2600.00}. As such, the loan should have been paid off. This money was taken from my bank account the very next day, XX/XX/XXXX. 

However, for the last three months, my account has shown as me not making payments and as of today, XX/XX/XXXX, the balance is shown as {$7.00} with a total amount due of {$15.00}. 

I called Freedom Mortgage to Inquire as to this issue in early XX/XX/XXXX, and was told they opened a research ticket that would be reviewed and I would receive a response by XX/XX/XXXX. As of today, I was told this would not be evaluated and responded to by XX/XX/XXXX. 

On my call today, XX/XX/XXXX at XXXX, I spoke with XXXX who advised me I could not simply payoff the entirety of the loan online and that the only way I could payoff my loan was by requesting a payoff quote and sending a certified check. When I asked where I could find this information in my Note or Mortgage, XXXX stated she didn't know, but that it's in Freedom 's Payoff Request and their policy. When I disagreed with XXXX, that I could only payoff the loan by certified funds, I requested a supervisor. I was transferred to someone named XXXX, an escalation contact, who then stated I paid off my mortgage incorrectly and I couldn't simply pay the balance shown on Freedom 's website/payment screen before the due date because they had to charge me for any documents that needed to be recorded with my county. This escalated contact was rude, wouldn't answer where i could find this policy that I had to make payoff by certified funds and when I asked where in my Note or Mortgage I could find this direction, XXXX stated I'm not going to argue with me and then hung up on me. This is the first time I have ever heard of any mortgage servicer or mortgage company stating I was required to pay for the recording of a Satisfaction of Mortgage after paying off my mortgage. 

Nowhere in my note or mortgage does it state I need to request a payoff and pay by certified funds in order to pay off the loan early. There are no prepayment penalties on my loan and yet Freedom Mortgage is attempting to create pre-payment penalties in fees not in the Note or Mortgage. 

Now, my account webpage for my mortgage states my loan is delinquent, yet somehow shows the balance owed for XX/XX/XXXX was -. {$0.00}. Then somehow states I owe {$7.00}. However, it then also states I owe a total amount of {$15.00}. So I am not sure how I could possible have a negative balance for XX/XX/XXXX and then owe additional money after that date. Please see enclosed screenshot of my account with Freedome Mortgage and XXXX XXXX checking showing the funds cleared timely. 

I believe Freedom Mortgage is attempting to illegally collect fees they are not due and charge penalties on a paid off loan. When I inquired where these balances are coming from, no one has responded and now I am being hung up on by very rude personnel of Freedom Mortgage who refuse to answer my questions about where these charges stem from.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation