Consumer complaint received 2025-11-02 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Trying to communicate with the company to fix an issue while managing or servicing your loan
Company: Mr. Cooper Group Inc.
State: TX

Complaint narrative:
Subject : Wrongful Foreclosure and HOPE Loan Modification Violations by XXXX  XXXX XXXX and Mr. Cooper ( Nationstar Mortgage ) Description : In XXXX, my mortgage was transferred from XXXX XXXX XXXX to Nationstar Mortgage ( now Mr. Cooper ) while I was under a HOPE loan modification agreement. This modification explicitly prohibited increases in my monthly payments. However, shortly after the transfer, nearly {$100000.00} was added to my mortgage balance without explanation, and my monthly payments were doubled.

I continued making these inflated payments for nearly three years. During this time, my assigned mortgage manager at Nationstar identified the error and confirmed there was no valid reason for the added charges. He attempted to escalate the issue internally, but underwriting refused to remove the charges. Shortly afterward, he was terminated.

I was advised to submit a new loan modification application while the issue was under review. While awaiting a response, I received a foreclosure auction notice over a holiday weekend. My home was auctioned off on the first business day of XXXXwithout proper notice and for more than I owed. My home was stolen from me and sold for a lot more than I owed then I was then billed for additional funds beyond the sale price.

This foreclosure caused severe emotional and financial harm. My husband suffered XXXX  XXXX due to the stress, we were unable to attend the auction as he was in an ambulance on the way to a hospital in XXXX XXXX and late that night he was transported to XXXX XXXX XXXX. After he was out of the hospital, we had to leave our family home that we had since XXXX, and our family business of nearly 20 years collapsed. We originally paid {$130000.00} for our home; we put {$17000.00} down and financed {$110000.00} we had it paid down to {$82000.00} and after XXXX XXXX XXXX sold our note to Nationstar which later became Mr. Cooper, we owed {$190000.00}. We had a Hope Loan Modification when we were with XXXX XXXX  XXXX, and our payment was set at {$750.00} and stated that the loan payment was locked in for the life of the loan and could never be increased. Once Nationstar. Mr. Cooper bought the loan we owed more than double and our payment went from {$750.00} to almost {$1400.00} a month. We paid that double payment around 3 years and it was really causing us to struggle putting food on the table for XXXX children and ourselves. I contacted Nationstar and told them I wasn't going to be able to pay it anymore and we need it fixed immediately as it had gone on too long and was causing my family distress. That is when I was assigned an account manager, his name was XXXX XXXX and he found the error but was terminated for trying to fix it. The new account manager told me we would file another home modification loan to buy us time to resolve the issues on the incorrect amount owed and I told the new manager I received a notice for the past due amount and I did not want to risk losing my home over this error and she assured me we were in a modification process and that would not happen. XXXXXXXX XXXX XXXX XXXXXXXX weekend while still in the modification process, I received notice of auction for XX/XX/XXXX. Since our home was stolen from us everything has gone downhill. We don't own our home anymore ; all the money we put into it is gone. our business went under, and we have struggled with our credit scores and most of all emotionally and financially it has drained us.

I later discovered that class action lawsuits had been filed and settled against Mr. Cooper and XXXX  XXXX XXXX for similar illegal practices, yet I was not included in any of them. I contacted many attorneys, and they wouldn't take the case because I couldn't afford to pay their fees. So many laws were broken, and I have been unable to do anything about it. We wanted to keep our home for the rest of our lives we loved our home that is why we purchased it. These companies broke laws and stole our home and our livelihood. Also being a business owner in a small town and having that community know that your home got foreclosed gives you a bad name. We definitely didn't look like a reputable company anymore, so we left that city and we are now paying {$1800.00} a month to rent someone else 's home. Having our home taken this way has changed everything, it just puts a dark cloud around you knowing that they illegally took our home and did it on the steps of the courthouse.

I am requesting that the CFPB investigate this matter for violations of federal mortgage servicing laws, HOPE modification protections, and deceptive foreclosure practices. I am also seeking guidance on how to pursue restitution and be included in any applicable settlements.

Company response to consumer: Closed with explanation