Consumer complaint received 2026-01-23 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — An existing modification, forbearance plan, short sale, or other loss mitigation relief
Company: SERVICEMAC, LLC
State: NJ

Complaint narrative:
b'I am submitting this complaint against XXXXServiceMacXXXX  regarding improper mortgage servicing and a misleading loan modification applied to my mortgage for the property located at XXXX XXXX XXXX XXXX XXXX XXXX  (Loan Number: XXXXOn XXXX XXXX XXXX I **formally applied for loss mitigation** through XXXX, ServiceMacs designated platform. At the time of my application, I was actively seeking assistance and was under review for loss mitigation options.\n\nDespite this, ServiceMac later asserted that I failed to make mortgage payments for XXXX and XXXX and, based on this claim, imposed a loan modification that added XXXX to my loan balance. This amount is being treated as though I missed approximately **ten months of payments or their financial equivalent**, which is inaccurate, misleading, and grossly disproportionate to the alleged two missed payments.\n\nServiceMac failed to provide a clear, itemized accounting explaining how this amount was calculated or justified. The explanation of the modification was confusing, incomplete, and misleading, preventing me from understanding the true financial impact before it was applied.\n\nAdditionally, despite presenting this action as a loan modification or loss mitigation option, ServiceMac is now demanding that I make **immediate payments on XXXX XXXX XXXX XXXX and XXXX XXXX placing me under immediate financial strain. Requiring immediate payments contradicts the purpose of loss mitigation and undermines the protections associated with an active loss mitigation application.\n\nGiven that XXXX has been added to my loan as deferred principalan amount equivalent to **at least ten months of payments**a **fair and reasonable resolution** would include **a minimum payment deferral of ten (10) months or more** before requiring resumed monthly payments. Demanding immediate payments while simultaneously deferring such a large sum is inconsistent, unfair, and defeats the intent of a loan modification.\n\nFor reference, my original loan terms were:\n\n* Monthly paymentXXXX XXXX Interest rate: XXXX  Remaining term: XXXX monthsXXXX  Maturity date: XXXXAfter the modification, the loan terms were changed to:\n\n* Monthly payment: XXXX Interest rate: XXXXXXXX  Loan term extended to XXXX XXXX XXXX  added as deferred principal and excluded from the modified term\n\nAt no point was it clearly disclosed that:\XXXX My XXXX XXXX XXXX  loss mitigation application would still result in immediate payment demands,\n* Two months would be treated as the equivalent of substantially more missed payments,\n* Nearly XXXX would be added without a transparent breakdown,\n* The loan term would be extended by more than a decade,\n* Immediate payments would still be required despite the modification,\n* The total cost of the loan would increase significantly while being presented as assistance.\n\nI was not provided with a transparent comparison of total interest paid before and after the modification, nor was I given clear information about alternative loss mitigation options. As a result, I was unable to make an informed decision regarding my mortgage.\n\nI respectfully request that the CFPB require ServiceMac to:\n\n1. Provide a full, itemized accounting of the XXXX added to my loan,\n2. Explain why two months of alleged missed payments were treated as a much larger delinquency,\n3. Review ServiceMacs handling of my XXXX XXXX XXXX  loss mitigation application** for compliance with federal servicing regulations,\n4. Require ServiceMac to provide a **reasonable payment deferral period consistent with the amount deferredXXXX Correct any improper servicing errors and reconsider or revise the modification if violations are found.XXXX XXXX XXXX

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