Consumer complaint received 2025-03-23 00:00:00
Product: Mortgage — FHA mortgage
Issue: Closing on a mortgage — Closing disclosure or other related disclosures
Company: LD Holdings Group, LLC
State: NE

Complaint narrative:
TRUTH IN LENDING ACT VIOLATION ( XXXX  ) : On or about XX/XX/XXXX, my spouse and I, entered into a mortgage loan transaction with LoanDepot.com, XXXX. This transaction was closed in Nebraska. Under the Truth in Lending Act ( XXXX ), 15 U.S.C. XXXXXXXX XXXX XXXX and its implementing regulation, Regulation Z ( XXXX XXXX XXXXXXXX ), LoanDepot.com was required to provide each obligor ( both of us ) with XXXX ( XXXX ) copies of the Notice of Right to Cancel, which includes clear disclosure of our rescission rights. LoanDepot.com failed to meet this critical disclosure requirement. 

Violations and Facts : LoanDepot.com failed to provide XXXX ( XXXX ) copies of the Notice of Right to Cancel to either obligor, in violation of 15 U.S.C. XXXX ( a ) and XXXX XXXX  XXXX ( b ) ( XXXX ). 
Due to this failure, the right to rescind the loan extended for XXXX ( XXXX ) years from the date of consummation, under 15 U.S.C. XXXX ( f ) and XXXX XXXX XXXXXXXX ( a ) ( XXXX ). The rescission period remains open until XX/XX/XXXX. 

On XXXX XXXX, we properly through certified mail ( Tracking Number XXXX ) delivered and accepted a Notice of Rescission to LoanDepot.com, in accordance with 15 U.S.C. XXXX ( a ) and XXXX XXXX  XXXX ( a ). LoanDepot.com was obligated to terminate the security interest and return all funds within XXXX ( XXXX ) calendar days, pursuant to 15 U.S.C. XXXX ( b ) and XXXXXXXX XXXX XXXXXXXX ( d ). 
LoanDepot.com failed to acknowledge or respond to the Notice of Rescission, and did not release the security interest or return any consideration as required by law. This noncompliance constitutes a material violation of XXXX and its regulations. 

Follow-Up Action Ignored : On XX/XX/XXXX, a follow-up letter was sent via certified mail ( XXXX XXXX ) to LoanDepots.com, requesting proof of receipt of the XXXX ( XXXX ) required copies of the Notice of Right to Cancel . This letter also notified them of their continued noncompliance with federal rescission requirements. 
LoanDepot.com never responded to the follow-up letter, and no corrective actions were taken. 

XXXX State Law Violations : LoanDepots.com actions also constitute violations of XXXX state laws : Nebraska Consumer Protection Act ( XXXX ) XXXX XXXX  XXXX. XXXXXXXX XXXX XXXX 
LoanDepots.com failure to provide mandatory disclosures and refusal to comply with the rescission notice constitutes an unfair or deceptive trade practice under XXXX XXXX XXXXXXXX. XXXX. 
Nebraska Uniform Deceptive Trade Practices Act ( UDTPA ) XXXX XXXX XXXXXXXX. XXXX et seq. 

LoanDepots.com conduct violates prohibitions on misleading omissions and deceptive practices, actionable under XXXXXXXX XXXX XXXXXXXX. XXXX. 
Failure to Release Security Interest Nebraska XXXX XXXX. 
LoanDepot.com unlawfully retained a security interest in violation of its legal duty to release the lien upon rescission, as mandated under Nebraskas Uniform Commercial Code ( XXXXXXXX XXXX XXXXXXXX. XXXX ). 

LoanDepot.com falsely claims that XXXX ( XXXX ) copies of the Notice of Right to Cancel were provided to both XXXX XXXX and XXXX XXXX at closing on XX/XX/XXXX. However, despite repeated requests, LoanDepot.com has failed to produce any certified documentation or verifiable proof confirming the delivery of these required copies, as mandated by 15 U.S.C. XXXX and XXXXXXXX XXXX XXXXXXXX. The absence of this documentation demonstrates noncompliance with federal disclosure requirements and invalidates their claim that the right to rescind has expired. 

Legal Precedent Federally : Under 15 U.S.C. XXXX ( a ), LoanDepot.com is liable for actual damages, statutory damages up to {$4000.00} per violation, and attorneys fees and costs. 
Continued failure to comply with rescission procedures exposes LoanDepot.com to court-ordered rescission, restitution, and enforcement actions by the Consumer Financial Protection Bureau ( CFPB ).

Legal Precedent in Nebraska : Nebraska courts have consistently ruled in favor of consumers in cases of deceptive practices and nondisclosure. See XXXX XXXX XXXX XXXX XXXX XXXX XXXX, XXXX XXXX. XXXX, XXXX XXXX XXXX ( XXXX ), where the court ruled that misleading representations in financial transactions violate the XXXX and XXXX. 
In XXXX v. XXXX XXXX XXXX, XXXX XXXX. XXXX, XXXX XXXX XXXX ( XXXX ), the XXXX XXXX Court affirmed that consumers have a private right of action under the XXXX for deceptive acts and omissions, including recovery of damages and attorneys fees. 

The Consumer Financial Protection Bureau ( CFPB ) has the authority under 15 U.S.C. XXXX and XXXX XXXX. XXXX to investigate LoanDepot.coms violations of the Truth in Lending Act ( XXXX ) and enforce compliance. The CFPB can initiate enforcement actions, impose civil monetary penalties, and require restitution for harmed consumers. Additionally, the CFPB can compel LoanDepot.com to release the security interest, return all funds received in the transaction, and ensure corrective measures are taken to prevent future violations. The Bureaus intervention is critical to holding LoanDepot.com accountable and protecting consumer rights under federal law.

Company response to consumer: Closed with explanation