Consumer complaint received 2025-12-18 00:00:00
Product: Mortgage — Home equity loan or line of credit (HELOC)
Issue: Trouble during payment process — Loan sold or transferred to another company
Company: National Default Servicing Corporation
State: CA

Complaint narrative:
Foreclosure Activity Initiated Without Documented Beneficiary Authorization and Failure to Respond to Written Inquiry I am submitting this complaint because foreclosure activity is being conducted through National Default Servicing Corporation ( NDSC ), acting as trustee, without documented confirmation of lawful beneficiary authority, and because XXXX has failed to respond to a written request for clarification sent on XX/XX/year>. 


This complaint seeks CFPB assistance to obtain a clear, written response identifying who authorized foreclosure and the documentary basis for that authority. 


BACKGROUND AND FACTS XXXX. Foreclosure activity is being pursued against my property located at XXXX XXXX XXXX, XXXX XXXX, California XXXX. 

XXXX. A recorded Substitution of Trustee identifies XXXX XXXX XXXX XXXX as the executing party. 

XXXX. In response to a CFPB complaint, XXXX stated in writing that it is not the correct company to address questions regarding promissory note ownership or enforcement authority. 

XXXX. Because XXXX both executed the recorded Substitution of Trustee and disclaimed responsibility for note-ownership and enforcement inquiries, there is material uncertainty as to which entity authorized foreclosure activity. 

XXXX. On XX/XX/year>, I sent a written request directly to National Default Servicing Corporation, requesting factual clarification of foreclosure authority, including : identification of the entity that authorized foreclosure ; and production of any written beneficiary authorization, certification, or instruction relied upon by XXXX to initiate foreclosure. 

The letter was delivered by email and FedEx, requested a response within XXXX ( XXXX ) business days, and included supporting documentation. 

XXXX. As of the date of this complaint, XXXX has not responded to the XX/XX/year> written inquiry. 

XXXX. The recorded Substitution of Trustee states that it was requested by and recorded through National Default Servicing Corporation. 

XXXX. Because XXXX requested and recorded the Substitution of Trustee, XXXX necessarily acted in response to instruction from a party purporting to act as the beneficiary or its authorized agent. A trustee can not request or record its own substitution absent direction from an entity claiming beneficiary authority. 

XXXX. Accordingly, at the time XXXX initiated foreclosure activity, there necessarily existed some written document, instruction, or authorization identifying the party directing foreclosure and requesting XXXX to act as trustee. 

XXXX. Despite this, XXXX has not produced any such document, has not identified the directing entity, and has not responded to my XX/XX/year> written request seeking that information. 


WHY THIS IS A PROBLEM Californias nonjudicial foreclosure framework permits foreclosure only when directed by a lawful beneficiary or its authorized agent, and requires trustees and servicers to ensure foreclosure documents are supported by competent and reliable evidence of authority ( California Civil Code 2924 ( a ) ( 6 ), 2924.17, and 2924.19 ). 


The fact that XXXX requested and recorded the Substitution of Trustee demonstrates that XXXX knew which entity directed it to initiate foreclosure. That direction could only have come from a party claiming beneficiary authority or from a servicer acting on the beneficiarys behalf, and would ordinarily be documented in writing. 


NDSCs failure to identify that directing party or produce any written instruction, authorization, or certification creates a material concern that foreclosure activity is proceeding without substantiated beneficiary authority, and without the documentation contemplated by California law. 


This non-response prevents me from determining : who claims to be the beneficiary, whether that entity is entitled to enforce the promissory note, or whether foreclosure is being pursued on behalf of an entity that holds only a receivable rather than the note. 

ATTACHMENTS : XXXX. XX/XX/year> Letter to National Default Servicing Corporation ( email + XXXX delivery confirmation ) XXXX. Recorded Substitution of Trustee ( showing it was requested and recorded through XXXX ) XXXX. Notice of Trustees Sale / Notice of Default ( as applicable ) XXXX. CFPB Complaint and XXXX XXXX XXXX ( XXXX states it is not the correct company )

Company response to consumer: Closed with explanation