Consumer complaint received 2025-03-20 00:00:00
Product: Credit reporting or other personal consumer reports — Credit reporting
Issue: Problem with a company's investigation into an existing problem — Problem with personal statement of dispute
Company: PENNYMAC LOAN SERVICES, LLC.
State: TX

Complaint narrative:
Dear Consumer, Financial Protection Bureau, I am writing to file a formal complaint against PennyMac Loan Services concerning the inaccurate reporting of my mortgage payments, which has adversely affected my credit score and financial opportunities. 
Background : On XXXX XXXX XXXX I purchased a home and secured a mortgage with PennyMac Loan Services. Due to the substantial closing fees, taxes, and other charges, I encountered financial difficulties in the initial months. Consequently, I contacted PennyMac in XX/XX/scrub>XXXX XXXX to discuss a temporary payment arrangement. We agreed upon a bi-monthly payment plan from XXXX XXXX XXXX XXXXXX/XX/year>, during which I adhered strictly to the agreed terms, ensuring all payments were made timely and in full. 
Issue : Despite honoring the payment arrangement, PennyMac reported these payments as delinquent to the credit bureaus. This erroneous reporting led to a significant drop in my credit score, plummeting to approximately XXXX. Consequently, I have faced : Denial of a mortgage refinancing application, which was crucial for managing my financial obligations more effectively.Consumer Finance.gov Rejection of a student loan application, essential for funding my clinical rotation in graduate school. 
Attempts to Resolve : I have made multiple attempts to rectify this issue directly with PennyMac : On XXXX XXXX XXXX XXXX XXXXXX/XX/year>, I contacted their customer service department to dispute the late payment reporting. Despite providing evidence of the agreed payment arrangement and proof of timely payments, my request for correction was declined. 
I submitted a written dispute to the credit bureaus on XXXX XXXX, including all supporting documentation. The bureaus responded that the information was verified as accurate by PennyMac, leaving an erroneous delinquency on my record.

Impact : The incorrect delinquency notation has severely impacted my financial standing : My credit score has suffered a substantial decline, limiting my access to credit facilities.

The denial of my student loan application jeopardizes my educational and professional advancement. 
The inability to refinance my mortgage has imposed additional financial strain due to higher interest rates. 
Requested Resolution : I respectfully request the Consumer Financial Protection Bureau 's intervention to : 1. Investig

ate PennyMac Loan Services ' reporting practices concerning my account during the agreed payment arrangement period.Consumer Finance.gov 2. Instruct PennyMac to correct the inaccurate delinquency reports to the credit bureaus. 3. Ensure that my credit reports are updated to reflect the accurate payment history, thereby restoring my credit score.

4. Implement measures to prevent such occurrences in the future, safeguarding consumers from similar issues. 
I have attached copies of the payment arrangement proof of payments made, and the credit bureau dispute responses for your reference. 
Thank you for your attention to this matter. I trust in the CFPB 's commitment to ensuring fair and accurate credit reporting practices and look forward to a prompt resolution. 
Sincerely, XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXXXXXX XXXX  XXXX XXXX XXXX

Company response to consumer: Closed with explanation