Consumer complaint received 2021-04-27 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — 
Company: Flagstar Bank, N.A.
State: CA

Complaint narrative:
Requested forbearance and incurred over $ XXXX in additional money owed after ending forbearance. Never was informed that I would incur this additional cost, spoke to mortgage representative several times which indicated my balance owed would not change and that I would not be charged interest. It only appeared recently on my last mortgage statement. I still don't have a breakdown of how the $ XXXX was added onto my loan, calls go unreturned and representatives are informing me that I was not charged interest however can not explain the $ XXXX in additional charges. My mortgage balance was $ XXXX prior to forbearance and now has increased to $ XXXX without any explanation. 

On XX/XX/XXXX, I requested a forbearance from my mortgage company, Flagstar Bank due to unemployment/loss of income. My last regular mortgage payment was in XXXX that year, I was unable to make regular mortgage payments beginning in XX/XX/XXXX through XX/XX/XXXX. In XX/XX/XXXX, I regained employment and contacted Flagstar to discuss options of ending my forbearance. During the entire period, I received regular letters from Flagstar indicating that I was on forbearance status. I continued to receive monthly statements indicating my principal balance XXXX $ XXXX as of XX/XX/XXXX ). My statement dated XX/XX/XXXX indicated a principal balance of $ XXXX. 

Flagstar letter dated XX/XX/XXXX states my loan is in forbearance and is a " time out '' with no indication of interests/charges accruing. Flagstar letter dated XX/XX/XXXX states approval for Payment Deferral, again with no indication of increased money owed. Called Flagstar several times to get clarity, discovered my payment accepting the payment deferral was never processed and received another letter dated XX/XX/XXXX of a new approval letter. Flagstar letter dated XX/XX/XXXX states Payment Deferral Agreement, states number of past due payments deferred is 11, past-due principal & interest amount owed is {$1900.00} XXXX which is my regular payment ), other past-due amount is {$0.00}, and total past-due amounts deferred is $ XXXX. Additionally, under FAQ 's What other amounts might I owe, letter further states that " there is no processing fee for this deferral, if there is already a principal forbearance amount due I will still be responsible..etc. There is no indication whatsoever on additional charges, let alone the $ XXXX that I unexpectedly saw on my most recent statement. During the entire nearly year long period, it was never communicated to me and when I talked to several Flagstar representatives, they did not inform me of this additional amount and further stated I would not be accruing interest. 

Overall, my principal balance was adjusted to $ XXXX with a subordinate lien of $ XXXX, totaling $ XXXX with no explanation, detailed breakdown, or communication of this change.

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