Consumer complaint received 2026-06-08 00:00:00
Product: Mortgage — FHA mortgage
Issue: Struggling to pay mortgage — Trying to communicate with the company to fix an issue related to modification, forbearance, short sale, deed-in-lieu, bankruptcy, or foreclosure
Company: Ocwen Financial Corporation
State: TX

Complaint narrative:
This is the second complaint I am filing in XXXX about this company 's handling of my mortgage file. The first was regarding their refusal to acknowledge my initial forbearance request, which they only provided after I complained to the CFPB. Onity Mortgage ( formerly PHH/XXXX XXXX Mortgage ) has committed multiple violations of Regulation X ( 12 CFR 1024 ) and FHA servicing requirements. They also reported me XXXX days late to the credit bureaus in XXXX, even though my first trial payment was not due until XX/XX/XXXX. This reporting caused my credit score to drop nearly XXXX points. Below is the full timeline and issues. XX/XX/2026 I re-submitted a complete Mortgage Assistance Application along with a formal forbearance extension request. My submission included a signed borrower attestation of hardship and loss of income. I was never asked to submit any financial documentation beyond the attestation. The servicer did not acknowledge or issue a proper decision on my forbearance extension request at that time. XX/XX/2026 The servicer issued a modification approval requiring a {$4300.00} trial payment beginning XX/XX/XXXX. They did not address nor explain why my forbearance request was ignored or denied. XX/XX/2026 I sent a certified Appeal, Notice of Error, and Request for Information via certified mail. I requested : A decision on my forbearance request Review of my hardship and income Reconsideration of the modification Investor guidelines Underwriting notes and waterfall results My complete loss mitigation file Confirmation that all trial plan deadlines and foreclosure/adverse activity would be paused during the appeal XX/XX/2026 Servicer Response The servicer responded but did not comply with Regulation X. They denied my forbearance request by stating only that I was not eligible, with no explanation, no criteria, no dates, and no FHA guideline citation. They did not provide investor guidelines, underwriting notes, waterfall results, or my full loss mitigation file as requested and deserved. They did not pause the trial plan or foreclosure timelines. They did not conduct a meaningful appeal review. They did not provide any explanation as to how they reached a trial payment amount without collecting any financial data from me. Because of this, my appeal, forbearance request, Notice of Error, and RFI were still pending and unresolved. Late XX/XX/2026 Credit Reporting Harm Despite all of the above being unresolved, Onity reported me XXXX days late to the credit bureaus in XXXX. This caused my credit score to drop nearly XXXX points. This is an adverse action taken during a pending appeal and unresolved servicing errors, which is prohibited under 12 CFR 1024.41 ( f ) and ( h ). It is also inconsistent with their own timeline, because the first trial payment was not due until XX/XX/XXXX. Regulation X Violations Failure to respond to my forbearance request ( 12 CFR 1024.35 ( b ) ( 11 ) ) Failure to pause loss mitigation activity during a pending appeal ( 12 CFR 1024.41 ( f ) and ( h ) ) Failure to provide required RFI documents ( 12 CFR 1024.36 ( d ) and ( f ) ) Failure to conduct a meaningful appeal review ( 12 CFR 1024.41 ( h ) ( 2 ) ) Failure to provide specific reasons for denial ( 12 CFR 1024.41 ( d ) ) Improper credit reporting during a pending appeal ( 12 CFR 1024.41 ( f ) and ( h ) ) FHA Servicing Violations Because this is an FHA loan, the servicer also violated FHA requirements regarding forbearance, hardship attestation, waterfall documentation, and appeal review.

Company response to consumer: Closed with explanation