Consumer complaint received 2025-08-25 00:00:00
Product: Mortgage — USDA mortgage
Issue: Trouble during payment process — Payment process
Company: Freedom Mortgage Company
State: LA

Complaint narrative:
To Whom It May Concern : This correspondence serves as a formal Notice of Error pursuant to Regulation X ( 12 C.F.R. 1024.35 ) under the Real Estate Settlement Procedures Act ( RESPA ). I am disputing the accuracy and fairness of Freedom Mortgages recent decision to discontinue my three-month Trial Payment Plan ( TPP ) scheduled for XX/XX/XXXX through XX/XX/XXXX for my account referenced above. 

Nature of the Error Misapplication of Trial Payment On XX/XX/XXXX ( XXXX ), I submitted my first trial payment. 

I received an automated no-reply payment notification email dated XX/XX/XXXX, confirming receipt. 

Upon later review, the payment was incorrectly documented as being received on XX/XX/XXXX. 

On XX/XX/XXXX, I contacted Customer Service and was advised that the payment showed in Freedoms system around XXXX XXXX This timing equates to XXXX XXXX  XXXX on XX/XX/XXXX, thereby confirming my compliance with the trial payment deadline. 

Failure to Provide Accurate and Timely Information There is no written documentation in my mortgage statements, disclosures, or correspondence indicating that payments are processed exclusively under XXXX XXXX XXXX ( XXXX  ) deadlines. 

Customers should not be penalized for good-faith compliance where such material terms are not clearly disclosed. 

Failure to Provide Access to Proper Escalation Channels During my XX/XX/XXXX Customer Service call, I was provided inconsistent information and was refused access to higher-level management. I was informed that theres no additional support management can provide, because we are trained to handle all matters. 

It is unreasonable and procedurally deficient for Freedom Mortgage to claim that frontline representatives possess the same authority as management, thereby depriving borrowers of legitimate escalation channels.

Pattern of Non-Compliance with RESPA/Regulation X Under 12 C.F.R. 1024.40, servicers are required to provide borrowers with a Single Point of Contact ( SPOC ). My account has been handled by multiple individuals with varying interpretations of guidelines, resulting in confusion, delays, and mismanagement.

Under 12 C.F.R. 1024.38, servicers must maintain policies and procedures reasonably designed to provide timely and accurate information. Freedom Mortgage has repeatedly failed to upload documents to my borrower portal in a timely manner, and mailed correspondence is routinely delayed in my area.

I previously completed a Trial Payment Plan ( XXXX XXXX ) successfully. Despite this, I was forced back through the full Loss Mitigation process ( XX/XX/XXXX XX/XX/XXXX ) before being offered another plan. This inconsistent handling appears inequitable and discriminatory in effect.

Requested Resolution Pursuant to 12 C.F.R. 1024.35 ( e ), I am requesting the following corrective actions : Immediate reinstatement of the XXXX XXXX Trial Payment Plan and continuation of my eligibility for a Traditional Loan Modification.

Written clarification of all payment deadlines and time zone requirements to ensure borrowers may comply accurately and avoid unfair penalties.

Internal review of Freedom Mortgages loss mitigation practices, including improper denial of escalation requests and failure to provide a SPOC, in order to prevent future violations.

Written acknowledgment of this Notice of Error within XXXX business days and a full investigation and resolution within XXXX business days, as required by Regulation X. 

Conclusion The mishandling of my account has caused unnecessary hardship, stress, and financial uncertainty. Freedom Mortgages failure to comply with its obligations under RESPA and Regulation X represents a serious servicing error that must be corrected.

Please consider this letter as a formal dispute of account accuracy and servicing errors. If corrective action is not taken, I reserve the right to escalate this matter to the Consumer Financial Protection Bureau ( CFPB ), state regulators, and legal counsel. 

Thank you for your prompt attention to this matter. I expect a timely written acknowledgment and a thorough resolution in compliance with federal law. 

Sincerely,

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