Consumer complaint received 2024-11-22 00:00:00
Product: Mortgage — FHA mortgage
Issue: Struggling to pay mortgage — Applying for or obtaining a modification, forbearance plan, short sale, or deed-in-lieu
Company: LoanCare, LLC
State: CO

Complaint narrative:
Sir/Madam : RE : LoanCare Mortage Servicer for my FHA loan XX/XX/XXXX Loancare sends letter please contact " we would like to help you '' I called in. 

XX/XX/XXXX I submit Application for Mortgage Assistance XX/XX/XXXX We received your application letter - will review letter within XXXX business days from the date we received and let you know whether your application is complete. I then did not receive anything requesting any further information. I sent a pay stub with the application. Customer service states that my loan is in " protected status ''. 

XX/XX/XXXX Request for Mortgage Assistance Letter " withing the next 15 days, we will calculate the terms of your mortgage assitance offer and send you a document package with required paperwork. NOTHING HAS BEEN RECIEVED XX/XX/XXXX letter from collections department about availability of telephone conference to discuss your mortgage. ( Mind you, I have called in many times already and spoken with different CS agents assuring me that mortgage is in protected status ). 
I have also emailed XXXXLoancareXXXX, and no response. 

XX/XX/XXXX letter of NOTICE of Default and Right to cure on or before XX/XX/XXXX. Demanding {$8300.00} by XX/XX/XXXX. 

Today : XX/XX/XXXX - no response to application for mortgage assistance, no package or next steps necessary to save my home from foreclosure. 

I am behind XXXX {$2700.00}, XXXX {$2700.00}, XXXX {$2700.00}. I can pay XXXX payment on XX/XX/XXXX in full. 

I am writing in desperate need of help in trying to get mortgage assistance that has been offered as I am in default right now with this lender. This lender will Not accept partial payments on my mortgage monthly payments. I am currently 60 days late, and have applied for some mortgage assistance with them. They are stating that I only can have a COVID 19 Owner Occupant Loan modification ( but I have not received this paperwork to look at ). I qualified for this mortgage with a 3.25 % interest rate. And instead of offering me ( single mom/debt to income ratio high ) ; a payment deferral, or a repayment plan, that " allows you time to bring your mortgage current without having to make a single lump sum payment ''. They instead want me to restructure my loan which would cause me to fall even into a worse position with a higher interest rate. I think you should know that this loan servicer, LoanCare, immediately wants to inspect property when you are just 30 days late on your mortgage, they send someone out to your home. They refuse partial payments that could really help get money into the escrow account to at least cover insurance and interest. And that is disastrous. They state that if you send partial payments, that they will be sent back and your loan will be put into default ( where mine is ), and then finally foreclosure. 

And they say they appoint someone as your " mortgage resolution advocate '' - who never calls, emails or writes a letter to try to assist. I have not heard one word from XXXX XXXX ( XXXX  XXXX XXXX ). Instead I have received a Notice of Default since submitting my application for relief. 

On XX/XX/XXXX, they stated Next Steps : " We will begin processing your COVID XXXX Owner Occupant Loan Modification immediately and within approximately 15 days and you should expect to receive the offer and all of the instructions required to accept it. After 15 days from XX/XX/XXXX what I have received is a Notice of Default, and not a Owner Occupant Loan Modification. 

So, after wasting my time and having me fill out a mortgage assistance application and customer service reassuring me that the loan is in a protected status, they send a scary letter out instead telling me to cough up {$8300.00} and that I have the right to cure the default on or before XX/XX/XXXX. I will attempt to make my XXXX payment of {$2700.00} in whole on XX/XX/XXXX so I am not past 60 days late. But I could sure use an offer for deferred repayments right about now before come snatch my townhome from us. 

It does not seem like that is anything close to mortgage assistance. 

My reasons for falling behind are from huge home repairs that really should have been caught by the inspection when I bought the home. The plumbing upstairs was leaking in the wall of the second bath down to my dining room, and my furnace went out, then my car engine blew ( for a car that was paid off ) ; and I had to finance a vehicle which then added a {$500.00} payment monthly to my household. I am also under alot pressure for medical bills for my younger son and myself. I am heading into some medical testing ( biopsy procedure ) for potential XXXX. I got into a car accident in XXXX which also set me back. But the hardest thing began with my loan servicer LoanCare increasing my payment by almost {$300.00} due to what they say was an increase in the escrow homeowners insurance rates, from {$2400.00} to {$2700.00} ( roughly ). Neither the lender, nor XXXX XXXX XXXX, could even let me know that was going to happen. So, the home repairs, that increase and then also the mortgage insurance is $ XXXX. LoanCare tells me that they will not take the mortgage insurance off of the payment. I have friends that are telling me that it should have come off a year after my loan began? 

So either way they get my house, and if I default they get to have the home, and all while I pay a mortgage insurance that also guarantees money and property to them if I default and this pays them also? This does not make sense to me. 

I have documentation to prove all of these costs. The totalled car, the home repairs, the increase of house payment, and the mortgage insurance. Oh and my current car almost got repossessed in XXXX and that was what hindered me from making XXXX 's payment. 

There has to be a way to request a payment deferral with them, " Defer repayment of XXXX or more past due principal and interest payments as a non-interest bearing balance, which will be due and payable at the maturity of the mortgage loan or earlier upon the sale of the property, refinance of the mortgage loan, or payoff of the interest-bearing unpaid principal balance. 

Can you help me? Surely the federal government would like me to stay in my town home, keep my 3.25 % interest rate I worked hard to earn, and the money I put down for this home was the only money that I received from my mother 's trailer home sale. She died from XXXX on XX/XX/XXXX and from then on, I have struggled to finally become a homeowner. I have come into some really hard circumstances XXXX right after another. 

I can not see the advantage to FHA to get me into some outrageous restructuring of my mortgage when I put money down $ XXXX of my mother 's money, and earned an interest rate of 3.25 %. Me and my XXXX sons, my dogs and my cat will have nowhere to go that we can afford here in the XXXX area. 

I have a lot of attachments for this situation, bills/etc coming. But the fact of the matter is that I have a good job, I just need time to catch up my payments and pay XXXX payment twice per month to help me. Beginning XX/XX/XXXX {$2700.00} ( XXXX XXXX ) ; XX/XX/XXXX {$1300.00} ; XX/XX/XXXX {$1300.00} ( XXXX payment ). XX/XX/XXXX, XXXX Bonus {$2700.00} ( XXXX payment ). XX/XX/XXXX, {$2700.00} XXXX payment. 

And that would catch me up to making the XXXX payment on XX/XX/XXXX. 

Documents forthcoming. 

, XXXX -- -- -- -- -- Forwarded message -- -- -- -- - From : XXXX XXXX XXXX Date : Thu, XX/XX/XXXX at XXXX Subject : XXXX : XXXX - Mortgage Assistance Application of XXXX XXXX XXXX XXXX : XXXX, XXXX--

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