Consumer complaint received 2024-08-29 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: LAND HOME FINANCIAL SERVICES
State: WI

Complaint narrative:
I applied for assistance with Wisconsin 's Help for Homeowners and became eligible in early XXXXXXXX XXXX XXXX for {$40000.00}. In order for them to send the payment to my lender, I was asked to call them to set up an arrangement for my arrears since the amount I was eligible for would not cover the remaining balance which was at the time between XXXX  XXXX {$11000.00}. I was also still on XXXX  XXXX making my arrears payment and this grant would have helped me tremendously get back to a current-good financial standing and out of XXXX  XXXX. 

I called my lender to initiate a payment arrangement for my arrears. They would transfer me back and forth between the Loss Mitigation Department and the Bankruptcy Department with both departments stating that they can not handle my account and made a lot of excuses. After complaining about the back and forth to them I ended up speaking with XXXX from the Bankruptcy Department and explained again the situation. I continued to explain to them that I was eligible for a grant, but that we needed to set up a plan for the remaining balance that the grant would not cover so I can be of current standing with my mortgage. She said that she has notated my account and will let her superiors know the situation. I would also need to fill out a form for a Mortgage Assistance Application that they have to mail to me and that I need to write down in addition what it is that I am requesting and why along with a signature.

After receiving the application via mail I filled out the form and wrote down why and what it is I am requesting along with a signature. The letter stated that I was impacted due to Covid and have lost income. I was approved for {$40000.00} and I was requesting for them to move the difference to the back of the loan until it matures. I was seeking a partial-claim. That was mailed out in XX/XX/XXXX. I sent a copy to my housing counselor at the time ( XXXX XXXX ) as well to keep him in the loop. 

In XX/XX/XXXX I received a letter from my bankruptcy attorney regarding Loss Mitigation options that they sent to him. He asked me to choose if either of the options would work for me. The information my attorney sent me was not in detail however. It only had 2 different options with the Effective Date, New Maturity Date, New Interest Rate and New Total Payment. Before choosing an option and signing anything, I called my lender that day to ask if they have included the {$40000.00} with their calculations. They said, no. When I asked why is that, they stated that no where in their system did they see the state contacting them in any sort about my eligibility. XXXX emailed me a screen shot of their enquiry that showed me otherwise. I reminded them that I filled out the Mortgage Assistance Application and that in that form I requested for a partial-claim. They claimed they did not see that. As I kept on insisting that I did, I was then told that I do not qualify. After the holidays, on XX/XX/XXXX I reached out to my attorney and informed him I am choosing neither options.

My housing counselor at the time continued to contact them in addition with me to try and settle the matter, but they would never reach back out. At some point, XXXX XXXX and I had to go on a 3-way call to speak with XXXX ( Bankruptcy Department ) to try and settle this matter. She acknowledged she understood and that they would work on it right away. I received a call from XXXX a couple weeks later and he then told me that my mortgage claimed we never spoke with XXXX or the Bankruptcy Department. In addition, that they said we were speaking with the wrong department. It should have been the Loss Mitigation department. 

On XX/XX/XXXX I was assigned a new Housing Counselor, XXXX XXXX. I explained what all that has been going on in addition to the more difficult financial hardship I had now endured not being able to keep up with my XXXX  XXXX payments and mortgage payments. I explained I received a letter from my mortgage that they want to foreclose. That it would be best if I also did a short sale and receive a small amount of payment between XXXX XXXX {$3000.00}. She helped me write an appeal letter to them and call them to explain that we are appealing and why. On XX/XX/XXXX I received an email from XXXX that she received an update from my lender and that they are finalizing my arrears. Her projected time that I begin to be required to make on time payments on XX/XX/XXXX. 

On XX/XX/XXXX I received an email from XXXX that they have been having a difficult time getting my mortgage to respond to them and she asked that I reach out to them. I called my lender that day and asked the status of my loan modification. I was told they are recalculating and will have to see if I qualify and to call back in 7 days or so.

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