Consumer complaint received 2025-12-10 00:00:00
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — Payment process
Company: MIDFIRST BANK
State: LA

Complaint narrative:
I am filing a complaint against XXXX XXXX  for repeated mortgage servicing violations that have caused financial harm, inaccurate credit reporting, and improper delinquency status on my FHA-insured mortgage. I have consistently made my payments, including during two declared disasters, yet XXXX has mishandled my account and initiated foreclosure activity without justification. 

XXXX. Mishandling of Disaster-Related Loss Mitigation ( XXXX and XXXX ) After two federally declared disasters, I completed the required 3-month trial plans each time and brought the loan fully current, including making double payments. Instead of restoring my account, XXXX repeatedly attempted to push me into a 30-year refinance at an interest rate two points higher than my current FHA rate , despite no documentation of any missed payments.

2. Improper Application of Payments / Suspense Account Errors XXXX own payment ledger shows multiple payments placed into unapplied funds, reversed without explanation, or inconsistently applied. My bank statements and XXXX email confirmations show that payments were successfully deducted, yet XXXX did not properly apply them to my account. This resulted in false delinquency and violated servicing standards.

3. False Credit Reporting and Re-Reporting After Dispute ( FCRA Violations ) In XX/XX/XXXX, XXXX reported my account delinquent. I disputed the reporting, and all three credit bureaus ruled in my favor and corrected the account to current on XX/XX/XXXX. However, three months later, XXXX re-reported me as 180 days delinquent an impossible status based on the previous current ruling and the payments I made afterward. This has significantly damaged my credit.

4. Failure to Respond to Written Error Disputes ( Regulation X Violation ) On XX/XX/XXXX, I submitted a written dispute requesting validation of any alleged missed payments and provided bank statements from XXXX proving consistent payment history. XXXX acknowledged receipt but never responded. 

On XX/XX/XXXX, I submitted a second written dispute noting their failure to reply. Again, they acknowledged receipt but did not respond. They have never provided documentation showing any missed payments. 

Servicers are required to investigate and respond to Notices of Error within regulatory timelines. XXXX did not. 

5. Improper Foreclosure Activity and Dual Tracking When I attempted to make a payment in XXXX, XXXX told me my loan had been submitted for foreclosure and refused to accept payment. This occurred while active disputes were open and while I was attempting to make payments, which is a violation of dual-tracking rules. 

Despite my consistent payments, XXXX sent multiple default and foreclosure letters in XXXX, XXXX, and XX/XX/XXXX, even though they continued accepting and confirming payments including one on XX/XX/XXXX. 

6. Conflicting and Unexplained Repayment Demands XXXX sent contradictory notices requiring : A {$1600.00} repayment plan payment ( due XX/XX/XXXX ), Followed by instructions that I must make three trial payments of {$1600.00} from XXXX XXXX, without explaining any calculations, terms, or basis for the amounts. 

When I called for clarification, the representative could not confirm whether my {$1600.00} XXXX payment would be returned ( it has not been returned ) or whether I still needed to submit the {$1600.00} XXXX payment. These inconsistencies have made it impossible to understand what XXXX believes I owe. 

7. Pressure to Enter a Costly Modification Without Evidence On multiple occasions, XXXX sent 30-year modification offers at 6.5 % interest, even though my current rate is 4.5 %, and they provided no evidence of any missed payments to justify loss-mitigation alternatives.

8. Harm Suffered Because of XXXX errors : My credit score was severely damaged.

I received wrongful foreclosure threats.

I experienced extreme emotional and financial stress. 
I made multiple payments out of fear of further negative action. 
My account remains in an incorrect delinquency status despite proof of payment. 

I will attach : XXXX  payment ledger showing unapplied funds Bank statements and payment confirmations Foreclosure/default notices Modification packages My written disputes and XXXX  acknowledgments Credit bureau dispute results All correspondence and transaction statements Thank you for reviewing this complaint. I am requesting urgent assistance before additional harm occurs.

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 monetary relief