Consumer complaint received 2025-12-26 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: TX

Complaint narrative:
Failure to Process FHA Payment Supplement for Loan # XXXX " I am filing this complaint because LoanCare , LLC has failed to respond to my request for an FHA Payment Supplement, in violation of FHA loss mitigation guidelines. 

Background : I have requested that LoanCare evaluate my account for the FHA Payment Supplement to resolve a reported delinquency. Despite this program being specifically designed to help FHA borrowers bring their accounts current without a full permanent loan modification, LoanCare has provided no substantive response, status update, or list of required documents to move the request forward. 

The Issue : As of my XX/XX/year> records, LoanCare is holding {$10000.00} in year-to-date payments. While I am currently disputing the underlying cause of the delinquency ( see related Complaint regarding escrow errors ), LoanCare is required to act in good faith to resolve the account status via available FHA loss mitigation tools. Their silence is causing ongoing credit damage and preventing a resolution. 

According to your XXXX - Payment History ( dated XX/XX/year> ), my account shows the following data points that LoanCare has ignored : 1. The " Unapplied Funds '' Balance My payment history confirms that as of my last transaction, I have a balance of {$2200.00} sitting in Unapplied Funds ( suspense ). 

The Argument : This is nearly a full monthly payment. In your complaint, state : " As of XX/XX/year>, LoanCare is holding {$2200.00} in unapplied funds. Rather than applying these funds to bring the account current or using them to facilitate the FHA Payment Supplement, LoanCare is simply holding them while reporting me as delinquent. '' 2. Proof of Total Payments Your 2025 Year-to-Date summary on page 1 of the payment history shows I have paid : Principal : {$6200.00} Interest : {$10000.00} Total P & I Paid : {$17000.00} LoanCare 's refusal to process the FHA Payment Supplement is the only thing keeping the account in a " default '' status.

Look at these specific areas : Page 1 ( Header ) : To show the {$17000.00} in totaXXXX XXXX XXXX XXXX  paid this year.

Page 1 ( Latest Entry ) : To show the - {$2200.00} in the Unapplied Funds column. 

LoanCares own 'Transactional Details ' report dated XX/XX/year>, proves they are holding {$2200.00} in Unapplied Funds ( Suspense ). Despite having received over {$17000.00} in Principal and Interest from me this year, they have refused to provide an answer on my FHA Payment Supplement request. This program is specifically designed for borrowers in my situation to resolve 'partial payment ' delinquencies. LoanCare 's failure to act on this supplement while holding a significant balance of my unapplied funds is a violation of FHAs loss mitigation requirements. ''

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