Consumer complaint received 2015-11-19 00:00:00
Product: Debt collection — Mortgage
Issue: Taking/threatening an illegal action — Seized/Attempted to seize property
Company: Ocwen Financial Corporation
State: NC

Complaint narrative:
Here recently we sued Ocwen and debt collector XXXX for their collection practices in Federal Court because there is a State Court XXXX order in the State Court that was ordered XX/XX/XXXX prohibiting the filing of any future actions against the substitute trustee and their agents and employees in the State court. When the Federal FDCPA suit was filed the defendants sought contempt of court orders in the state court imprisonment to comply if the federal suit was not dismissed. A request of XXXX in attorney fees to the substitute trustee was also made a part of the deal. Out of fear of imprisonment, we dismissed the Federal lawsuit and consented to pay the XXXX. We later sought to have the voluntary dismissal vacated but it was ordered that we did not show the court that we were entitled to the relief and we are likely stuck with the cost of refiling the suit and paying the additional cost to bring the action. While we were awaiting a ruling from the court, Ocwen mailed me a Delinquent Notice pursuant to XXXX CFR XXXX wherein Ocwen is informing us that the loan is delinquent and has been turned over to a foreclosure attorney. Ocwen further states that the initial filing has not been completed. At some point between the FDCPA lawsuit filed XXXX XXXX, XXXX and the XXXX XXXX XXXX Notice, Ocwen must have requested that its substitute trustee rescind the original foreclosure and start the process over. And while we believe this to be the case a substitute trustee currently has the property scheduled for a sale date of XXXX XXXX, XXXX. We contacted both Ocwen and the substitute trustee, and the Ocwen representative would not speak regarding the letter and was solely interested in questioning about the loan modification claiming that papers were needed, but we informed him that we had already received a denial letter based on the fact that the sale was 7 days out. When we reached out to the alleged substitute trustee regarding them rescinding the foreclosure based on the information contained in the delinquent notice, they have failed and refused to respond. The XXXX debt collector is in possession of an order from the state court that prohibits us from filing any complaints to your agency and any other Federal agencies, courts and commission. We have appealed this order. The original foreclosure in this case was upheld by the NC XXXX Court, however, an issue that was not before the court is the fact that the substitute trustees XXXX XXXX and or XXXX XXXX did not send a dunning letter to us as required by the FDCPA, although Ocwen and its attorneys do not believe that we have rights or protections under FDCPA, we strongly beg to differ and stand ready to file our FDCPA complaints with the Federal Court and we would hope that Ocwen and its attorneys would not threaten that we be imprisoned in the future for filing claims that are far removed from the foreclosure and unrelated to the underlying issues that were decided by the state court judge. I am attaching a copy of the Delinquency letter and a response from Ocwen filed in the Federal Court in response to our Motion to vacate the voluntary dismissal. It should be noted that Ocwen 's response to the motion was done prior to its claims that it still had an active right to sale the property based on XXXX XXXX, XXXX order permitting the foreclosure. These XXXX documents show that Ocwen is misrepresenting the status of the loan when it filed its answer in Federal Court.

Company response to consumer: Closed with explanation