Consumer complaint received 2021-11-16 00:00:00
Product: Mortgage — VA mortgage
Issue: Trouble during payment process — 
Company: LoanCare, LLC
State: MD

Complaint narrative:
In XX/XX/XXXX we were placed on forbearance. At this time we have never been late on a payment and were current when entering the forbearance period. In XX/XX/XXXX we called LoanCare to ask what our options were for repayment. They said they would send documents out to us on modifying the loan and once we apply we should hear back on what our payment would be. 

Since we had not received documentation regarding our modification we started sending {$5000.00} a month so we would not continue to get behind on the mortgage payments. We paid {$5000.00} for months XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX and XX/XX/XXXX. In XXXX we called because we noticed our statements did not reflect the {$5000.00} payments. We were told it would be fixed. In XX/XX/XXXX we called back again telling them our statements are not showing the {$5000.00} being deducted from our balance but all payments were cleared by the bank to them. In the XX/XX/XXXX phone call the lady noted to stop payments and they would put us back on forbearance so they could update the payments received and deduct them from the balance and send out new modification paperwork. We stopped payment as instructed by LoanCare. However in XXXX we still had not receive paperwork and the statements still did not reflect XXXX XXXX payments. We were not getting to a resolution with XXXX. 

Therefore we started the process to refinance with another mortgage company. During this process LoanCare informed our loan officer that we were NOT on forbearance. When we call LoanCare we spoke with a representative and she explained the individual we spoke to XX/XX/XXXX put the wrong code in and ran the wrong script/template. She noted we were not allowed be taken off forbearance and put back on forbearance. However she understood going through the notes we were in fact told to stop making payments. Because we were given the wrong guidance from loan care we did not make XXXX, XXXX and XXXX 's payment on time because of being told we are " back on forbearance ''. We then sent three {$5000.00} ( total $ XXXX ) to them in early XX/XX/XXXX through LoanCare BillPay system. They cleared but did not apply it to our loan. Instead of sending our funds back to us they sent it to a wrong account ( we were told somewhere in another state, they are currently in the process of tracking down the funds ). They said they will not take any payments for our account at this time but do not give a clear reason and instead keep pushing for us to modify our loan with them instead. We have spent every bit of 20-30 hours on the phone with LoanCare over the last 2 weeks with no resolution. We are not in foreclosure and every time we speak to someone new they give us different reasons why they can't take payment for our mortgage none of which seem legal. Because they will not take payment from us we are unable to refinance with another lender due to us being behind on our mortgage on the credit report despite us trying to provide payment to show we are current. It is truly unethical and illegal for a company to refuse payment. They want to keep this loan make money off the late fees, and hope to modify the loan at a high interest rate therefore they make it extremely difficult for you to pay your payment.

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