Consumer complaint received 2025-09-13 00:00:00
Product: Mortgage — Conventional home 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: LoanCare, LLC
State: TX

Complaint narrative:
Dear CFPB, I am filing this formal complaint against LoanCare , LLC ( XXXX ID : XXXX ), my mortgage loan servicer, for multiple violations related to their mishandling of my loan modification process, including failure to honor an approved modification, dual tracking by initiating foreclosure while the modification was under review, imposition of improper attorney fees, inaccurate credit reporting causing a XXXX credit score drop, and causing significant emotional and financial harm. These actions violate the Real Estate Settlement Procedures Act ( RESPA ), the Fair Credit Reporting Act ( FCRA ), and other federal consumer protection laws. I request an immediate investigation, resolution of these issues, waiver of improper fees, correction of my credit reports, cessation of foreclosure and harassment, and appropriate remedies or penalties.

Background and Timeline of Events I have been a diligent borrower, complying with an approved trial modification plan. However, LoanCares errors and delaysstemming from notary mistakeshave led to wrongful foreclosure proceedings and severe consequences. Below is the timeline : XXXX : LoanCare approved a XXXX XXXX XXXX requiring XXXX {$2900.00} payments starting XXXX XXXX. I made all payments on time XXXX : Received a permanent modification offer, requiring notarized signature by XXXX, with a notary checklist for XXXX XXXX : LoanCare called, stating initial documents were rejected due to improper notarization by XXXX XXXX XXXX : Received revised documents XXXX XXXX XXXX stating return in 10 days XXXX XXXX  : Brought the date error to LoanCare 's attention ; they acknowledged the error, consulted his superior, and confirmed that since I received the documents on XXXX XXXX, I had 10 days from receipt to return them. I signed the revised documents and returned them on XXXXXXXX XXXX 

XXXXXXXX XXXX  : LoanCare confirmed another XXXX XXXX notary error ; approval remained ; new documents promised in 10 days. 

XXXX, XXXX  : LoanCare reiterated documents in 10 days with mobile notary ; continue payments. 

XXXXXXXX XXXX  : LoanCare noted another notary rejection ; documents soon ; continue payments. 

XXXXXXXX XXXX : LoanCare advised continuing payments ; notes confirm approval. 

XXXXXXXX XXXX XXXX LoanCare Modification Specialistdocuments processing, underwriter delay ; up to 10 days. 

XXXXXXXX XXXX : LoanCarenot my fault, approved ; rush note on underwriter. 

XXXXXXXX XXXX  : LoanCare Modification Specialist said underwriter reviewing ; documents soon. 

XXXX XXXX XXXX Received " Workout Option Offer Expired '' letter ( attached ) and harassment from investors began. LoanCare Supervisormodification suspended XXXXXXXX XXXX ; no more payments ; foreclosure ; pay attorney fees. Supervisor admitted LoanCare " dropped the ball. '' XXXXXXXX XXXX  : Received foreclosure notice from XXXX with sale date XXXX XXXX XXXX XXXX  : Spoke LoanCare Modification Supervisorshe reviewed notes, promised to hold foreclosure, waive fees, and call back XXXX XXXX ( no call ). Credit dropped XXXX points. 

XXXX XXXX XXXX LoanCare drafted and sent a new Trial Period Plan offer requiring XXXX {$3000.00} payments starting XXXX XXXX forcing me to start over with higher payments due to their errors XXXX XXXX XXXX  Supervisor was rude, falsely claimed XXXX suspension contact, confirmed expiration per XXXX letter, demanded start over with new documents, and raised payment to {$3000.00} with late fees. Stated foreclosure suspended, but harassment continues. LoanCare demands attorney fees. 

XXXX XXXX XXXX  Received the new Trial Period Plan offer in the mail. 

I called monthly, complied fully, and continued payments as instructed. Delays resulted from XXXX XXXX notary errors ( violating LoanCares checklist ), not my actions.

Specific Violations RESPA Violations ( 12 U.S.C. 2601 et seq. ) : LoanCare failed to process my approved modification, engaged in dual tracking, imposed improper attorney fees, and ignored verbal correction requests. The XXXX expiration letter after assurances violates fair servicing. 

FCRA Violations ( 15 U.S.C. 1681 et seq. ) : Inaccurate reporting caused a XXXX credit drop. 

Unfair Practices : Deceptive fee imposition and misinformation ( e.g., LoanCare 's false XXXX contact claim ). 

Emotional and Financial Harm : Harassment and stress required mental health support. 



Thank you for your assistance. I can provide additional details or documents upon request.

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