Consumer complaint received 2024-11-13 00:00:00
Product: Mortgage — VA mortgage
Issue: Trouble during payment process — Trying to communicate with the company to fix an issue while managing or servicing your loan
Company: Mr. Cooper Group Inc.
State: AL

Complaint narrative:
On or about XX/XX/XXXX, due to financial hardship related to the Pandemic, we entered into a forbearance agreement. We elected a 6-month forbearance.

At the end of the 6-month forbearance period, our account was modified, and monthly payments were resumed at a higher 4.6 % interest rate with no trial period.

Subsequent covid-related deaths among 4 close family members resulted in a second 6-month forbearance from XXXX until XX/XX/XXXX. 
At the end of the second 6-month term, the mortgage company demanded we enter into a new refinanced agreement with an interest rate of over 7 %.

We could not afford the new proposed monthly payment.

The company refused to accept any monthly payments unless the entire amount due ( 6 months ' worth of payments ) was paid first.

We were able to make 2 payments through the online escrow portal in order to cover the insurance premium due in XX/XX/XXXX. 
But when they discovered that we had slipped payments in through that manner, the portal was made inaccessible.

We offered a counterproposal that instead of a new modification, they should accept our original monthly payments, plus an additional {$900.00} per month to allow us to catch up. They refused the counterproposal.

We therefore deposited the money we could have paid to Mr. Cooper into our own savings account. At the time, ( XX/XX/XXXX ) we held {$6800.00} which was 4 months-worth of payments ; just 2 months short of the full amount being demanded.

Mr. Cooper continued to refuse to accept any payments.

Each month that went by we deposited the monthly mortgage payments into our savings. 
On XX/XX/XXXX, we explained to Mr. Cooper by letter that due to our XXXX we can not afford to relocate and therefore asked Mr Cooper to accept our monthly mortgage payments, plus the funds we had saved, as a reasonable accommodation under the federal Fair Housing Act.

Mr Cooper acknowledged receipt of our request in a letter stating that a response would be forthcoming on or by XX/XX/XXXX. 
While waiting for Mr Cooper 's response our garage burned down and was a complete loss. An insurance claim was filed. As a result, we were issued insurance proceeds in the amount of {$110000.00} which were deposited with Mr Cooper for the purpose of repairing the property.

We waited over a month for the money to start tearing down and rebuilding. We finally had to pay close to {$30000.00} out of pocket for the damaged property to be demolished and hauled away. Despite our efforts to mitigate further damage during the
subsequent Hurricane, protect the valuable property, and comply with hazardous conditions caused by the destructive fire, Mr Cooper has only sent us {$10000.00}. On a phone call today we were told that the Insurance Funds will not be released until we pay {$33000.00}. Without reasonable explanation or justification, we are told we failed the inspection.

Our request for a reasonable accommodation was based on our military service-connected XXXX physical or mental health issues, emotional distress Despite this request, Mr Cooper still refuses to accept monthly payments and instead insists that we must pay the full amount of the arrears immediately or face foreclosure, without offering any other reasonable alternatives or accommodations. 
When we got our XXXX statement we thought everything was all set ; we were all caught up and we were now allowed to pay a monthly amount. But it didn't last- they took that away. And we are back at owing {$33000.00} and we are out of money and we still have no garage.

As a result of Mr Cooper 's failure to provide the reasonable accommodation, we have been further subjected to undue financial hardship and emotional distress and keep getting threatened that we are going to lose our home to foreclosure.

Our payment history also shows an enormous amount o
f credits on XX/XX/XXXX which amount to over XXXX XXXX dollars and we can not get any explanation. We have encountered unexpected fees, inaccurate information, and other obstacles that make it very hard to fight XXXX

Company response to consumer: Closed with explanation