Consumer complaint received 2024-09-11 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: Ocwen Financial Corporation
State: IL

Complaint narrative:
I am seeking assistance with deceptive, volatile, and unfair business conduct carried out by PHH Mortgage Services. PHH has been engaging in harassment of me and unethical practices for several months now and I hope to put an end to the unfair treatment. 


PHH Mortgage Services has unfairly and unethically placed my loan in default and has demanded thousands of dollars from me, which are not owed, and they have reported to the credit bureaus that I have missed payments, which is not true. In fact, I have never missed a payment. Further, PHH has continued to harass me and threaten me stating my loan will be placed in foreclosure. PHH has also told me I should sell my home, which is unwanted based on the large amount of equity I currently have.

My PHH Loan # XXXX This matter is related to a loan modification. I will outline the series of events below and supporting documents are attached. 


Ive had a mortgage with PHH Mortgage Services since XXXX. 


Factors in my life have made the cost of my floating rate unaffordable at {$2600.00}. In XXXX of XXXX I lost my XXXX function and have been on XXXX  ever since. In XX/XX/XXXX, I was dually diagnosed with XXXX ( XXXX XXXX XXXX ). As a result, Ive needed XXXX XXXX XXXX since XXXX of XXXX. Im treated for XXXX with XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX. In XXXX of XXXX I had XXXX XXXX ( XXXX  ) which further complicated my health. My XXXX XXXX  is now not planned until XXXX of XXXX or later. 


Due to my serious health issues related to XXXX XXXX, daily XXXX, and a relentless stream of consequent health complications and hospitalizations, I have struggled, but I still paid my current mortgage at {$2600.00} per month. My income is only social security for a payment of {$2800.00} per month. 


In XX/XX/XXXX I applied for a Loan Modification with PHH Mortgage Services, due to the severity of my illness causing hardship in making the current payment amount. PHH approved the Modification and told me to pay {$2400.00} for the months of XXXX, XXXX, and XXXX of XXXX, so I did. ( see attached ) PHH then said my ( Borrower Acknowledgement page which was signed by me ), XXXX XXXX ( see attachment ), was signed incorrectly by the notary. ( see attachments ) PHH then made me sign XXXX XXXX aka XXXX XXXX XXXX on the Borrower Acknowledgement page, which I did ( see attached ). 


PHH then called me and said the Borrower Acknowledgement page should be signed " XXXX XXXX XXXX " aka XXXX XXXX, instead of the way I signed the document according to their document instructions, verbatim. PHH said that since my deed was signed XXXX XXXX XXXX that signature should be signed first, and to sign XXXX XXXX second. 


Nowhere on the Borrower Acknowledgement page does it state anything about the deed! PHH gave me the Borrower Acknowledgement page with a blank date & XXXX XXXX printed below, to be signed above. The instructions on the document ( attached ) clearly state to sign my name " as it is written below the line. This is exactly what I did, in the presence of a notary. 


During this signature game being played by PHH, I received a notice from PHH stating my modification was approved. ( see attached ) PHH then called me and told me to skip the XX/XX/XXXX payment and to start making payments in XX/XX/XXXX in the amount of {$2300.00} and for the months thereafter. This is what I did and have been doing to date. 


On XX/XX/XXXX, PHH called and said that my modification was being canceled due to the Notary dropping an XXXX  in my name. This came after I was already approved and was paying the modified payments since XXXX as agreed. 


I followed PHH instructions of payment after they sent documentation approving the Loan Modification and now they say the modification is void.

PHH sent a letter dated XX/XX/XXXX informing me of Loan Modification rejection. I called and said I could send the corrected notary page again in overnight mail ( 4th correction required ), and they said they would still reject my corrected notary pages. They made no other attempts to contact me via phone or email to correct the notary page on or before the XX/XX/XXXX Modification rejection letter was mailed ( received XX/XX/XXXX ). 


PHH cancelled the Loan Modification based on a signature ( a single letter in my name/signature ). In addition, PHH now says that Im required to make all past Modified Loan payments to revert back to original payments.

They are pretending the Modification never happened, and further telling me I owe more money in back payments. PHH is saying that I owe {$7000.00}, which continues to grow, in late fees and penalties.

PHH is acting in a shady and volatile manner, in an effort to place a customer in good standing, with a perfect payment history into default and foreclosure. Why would they treat me in such a fraudulent manner? There is more to their intentions than just rejection based on a minor ( and easily corrected ) signature. 


I sent corrected notary pages THREE times. PHH has been unfair, volatile and unsparing in their treatment of me; bouncing between verbal instructions that are misaligned with written instruction on provided company documents. Then PHH reverts to tell me I owe more money?! Why did they approve the modification and instruct me to pay the amounts indicated in the documents ( attached ) in the first place?

I feel mistreated and humiliated by PHH and they are putting me and my family under an untenable amount of stress and XXXX. I can not fear losing my home as I also deal with the complications of my chronic and XXXX health conditions. I would think that in consideration of my physical health problems and their severity ( XXXX XXXX, XXXX, XXXX XXXX ), PHH would have some level of humane treatment and practice some ethics in their business ( at the least ). 


I am asking that my approved loan modification be reinstated, the demand for unwarranted late fees and penalties be reversed, the negative reporting to the credit bureaus be removed and the harassing and fear based calls and letters be stopped. 


However, I believe all this proves that PHH Loan servicing is practicing unethical and unfair business practices directed toward me, a consumer. I seek any and all assistance in this matter and appreciate your consideration.

Company response to consumer: Closed with explanation