Consumer complaint received 2024-03-15 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Trying to communicate with the company to fix an issue while managing or servicing your loan
Company: NEW YORK COMMUNITY BANCORP INC
State: TX

Complaint narrative:
In XXXX I was in communication with my mortgage lender, Flagstar Bank, about hardship due to unemployment. I was advised to apply for forbearance, which I did, and was approved for a 6 month program. I was informed this would not impact my credit, that I would resume payments at the end of the 6 months, and that I would be presented with XXXX options to resolve the balance. I was approved for this forbearance plan XX/XX/XXXX. 

In XXXX of XXXX I contacted Flagstar to resume payments, at which time they told me I was required to reapply to close my forbearance plan. I didn't understand this, I spoke to several people stating I was prepared to pay my mortgage, resume payments as normal at the existing amount, and communicated that I was not requesting any adjustment be made to my mortgage. They insisted I would need to go through underwriting to get back on track with my mortgage. I communicated this is not what was presented to me when I initially applied for, and accepted the forbearance plan. In XXXX of XXXX of knew I was endeavoring in entrepreneurship, a highly risky route, and I would have never agreed to additional underwriting later in the year fully knowing this kind of scrutiny would not result in my favor. 

Nonetheless, I did what they asked and reapplied with the intention of closing this forbearance and resuming normal payments. I was advised not to make payment as any monies paid would be applied to the " past due '' amount that was included in this " approved '' plan. Note : I did receive notices throughout XXXX stating my account was delinquent and there was serious impact to my credit. I called Flagstar monthly to confirm I was in fact still on this " approved plan '', and they assured me these notices were normal and to be expected through this process. 

During the underwriting process I was asked to submit financial documents for myself and both of my businesses. I complied and on time. I submitted everything that was asked of my, and more. As mentioned, I frequently call Flagstar to check status, and on a call following my document submittal I was informed my case was closed and sent on to foreclosure. I demanded to be in touch with the highest supervisor I could reach, who upon looking further informed this was in fact a Flagstar error. That the adjuster has decided they wanted additional documentation ( an additional 3 months of bank statements ) and **they failed to communicate this request**. There was no letter sent, no communication- and the adjuster, in their mind apparently, made up that one week was what they give me to provide additional documentation they never communicated to me they needed. Obviously, without being able to read their mind, they did not receive the additional documentation and they subsequently closed my application and sent me on to foreclosure. The supervisor I spoke with acknowledge this error on behalf of Flagstar and as such was able to have my case reopened and approved for a new plan.

I was advised that to resolve the issue of foreclosure and to have this, rightfully, stricken from the record and any adverse consequences such as lawyer fees, that I would need to submit a letter to the office of the president. I did this. I went to a United States Postal Office in the state of Texas and on XX/XX/XXXX sent this letter certified mail. XX/XX/XXXX I received a letter from this office ignoring my claim about incorrect foreclosure proceedings, denying any issue and restating what was so with my forbearance plan and newly approved trial plan. I left several messages with this office, as recently as XXXX weeks ago and have not received a call back. No one will discuss this with me. 

In tandem, I worked with the application team to continue trying to do the right thing and to get my loan on track. Again, I never requested a lower payment, however, they came back deciding for me they would lower my payment and offer me a XXXX month trial plan to get back on track. This trial plan was offered XX/XX/XXXX, began XX/XX/XXXX and the offer I was presented stated I would have a lower payment, that the existing balance would be added to my loan, and that my balance ( prior to all of this at {$320000.00} ) would now be {$330000.00}. I accepted this term in good faith. 

Yesterday, XX/XX/XXXX, after successfully completing the 3 month trial plan and paying on time I was XXXX a new mortgage that is due, notarized, XX/XX/XXXX. This new agreement has a balance of $ XXXX, more than what I closed on in XXXX, and is a brand new 30 year term. I asked what it would take bring this current and was told I would need to speak with the foreclosure attorney. That since they ( wrongly ) initiated foreclosure my options are now limited and I face additional fees. 

Please help.

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