Consumer complaint received 2018-12-13 00:00:00
Product: Credit reporting, credit repair services, or other personal consumer reports — Credit reporting
Issue: Incorrect information on your report — Account status incorrect
Company: Seterus, Inc.
State: FL

Complaint narrative:
SETERUS is in violation of The Fair Credit Reporting Act ( FCRA ) due to misreporting and not correcting the status of the Account to the major credit reporting agencies XXXX, XXXX, and XXXX. In addition, they are in breach of contract of the Forbearance Agreement dated XX/XX/XXXX ( superseded agreement dated XX/XX/XXXX ) and XX/XX/XXXX ( collectively the Forbearance ) for not complying with the terms which specifically stated we will not charge you any late fees or report you to the credit bureaus as being delinquent.. 

The reporting in the credit report is reflecting the status of the Account as past due, >120 delinquent, severe delinquency, adverse account. The reporting is inaccurate since the Forbearance Agreement entered with Seterus Inc started XX/XX/XXXX and ended XX/XX/XXXX ( Forbearance Period ) as a result of the FEMA-declared disaster Hurricane Irma stated that WE WILL NOT CHARGE YOU ANY LATE FEES OR REPORT YOU TO THE CREDIT BUREAUS AS BEING DELINQUENT. Since the origination of the loan in XX/XX/XXXX, the Account has never been delinquent. 

During the Forbearance Period, the loan Account was paid off in full on XX/XX/XXXX including all deferred payments from XX/XX/XXXX thru the date of closing. An estoppel letter was provided by Seterus to the closing agent outlining payments due. This amount was paid at closing and no obligation was due to Seterus after the loan was paid in full. We became aware that Seterus reported the Account as delinquent when in XX/XX/XXXX I applied for a line increase on my credit card and was denied due to severe delinquency reported in my credit bureau. As a result of the inaccurate reporting, my credit score was severely impaired and dropped from a XXXX in XX/XX/XXXX to XXXX in XX/XX/XXXX. 

I filed a dispute with the three major credit bureaus in XX/XX/XXXX which resulted in the following outcome : XXXX   updated the files to include that the status as Paid, Closed/Never late. Deferred, payments begin XX/XX/XXXX. 

XXXX continues to report the status as being 120+ past due. There is nothing in the pay history that shows that the account was ever 120+ days past due. 

XXXX continues to report the account as an Adverse Account reflecting the account as >120 Days Past Due. There is nothing in the pay history that shows that the account was ever 120+ days past due. 

I received a letter from Seterus, Inc. dated XX/XX/XXXX followed up by a letter dated XX/XX/XXXX listing the payment of the loan in full cancelled the forbearance agreement as an explanation to reporting of the delinquency. This is inaccurate since the payment in full satisfied the Forbearance Agreement, as well as the promissory note and mortgage resulting in no further obligation to Seterus and/or XXXX XXXX. The Lender/Servicer breached the contract since they had an obligation to comply with the terms of the Forbearance Agreement which included not reporting the loan delinquent. Furthermore, this is a XXXX XXXX owned loan which Seterus has to follow the servicing guidelines provided by XXXX XXXX. Under the XXXX XXXX servicing guideline summary, it specifically stated that the disaster forbearance is not to be reported delinquent.

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