Consumer complaint received 2019-06-24 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: Fay Servicing, LLC
State: NY

Complaint narrative:
Please see signed, executed, and notarized Qualified Written Request as an attachment. Due to the limit of characters on this CFPB portal I was not able to place all the questions of the QWR, as a result I have attached it for your review and response. Some of the questions from the original physical copy are typed out below but not in it's entirety. Please answer all questions from the attachment, as the attachment is complete, signed, executed and notarized. I will mail out all physical copies to all 4 parties certified return receipt via USPS. 



RESPA QUALIFIED WRITTEN REQUEST, COMPLAINT, DISPUTE OF DEBT &  VALIDATION OF DEBT LETTER, TILA REQUEST This letter is a qualified written request in compliance with and under the Real Estate Settlement Procedures Act, 12 U.S.C. Section 2605 ( e ) and Regulation X 24 C.F.R. 3500, and The Gramm Leach Bliley Act. 

RE : Alleged Account # : XXXX XXXX XXXX XXXX, XXXX XXXX, NY XXXX Property address Dear Madam or Sir : Please be advised of your legal obligation to answer this Qualified Written Request and to obtain all records and documents pertaining to the above-mentioned Loan No. This request is made pursuant to the Real Estate Settlement and Procedures Act ( RESPA ). We have reason to believe that certain disclosures and documentation have been withheld in violation of the Truth in Lending Act ( TILA ) and that various Real Settlement Procedures Act ( RESPA ) loan servicing errors may have occurred. 





To ensure that any legal claims are brought against the appropriate parties we are requesting evidence to support or exclude Fay Servicing and to satisfactorily provide us a good clear and clean hands understanding and clarification from you, of various sale, transfer, funding source, legal and beneficial ownership, charges, credits, debits, transactions, reversals, actions, payments, analyses and records related to the servicing of this account from its origination to the present date. Your due diligence and lawful compliance in the production of documentation to refute the fact that Fay Servicing has been erroneously holding an alleged right, title, or interest in the alleged account or alleged property/note is vital. 
To date, the documents and information we have received from Fay Servicing and our escrow files including subsequent records do not answer many questions. Any refusal to answer our request will be considered a predatory servicing or lending and servicing schemes. As consumers, we are extremely disturbed by the complete disregard for the law pertaining to this mortgage transaction by Fay Servicing and/or anyone who may have any interest in this matter. 

I am disputing the validity of the current debt you claim that I owe. To independently validate this debt, I need to conduct a complete exam, audit, review and accounting of my mortgage loan from its inception until the present date. Upon receipt of this letter, please refrain from reporting any negative credit information to any credit reporting agencies until you respond to my requests. 

I also request that you conduct your own investigation and audit of my account since its inception to validate the debt you claim I owe you is accurate to the penny. Please do not rely on previous servicers or originators assurances or indemnity agreements and refuse to conduct a full audit and investigation of my account. 

I want to ensure that I or [ we ] have not been the victim of such predatory practices. To insure this, I have authorized a thorough review, examination, accounting and audit of my mortgage loan # : XXXX by predatory lending experts. This exam and audit will review my mortgage loan file from the date of my initial contact, application and the origination of my loan to the present date written above. 

Needless to say, we are most concerned that fraudulent and deceptive practice by unscrupulous mortgage brokers ; sales and transfers of mortgage servicing rights ; deceptive and fraudulent servicing practices to enhance balance sheets ; deceptive, abusive and fraudulent accounting tricks and practices may have also negatively affected any credit rating, mortgage account and /or the debt or payments that we are currently, or may be legally obligated to. This behavior concerns me since such abuses are targeting the uninformed consumer and disadvantaged, poor, elderly and minorities. I am vehemently concerned as an alleged borrower. As a result, and many other reasons, this leads me to believe that I may be a victim of predatory lending. I am disputing the validity of the current debt you claim I owe. By debt I am referring to : a. The principal balance claimed owed ; b. My calculated monthly payment ; c. Calculated escrow payment ; d. Any fees claimed to be owed by you or any trust or entity you may represent I have reason to believe that the loan terms were misrepresented to me at the time of application and further obscured and/or modified prior to signing. I believe that my income may have been inflated on the application. I also have reason to believe that certain statements were not provided for my approval prior to closing, and that signatures may have been forged on various documents. It is also my belief that certain documents may have not been presented at all.  Additionally, I believe that a notary was not physically present to witness my signatures on several pertinent documents and that I was ill advised at the time of closing. To independently validate my debt, I need to conduct a complete exam, audit, review and accounting of my mortgage loan from its inception through the present date. 

I have been given the runaround by Fay Servicings employees on countless occasions. I have talked to several agents whom have provided me with different responses to the same questions I have inquired on how to receive my response to the QWR, but to no avail. I have been intentionally re-routed to the wrong department or individuals, dozens of times to hamper my ability to seek the answers I was looking for. This letter should serve, once and for all, to get the proper answers from Fay Servicing. 

We hereby demand absolute first hand evidence from you of the original un-certificated or certificated security regarding account number : XXXX. In the event you do not supply us with the very security it will be a positive confirmation on your part that you never really created and owned one. We also hereby demand that a chain of transfer from you to wherever the security is now be promptly sent to us as well. Absent the actual evidence of the security we have no choice but to dispute the validity of your lawful ownership, funding, entitlement right, and the current debt you allege we owe. By debt we are referring to the principal balance you claim we owe ; the calculated monthly payment, calculated escrow payment and any fees claimed to be owed by you or any trust or entity you ma

y service or sub-service for. As such, please treat this letter as a Qualified Written Request under the Real Estate Settlement Procedures Act, codified as Section 2605 ( e ) of Title 12 of the United States Code. As you know, RESPA provides substantial penaltie
s and fines for non-compliance or answers to my questions provided in this letter within sixty [ 60 ] days!

In order to conduct this examination and audit, I need to have full and immediate disclosure including copies of all pertinent information regarding my loan. The documents requested and answers to questions are needed by my counsel and the predatory lending experts retained to ensure that my loan : Was originated in lawful compliance with all federal and state laws, regulations including, but not limited to RESPA, HOEPA and other laws ; That any sale or transfer of my loan was conducted in accordance with proper laws and was a true sale of my note ; That the claimed holder in due course of my promissory note and deed of trust is holding such note in compliance with State and Federal laws and is entitled to the benefits of my payments ; That all appropriate disclosures of terms, costs, commissions, rebates, kickbacks, fees etc. Were properly disclosed to me at the inception of my loan ; That each servicer and sub-servicer of my mortgage has serviced my mortgage in accordance with the terms of my mortgage, promissory note and/or deed of trust ; That each servicer and sub-servicer of my mortgage has serviced my mortgage in compliance with local, state and federal statutes, laws and regulations ; That my loan has properly been credited, debited, adjusted, amortized and charged correctly ; That interest and principal have been properly calculated and applied to my loan ; That my principal balance has been properly calculated and accounted for ; That no charges, fees or expenses, not obligated by me in any agreement, have been charged or assessed to or collected on my account ; In order to validate my debt and audit my account, I need copies of pertinent documents to be provided and answers in writing to various servicing questions to be sent to me. 

For each record kept on computer or in any other electronic file or format, please provide a paper copy of all information in each field or record in each computer system, program or database used by you that contains any information on my account. 

As such, please send to me, at the address above, copies of the documents requested below as soon as possible. Please provide me copies of : 1. All data, information, notations, text, figures and information contained in your mortgage servicing and accounting computer systems including, but not limited to XXXX XXXX XXXX, any system by XXXX or any other similar mortgage servicing software used by you, any servicers, or sub-servicer of my mortgage account from the inception of my loan to the date written above. 

2. All descriptions and legends of all Codes used in your mortgage servicing and accounting system so that the examiners, auditors and experts retained to audit and review my mortgage account may properly conduct their work.

3. All purchase and sale of mortgage agreements, sale or transfer of servicing rights or other similar agreement related to any assignment, purchase or sale of my mortgage loan or servicing rights by you, any broker, affiliate company, parent company, servicers, bank, government sponsored enterprise, sub-servicers, mortgage broker, mortgage banker or any holder of any right related to my mortgage, promissory note and deed of trust from the inception of my loan to the present date. 

4. A copy of the Prospectus offered to investors in the trust.

5. All prospectus related to the sale or transfer of my note, deed of trust, mortgage and servicing rights or other similar agreement related to any assignment, purchase or sale of my mortgage loan or servicing rights by you, any broker, affiliate company, parent company, servicers, bank, government sponsored enterprise, sub-servicers, mortgage broker, mortgage banker or any holder of any right related to my mortgage, promissory note and deed of trust from the inception of my loan to the present date. 

6. All assignments, transfers, alonges, or other document evidencing a transfer, sale or assignment of my mortgage, deed of trust, promissory note or other document that secures payment by me to my obligation in this account from the inception of my loan to the present date.

7. All deeds in lieu, modifications to my mortgage, promissory note or deed of trust from the inception of my loan to the present date.

8. A complete and itemized statement of the escrow account of the loan, if any, from the date of the loan to the date of this letter, including, but not limited to, any receipts or disbursements with respect to real estate property taxes, fire or hazard insurance, flood insurance, mortgage insurance, credit insurance, or any other insurance product.

9. A complete and itemized statement from the date of the loan to the date of this letter of any property inspection fees, property preservation fees, broker opinion fees, appraisal fees, bankruptcy monitoring fees, or other similar fees or expenses related in any way to this loan. 

10. The front and back of each and every canceled check, money order, draft, debit or credit notice issued to any servicer of my account for payment of any monthly payment, other payment, escrow charge, fee or expense on my account.

11. A complete and itemized statement of any and all post-petition arrears including each month in which the default occurred, and the amount of each monthly default.

12. A complete and itemized statement of any funds deposited in any post-petition suspension account ( s ) or corporate advance account ( s ), including, but not limited to, the balance in any such account or accounts and the nature, source and date of any and all funds deposited in such account or accounts. 

13. A complete and itemized statement from the date of this loan to the date of this letter of the amount, payment date, purpose and recipient of all foreclosure expenses, NSF check charges, legal fees, attorney fees, professional fees and other expenses and costs that have been charged against or assessed to this mortgage.

14. All escrow analyses conducted on my account from the inception of my loan until the date of this letter ; 15. The front and back of each and every canceled check, draft or debit notice issued for payment of closing costs, fees and expenses listed on my disclosure statement including, but not limited to, appraisal fees, inspection fees, title searches, title insurance fees, credit life insurance premiums, hazard insurance premiums, commissions, attorney fees, points, etc. 

16. Front and back copies of all payment receipts, checks, money orders, drafts, automatic debits and written evidence of payments made by me or by others on my account.

17. The amount, if applicable, of any satisfaction fees.

18. A complete and itemized statement of the amount, payment date, purpose and recipient of all fees for the preparation and filing of the original proof of claim, any amended proofs of claim, or any supplemental proofs of claim related to this mortgage.

19. All letters, statements and documents sent to me by your company ; 20. All letters, statements and documents sent to me by agents, attorneys or representatives of your company ; 21. All letters, statements and documents sent to me by previous servicers, sub-servicers or others in your loan file or in your control or possession or in the control or possession of any affiliate, parent company, agent, sub-servicer, servicer, attorney or other representative of your company. 

22. All letters, statements and documents contained in my loan file or imaged by you, any servicer or sub-servicers of my mortgage from the inception of my loan to present date.

23. All electronic transfers, assignments, sales of my note, mortgage, deed of trust or other security instrument.

24. All copies of property inspection reports, appraisals, BPOs and reports done on my property.

25. All invoices for each charge such as inspection fees, BPOs, appraisal fees, attorney fees, insurance, taxes, assessments or any expense which has been charged to my mortgage account from the inception of my loan to the present date.

26. All checks used to pay invoices for each charged such as inspection fees, BPOs, appraisal fees, attorney fees, insurance, taxes, assessments or any expense which has been charged to my mortgage account from the inception of my loan to the present date.

27. Have you purchased and charged to the account any Vendors Single Interest Insurance?

28. All agreements, contracts and understandings with vendors that have been paid for any charge on my account from the inception of my loan to the present date.

29. A complete and itemized statement from the date of the loan to the date of this letter of any forced-placed insurance and expenses related thereto, related in any way to this loan.

30. All loan servicing records, payment payoffs, payoff calculations, ARM audits, interest rate adjustments, payment records, transaction histories, loan histories, accounting records, ledgers, and documents that relate to the accounting of my loan from the inception of my loan until present date?

31. All loan servicing transaction records, ledgers, registers and similar items detailing how my loan has been serviced from the from the inception of my loan until present date?

Further, in order to conduct the audit and review of my account, and to determine all proper amounts due, I need the following answers to questions concerning the servicing and accounting of my mortgage account from its inception to the present date. Accordingly, can you please provide me, in writing, the answers to the questions listed below.

LOAN ACCOUNTING & SERVICING SYSTEMS 1 ) Please identify for me each loan accounting and servicing system used by you and any sub-servicer or previous servicer from the inception of my loan to the present date?

2 ) The name, address and phone number of any master servicers, servicers, sub-servicers, contingency servicers, back-up servicers or special servicers for the underlying mortgage debt.

3 ) For each loan accounting and servicing system identified by you and any sub-servicer or previous servicer from the inception of my loan to the present date, please provide the name and address of the company or party that designed and sold the system?

4 ) For each loan accounting and servicing system used by you and any sub-servicer or previous servicer from the inception of my loan to the present date, please provide the complete transaction code list for each system.

DEBITS & CREDITS 1 ) In a spreadsheet form or in letter form in a columnar format, please detail for me each and every credit on my account and the date such credit was posted to my account as well as the date any credit was received.

2 ) In a spreadsheet form or in letter form in a columnar format, please detail for me each and every debit on my account and the date such credit was posted to my account as well as the date any debit was received.

3 ) For each debit or credit listed, please provide me with the definition for each corresponding transaction code you utilize?

4 ) For each transaction code, please provide us with the master transaction code list used by you or previous servicers.

MORTGAGE & ASSIGNMENTS 1 ) Has each sale, transfer or assignment of my mortgage or promissory note or any other instrument I executed to secure my debt been recorded in the county property records in the county and state in which my property is located from the inception of my loan to the present date? Yes or No?

2 ) If no, why?

3 ) Have any sales, transfers or assignments of my mortgage or promissory note or any other instrument I executed to secure my debt been recorded in any electronic fashion such as MERS or other internal or external system from the inception of my loan to the present date? Yes or No?

4 ) If yes, state the full name and address of the Electronic Agent and the full name and address of the Mortgage Electronic Registration System. Attach a copy of the mortgage electronic registration system procedures manual. Please detail for me the names of each seller, purchaser, assignor, assignee or any holder in due course to any right or obligation of any note, mortgage, deed or security instrument I executed securing the obligation on my account that was not recorded in the county records where my property is located.

5 ) Is this a MERS Designated Mortgage Loan? If the answer is yes, then identify the electronic agent and the type of mortgage electronic system used by the agent.

6 ) Is this mortgage part of a Mortgage Warehouse Loan? If so, then state the full name and address of the Lender and attach a copy of the Warehouse Loan Agreement.

7 ) Upon any default or notice of default, state whether or not the Mortgage Warehouse Lender has the right to override any servicers or sub-servicers and provide instructions directly to the Electronic Agent? If the answer is yes, then specifically identify the legal basis for such authority.

ATTORNEY FEES 1 ) For purposes of my questions below dealing with attorney fees, please consider the terms attorney fees and legal fees to be one in the same.

2 ) A summary of all fixed or standard legal fees approved for any form of legal services rendered in connection with this account.

3 ) Have attorney fees ever been assessed to my account from the inception of my loan to the present date?

4 ) If yes, please detail each separate assessment of attorney fees to my account from the inception of my loan to the present date and the date of such assessment to my account?

5 ) Have attorney fees ever been charged to my account from the inception of my loan to the present date?

6 ) If yes, please detail each separate charge of attorney fees to my account from the inception of my loan to the present date and the date of such charge to my account?

7 ) Have attorney fees ever been collected from my account from the inception of my loan to the present date?

8 ) If yes, please detail each separate collection of attorney fees from my account from the inception of my loan to the present date and the date of such collection from my account?

9 ) Please provide for me the name and address of each attorney or law firm that has been paid any fees or expenses related to my account from the inception of my loan to the present date?

10 ) Please identify for me in writing the provision, paragraph, section or sentence of any note, mortgage, deed of trust or any agreement I signed authorized the assessment or collection of attorney fees?

11 ) Please detail and list for me in writing each separate attorney fee assessed to my account and for which corresponding payment period or month such late fee was assessed from the inception of my loan to present date.

12 ) Please detail and list for me in writing each separate attorney fee collected from my account and for which corresponding payment period or month such late fee was collected from the inception of my loan to present date.

13 ) Please detail and list for me in writing any adjustments in attorney fees assessed and on what date such adjustment was made and the reasons for such adjustment.

14 ) Please detail and list for me in writing any adjustments in attorney fees collected and on what date such adjustment were made and the reasons for such adjustment.

15 ) Has interest been charged on any attorney fee assessed or charged to my account? Yes or No?

16 ) Is interest allowed to be assessed or charged on attorney fees charged or assessed to my account? Yes or No?

17 ) How much in total attorney fees have been assessed to my account from the inception of my loan until present date? $ ____________ 18 ) How much in total attorney fees have been collected on my account from the inception of my loan until present date? $ __________ SUSPENSE/UNAPPLIED ACCOUNTS 1 ) For purposes of this section, please treat the term suspense account and unapplied account as one in the same.

2 ) Has there been any suspense or unapplied account transactions on my account from the inception of my loan until present date?

3 ) If yes, why? If no, please skip the questions in this section dealing with suspense and unapplied accounts.

4 ) In a spreadsheet or in letterform in a columnar format, please detail for me each and every transaction, both debits and credits that has occurred on my account from the inception of my loan until present date?

LATE FEES 1 ) For purposes of my questions below dealing with late fees, please consider the terms late fees and late charges to be one in the same.

2 ) A complete and itemized statement of any late charges to this loan from the date of this loan to the date of this letter.

3 ) Have you reported the collection of late fees on my account as interest in any statement to me or to the IRS? Yes or No?

4 ) Has any previous servicer or sub-servicer of my mortgage reported the collection of late fees on my account as interest in any statement to me or to the IRS? Yes or No?

5 ) Do you consider the payment of late fees as liquidated damages to you for not receiving my payment on time? Yes or No?

6 ) Are late fees considered interest? Yes or No?

7 ) Please detail for me in writing what expenses and damages you incurred for any payment I made that was late.

8 ) Were any of these expenses or damages charged or assessed to my account in any other way? Yes or No? 

9 ) If yes, please describe what expenses or charges were charged or assessed to my account?

10 ) Please describe for me in writing what expenses you or others undertook due to any payment I made which was late?

11 ) Please describe for me in writing what damages you or others undertook due to any payment I made which was late?

12 ) Please identify for me in writing the provision, paragraph, section or sentence of any note, mortgage, deed of trust or any agreement I signed authorized the assessment or collection of late fees?

13 ) Please detail and list for me in writing each separate late fee assessed to my account and for which corresponding payment period or month such late fee was assessed from the inception of my loan to present date.

14 ) Please detail and list for me in writing each separate late fee collected from my account and for which corresponding payment period or month such late fee was collected from the inception of my loan to present date.

15 ) Please detail and list for me in writing any adjustments in late fees assessed and on what date such adjustment was made and the reasons for such adjustment.

16 ) Please detail and list for me in writing any adjustments in late fees collected and on what date such adjustment was made and the reasons for such adjustment.

17 ) Has interest been charged on any late fee assessed or charged to my account? Yes or No?

18 ) Is interest allowed to be assessed or charged on late fees charged or assessed to my account? Yes or No?

19 ) Have any late charges been assessed to my account? Yes or No?

20 ) If yes, how much in total late charges have been assessed to my account from the inception of my loan until present date? $ ____________ 21 ) Please provide me with the exact months or payment dates you or other previous servicers of my account claim I have been late with a payment from the inception of my loan to the present date.

22 ) Have late charges been collected on my account from the inception of my loan until present date? Yes or No?

23 ) If yes, how much in total late charges have been collected on my account from the inception of my loan until present date? $ __________ PROPERTY INSPECTIONS 1 ) Please attach copies of all property inspection reports and appraisals, including comparable properties which where used to arrive at value for the above loan.

2 ) For purposes of this section property inspection and inspection fee refer to any inspection of my property by any source and any related fee or expense charged for such inspection.

3 ) Have any property inspections been conducted on my property from the inception of my loan until the present date?

4 ) If your answer is no, you can skip the rest of these questions in this section concerning property inspections?

5 ) If yes, please tell me the date of each property inspection conducted on my property that is the secured interest for my mortgage, deed or note?

6 ) Please tell me the price charged for each property inspection?

7 ) Please tell me the date of each property inspection?

8 ) Please tell me the name and address of each company and person who conducted each property inspection on my property?

9 ) Please tell me why property inspections were conducted on my property?

10 ) Please tell me how property inspections are beneficial to me.

11 ) Please tell me how property inspections are protective of my property.

12 ) Please explain to me your policy on property inspections.

13 ) Do you consider the payment of inspection fees as a cost of collection? Yes or No?

14 ) If yes, why?

15 ) Do you use property inspections to collect debts? Yes or No?

16 ) Have you used any portion of the property inspection process on my property to collect a debt or inform me of a debt, payment or obligation I owe?

17 ) If yes, please answer when and why?

18 ) Please identify for me in writing the provision, paragraph, section or sentence of any note, mortgage, deed of trust or any agreement I signed authorized the assessment or collection of property inspection fees?

19 ) Have you labeled in any record or document sent to me a property inspection as a misc. advance? Yes or No?

20 ) If yes, why?

21 ) Have you labeled in any record or document sent to me a property inspection as a legal fee or attorney fee? Yes or No?

22 ) If yes, why?

23 ) Please detail and list for me in writing each separate inspection fee assessed to my account and for which corresponding payment period or month such fee was assessed from the inception of my loan to present date.

24 ) Please detail and list for me in writing each separate inspection fee collected from my account and for which corresponding payment period or month such fee was collected from the inception of my loan to present date.

25 ) Please detail and list for me in writing any adjustments in inspection fees assessed and on what date such adjustment was made and the reasons for such adjustment.

26 ) Please detail and list for me in writing any adjustments in inspection fees collected and on what date such adjustment was made and the reasons for such adjustment.

27 ) Has interest been charged on any inspection fees assessed or charged to my account? Yes or No?

28 ) If yes, when and how much was charged?

29 ) Is interest allowed to be assessed or charged on inspection fees charged or assessed to my account? Yes or No?

30 ) How much in total inspection fees have been assessed to my account from the inception of my loan until present date? $ ____________ 31 ) How much in total inspection fee have been collected on my account from the inception of my loan until present date? $ __________ BPO FEES 1 ) Have any BPOs [ Brokers Price Opinions ] been conducted on my property?

2 ) If yes, please tell me the date of each BPO conducted on my property that is the secured interest for my mortgage, deed or note?

3 ) Please tell me the price of each BPO?

4 ) Please tell me who conducted each BPO?

5 ) Please tell me why BPOs were conducted on my property 6 ) Please tell me how BPOs are beneficial to me.

7 ) Please tell me how BPOs are protective of my property.

8 ) Please explain to me your policy on BPOs.

9 ) Have any BPO fees been assessed to my account? Yes or No?

10 ) If yes, how much in total BPO fees have been assessed to my account? $ ________ 11 ) Have any BPO fees been charged to my account? Yes or No?

12 ) If yes, how much in total BPO fees have been charged to my account? $ ______ 13 ) Please tell me specifically what clause, paragraph and sentence in my note, mortgage or deed of trust or any agreement I have executed allows you to assess, charge or collect a BPO fee from me.

SERVICING RELATED QUESTIONS For each of the following questions listed below, please provide me with a detailed explanation in writing that answers each question : In addition, I need the following answers to questions concerning the servicing of my mortgage account from its inception to the present date. Accordingly, can you please provide me, in writing, the answers to the questions l

Company response to consumer: Closed with explanation