Consumer complaint received 2026-06-24 00:00:00
Product: Mortgage — VA mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — Delays in the application process
Company: Ocwen Financial Corporation
State: TX

Complaint narrative:
I was complaint about my VA assumption Loan in delay process so I couldn't get to move on my life and this loan take from XXXX, XXXX XXXX to XX/XX/XXXX. This demanding letters to the PHH Mortgage and looking for my financial damange Cover Letter ( My demand Letters ) XXXX XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXXXX/XX/XXXX PHH Mortgage Corporation Attention : Legal Department / Customer Resolution XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXXXXXX Subject : Formal Demand Breach of Contract, Negligence, and VA Loan Servicing Failures To Whom It May Concern, I am writing to formally demand compensation for damages caused by PHH Mortgage Corporations mishandling of my VA loan assumption process. This matter concerns the property located at XXXXXXXX XXXX XXXX XXXX XXXX XXXXXXXX ( PHH Assumption Loan Number : XXXX ) The PHH Assumption Package was provided with the buyers financial information, including bank account documentation, and provided a processing deadline of XX/XX/XXXX. The buyer placed an offer on our property on XX/XX/XXXX and provided PHH Assumption Package the requested documents by their requested deadline multiple times. However, PHH failed to take necessary action and did not provide any meaningful updates between XX/XX/XXXX and XX/XX/XXXX. The assumption process deadline was on or about XX/XX/XXXX. The property transaction closed on XX/XX/XXXX. Despite completion of the closing and submission of required documentation, the loan assumption process experienced substantial delays continuing through XX/XX/XXXX. I believe PHH Mortgage failed to process the assumption within a reasonable timeframe and may have violated applicable mortgage servicing obligations, VA servicing guidelines, and consumer protection standards. Additionally, PHH failed to collect and process required VA assumption forms from the buyer, which are necessary for transferring liability and removing my name from the VA loan and Certificate of Eligibility ( COE ). As a direct result of PHHs failures : The loan assumption process was significantly delayed beyond the stated deadline. My home sale could not be completed in a timely manner. I was unable to utilize my VA entitlement to purchase a new home. My subsequent home purchase opportunity was lost. I was forced to secure temporary housing, incur additional living expenses along with unnecessary moving costs. I have suffered significant financial damages and emotional distress due to prolonged uncertainty and disruption. PHHs actions constitute breach of contract, negligent loan servicing, and potential violations of consumer protection laws. I am demanding compensation for financial damages incurred, including but not limited to additional housing costs, lost purchase opportunity, and related expenses. If this matter is not resolved within fifteen ( 15 ) business days upon receipt, I will escalate this issue by filing formal complaints with the Consumer Financial Protection Bureau and the XXXXXXXX XXXX XXXX XXXX XXXXXXXX, and I will pursue all available legal remedies. Please treat this matter with urgency. Sincerely, XXXX XXXX Im PHH Mortgage Complaint & Damages Timeline Borrower : XXXX XXXX XXXX Sold : XXXX XXXX XXXXXXXX XXXX XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXXXXXX XXXX through PHH Mortgage Summary of Complaints Against PHH Mortgage Potential violations may include : Possible violations of the Consumer Financial Protection Bureau consumer protection standards Possible violations of Real Estate Settlement Procedures Act Mortgage servicing negligence Misleading or inconsistent communications Failure to properly process assumption documentation Delay in submitting required VA assumption documents Emotional distress and financial damages caused by repeated delays Alleged PHH Violations 1. Misleading Information / Mishandling Documents The buyers repeatedly submitted requested assumption documents, including bank statements and supporting paperwork, through mail, email, and fax. PHH representatives repeatedly stated the documents were missing or lost, despite confirmations that the documents had already been submitted multiple times. This resulted in : Repeated requests for the same documents Delays in underwriting review Delays in closing Conflicting information provided to buyers, sellers, and agents 2. Negligence in Processing VA Assumption PHH delayed processing and failed to timely submit required VA assumption forms, which prevented removal of the sellers name from the VA loan and Certificate of Eligibility ( COE ). As a result : The seller could not close on the new XXXX home The seller was forced into temporary housing XXXX XXXX moving timelines were disrupted Additional rent, storage, moving, and utility expenses were incurred 3. Fraud / Unethical Conduct Concerns On XX/XX/XXXX, a final warning and termination notice regarding the assumption transaction was communicated because of unresolved issues and alleged misinformation surrounding the loan process. Despite the warning and prior communications, PHH later approved and continued processing the assumption loan transaction. Concerns include : Inconsistent representations Failure to clearly disclose status of the assumption Potentially misleading communications to all parties involved Damages Claimed Financial Damages Apartment rent in XXXX : {$1600.00} 6 months = {$9900.00} Additional lease extension penalties Utilities and renters insurance Storage costs for household goods Additional moving expenses Flight cancellation expenses Delayed home closing costs Additional temporary housing expenses Washer/dryer and appliance-related costs Closing delay damages Emotional & Physical Distress Significant emotional stress Mental distress from prolonged uncertainty Stress-related medical treatment and medications Anxiety caused by repeated delays and housing instability Exhibit G - Timeline Summary Detailed Timeline of Events XX/XX/XXXX Requested Permanent Duty Duty ( XXXX-related ) change on XX/XX/XXXX. Began closing process in XXXX on XX/XX/XXXX. Worked with XXXX title company to sign documents. Began closing process on XXXX property on XX/XX/XXXX. XX/XX/XXXX Signed counter-offer addendum with buyers XXXX and XXXX XXXX on XX/XX/XXXX. Began government household goods shipment process on XX/XX/XXXX. Signed contingency change order with builder on XX/XX/XXXX. Signed XXXX XXXX XXXX XXXX on XX/XX/XXXX. XX/XX/XXXX Submitted all required assumption documents, including XXXX, to PHH on XX/XX/XXXX. Signed VA assumption release documents on XX/XX/XXXX. Signed property waiver extension due to PHH delays on XX/XX/XXXX. PHH repeatedly stated documents were missing despite multiple submissions. Buyers agent resubmitted requested documents on XX/XX/XXXX. XXXX XXXX initiated the XXXX loan approval process on XX/XX/XXXX. XX/XX/XXXX Submitted additional PHH-requested documents on XX/XX/XXXX. PHH requested an updated XXXX because the prior document expired. Updated XXXX provided on XX/XX/XXXX. Government movers picked up household goods on XX/XX/XXXX. Additional underwriting documents submitted for XXXX home purchase. XX/XX/XXXX Followed up with PHH on XX/XX/XXXX regarding remaining requirements. XXXX closing preparations continued while awaiting PHH approval. XXXX XXXX closing trip canceled on XX/XX/XXXX due to PHH delays. PHH again claimed missing documents already previously submitted. Conflicting information provided by PHH to sellers and buyers agents. No clear response received from PHH regarding actual outstanding items. Seller unable to move into new XXXX home because VA entitlement remained tied to XXXX property. XX/XX/XXXX PHH continued reporting missing buyer documents. Government storage deadlines approached without final address confirmation. Seller forced to delay XXXX closing for third time. XXXX transfer from XXXX to XXXX occurred on XX/XX/XXXX. PHH underwriter finally sent documents to the title company on XX/XX/XXXX. XX/XX/XXXX XXXX signed a XXXX apartment lease in XXXX due to delayed closing. XXXX goods delivered to a temporary apartment. PHH sent the closing package to the XXXX title company on XX/XX/XXXX. PHH issued late notice despite ongoing unresolved assumption issues. Insurance documentation expired because of prolonged delays. Closing documents signed XX/XX/XXXX and XX/XX/XXXX. Financial Impact Apartment rent obligation : approximately {$9900.00} Utility activation costs Insurance expenses Temporary housing costs XX/XX/XXXX Requested washer/dryer package and delayed XXXX closing accommodations from builder. Requested updated XXXX from VA and discovered XXXX property was still attached to VA entitlement. Continued communication attempts with VA and PHH. XX/XX/XXXX Signed additional XXXX XXXX documents. Learned PHH had not completed the required VA submission process. Followed up with PHH multiple times regarding unresolved VA entitlement issue. The seller remained unable to close on the new home because the loan still appeared under sellers VA eligibility. XX/XX/XXXX PHH stated documents had been submitted to the VA but additional responses were pending. Apartment lease extension discussions became necessary due to continued delays. XX/XX/XXXXXXXX XXXX XXXXXXXX XXXX on XX/XX/XXXX that PHH failed to include XXXX required buyer forms. Seller forced to extend apartment lease again on XX/XX/XXXX. XX/XX/XXXX Buyers submitted remaining documents on XX/XX/XXXX. PHH finally submitted missing documentation to VA. Sellers name was finally removed from the VA loan on XX/XX/XXXX. Closed on new XXXX home on XX/XX/XXXX. The apartment complex required additional XXXX notice, causing XXXX more months of rent obligations. XX/XX/XXXX XXXX additional moving costs to relocate from apartment to permanent residence. These moving costs should have been avoided if the assumption and VA release had been processed timely. Requested Resolution The borrower requests : Reimbursement of financial damages and out-of-pocket expenses Review of PHHs assumption loan processing practices Investigation into document handling and communication failures Review of possible RESPA and consumer protection violations Compensation for delays, negligence, and related damages Recommended Organization : Cover letter ( your demand letter ) Exhibit A Sales Contract Exhibit B PHH Assumption Documents Exhibit C Communication Records Exhibit D VA Entitlement Documents Exhibit E Financial Damages Exhibit F Lost Purchase Opportunity Exhibit G Timeline Summary Label every attachment clearly, for example : Exhibit XXXX Email to PHH dated XX/XX/XXXX XXXX : Keep copies of everything. Send by Certified Mail with Return Receipt if mailing physically. Save the tracking number and delivery confirmation. You can also submit complaints to : Consumer Financial Protection Bureau ( CFPB ) XXXX XXXX XXXX XXXX XXXX XXXX XXXX

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