Consumer complaint received 2025-03-24 00:00:00
Product: Mortgage — Other type of mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — Confusing or misleading advertising or marketing
Company: Finance of America Holdings LLC
State: CA

Complaint narrative:
I am filing a complaint against Finance of America and XXXX XXXX XXXX for unfair loan servicing practices, including : Invalidating payoff statements weeks before expiration, inflating the balance and preventing loan payoff. 

Adding excessive and unlawful fees, making it impossible to close the loan. 

Blocking refinancing efforts through unexplained balance increases. 

Charging forced-placed insurance fees despite my providing valid insurance. 

Forcing judicial foreclosure proceedings after obstructing loan payoff. 

Reporting the business-purpose loan on my personal credit, making it difficult to obtain financing elsewhere. 


Premature Payoff Invalidation & Fee Manipulation Finance of America and XXXX XXXX have engaged in a pattern of issuing payoff statements and invalidating them significantly earlier than their stated expiration dates, inflating the balance each time. 

Premature Payoff Invalidation & Fee Manipulation Finance of America and XXXX XXXX have engaged in a pattern of issuing payoff statements and invalidating them significantly earlier than their stated expiration dates, inflating the balance each time. 

XX/XX/XXXX : Payoff issued for {$54000.00}, set to expire on XX/XX/XXXX ( not invalidated ). 

XX/XX/XXXX : Payoff issued for {$70000.00}, set to expire on XX/XX/XXXX, but invalidated XXXX days early. 

XX/XX/XXXX : Payoff issued for {$65000.00}, set to expire on XX/XX/XXXX, but invalidated XXXX days early. 

XX/XX/XXXX : Payoff invalidated again with no justification provided. 

XX/XX/XXXX : Payoff issued for {$66000.00}, set to expire on XX/XX/XXXX, but invalidated on March 1823 days early. 

XX/XX/XXXX : Payoff issued for {$74000.00}, set to expire on XX/XX/XXXX, with an additional {$8000.00} in fees added. 

Most recent payoff invalidation was a full 23 days before the expiration date, forcing additional costs and preventing refinancing. 

Each time a new payoff was issued, additional fees and interest were added, making it impossible to close the loan before the payoff expired. 

Judicial Foreclosure & Excessive Attorney Fees Foreclosure action was initiated on XX/XX/XXXX, despite multiple attempts to pay off the loan. 

Finance of America and XXXX manipulated payoff balances, forcing foreclosure by adding excessive legal and processing fees. 

Forced-Placed Insurance & Duplicate Charges XXXX charged for force-placed insurance ( {$3400.00} ) despite my providing valid insurance. 

XXXX continued charging insurance fees and placing liens on the property even after proof of insurance was provided. 

Emails Confirming Loan Servicer 's Unfair Practices Repeated emails were sent to Finance of America and XXXX XXXX XXXX, requesting an explanation for excessive fees and premature payoff invalidations. These emails include : XX/XX/XXXX : Email to XXXX requesting clarification on the sudden fee increase XX/XX/XXXX : Follow-up email demanding immediate action to reinstate the correct payoff amount XX/XX/XXXX : Second follow-up email stating that the payoff was invalidated unfairly, with no justification provided XX/XX/XXXX : Final email request for an explanation of the fee increases and foreclosure proceedings Despite these communications, XXXX XXXX has not provided a reasonable explanation or corrected their unfair practices. 

Financial Harm Caused Forced Payment of Unnecessary Costs Paid multiple appraisals, all property taxes, and insurance just to keep the property from being seized. 

XXXX XXXX XXXX ( XX/XX/XXXX ) confirms payment of {$7600.00} in past-due taxes, plus penalties. 

Forced-placed insurance ( {$3400.00} ) was added despite valid insurance coverage. 

Prevented Refinancing & Forced Foreclosure Repeated invalidations of payoff statements made it impossible to secure refinancing before foreclosure. 

Finance of America and XXXX intentionally obstructed loan payoff, leading to foreclosure proceedings. 

Falsely Reported Debt to Credit Bureaus Finance of America and XXXX continued reporting incorrect balances and delinquency to credit bureaus, damaging my credit and blocking access to financing. 

The loan is a business-purpose loan under XXXX XXXX XXXX XXXX and should not be on my personal credit report. 

Violations of Federal Consumer Protection Laws Finance of America and XXXX Financials misconduct violates multiple federal laws, including : Real Estate Settlement Procedures Act ( RESPA ) Manipulating loan balances and obstructing the ability to pay off the loan. 

Fair Debt Collection Practices Act ( FDCPA ) Adding improper and excessive fees to force foreclosure. 

Fair Credit Reporting Act ( FCRA ) Reporting inaccurate debt amounts to credit bureaus.

Unfair, Deceptive, or Abusive Acts or Practices ( UDAAP ) Engaging in deceptive and fraudulent loan servicing practices.

Company response to consumer: Closed with explanation