Consumer complaint received 2024-02-26 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — Foreclosure
Company: PENNYMAC LOAN SERVICES, LLC.
State: TX

Complaint narrative:
I closed on my home loan on XX/XX/XXXX with XXXX XXXX XXXXXXXX as the original Lender. A few months later I was informed that my " mortgage loan '' was sold to XXXX XXXX with PENNYMAC LOAN SERVICES , LLC as the new servicer on XX/XX/XXXX. Due to the declining economy, I lost my job of XXXX and have continued to experience a continuing hardship. As I was transparent and continued to communicate with PennyMac in good faith I was granted a forbearance. During this time, I reviewed my mortgage contract and had some concerns regarding fraud which led me to start an administrative process with PennyMac Loan Services : Timeline for docs and responses between Consumer and PennyMacs and/or Affiliates mentioned below : XXXX XX/XX/XXXX I sent a notarized certified mailing Conditional Acceptance requesting that PennyMac respond to a 31 Proof of Claim in the form of an affidavit regarding my concerns of fraudulent loan practices/dealings.

*I received a response letter on XX/XX/XXXX from PennyMac dated XX/XX/XXXX stating that my request was " unduly burdensome '', irrelevant to the servicing and the information requested was proprietary, etc, '' and that PennyMac was not party to the origination of the loan ; therefore, they can not speak to my allegations of predatory or fraudulent lending practices ; but that PennyMac researched the allegations of fraud and found no evidence of suspicious activity with regard to PennyMac and determined that my allegations are without merit. ( Letter attached ) *I received a certified mailing letter on XX/XX/XXXX of Notice of Default and Opportunity to Cure and Intent to Accelerate dated XX/XX/XXXX. 
*I replied to PennyMac Loan Services , LLC with a notarized certified mailing Notice of Fault and Opportunity to Cure and to Contest Acceptance on XX/XX/XXXX as PennyMac had not answered nor provided answers to the original proof of claims requested. 
*I received a letter on XX/XX/XXXX from PennyMac dated XX/XX/XXXX reiterating that I had not provided no new information and that PennyMac 's position remained unchanged. 
* On XX/XX/XXXX I received a random loan modification packet from PennyMac ; however, this was not requested by me as I am still requesting answers due to concerns with my loan and fraudulent practices/dealings. 
*On XX/XX/XXXX a notarized certified mailing of Notice of Rescission and Termination of Principal was sent to PennyMac after stating the fraud found. PennyMac is now in violation of 15 USC 1611 and has continued to ignore and are withholding information. The mortgage loan was rescinded and cancelled for fraudulent disclosure pursuant to the Federal Truth in Lending Act, 15 USC 1635, and Regulation Z 226.23. The security interest held is invalid to foreclose and the tender requested by PennyMac Loan Services , LLC is not entitled to enforce the instrument. Lender failed to disclose under 15 USC 78 ( c ) Section 10 that the promissory note was a security. The promissory note can not exceed the lifespan of 9 months and due to the mortgage being 30 years with the note expanding beyond nine months it makes it a security and not a note that consumers were led to believe. The mortgage is no longer a loan but a security and stock therefore the mortgage has become unsecured. This is in violation of the UCC and the funding source belongs to the signer. 
*On XX/XX/XXXX I received a letter from PennyMac dated XX/XX/XXXX stating that there was no new information and that PennyMacs position remains unchanged. 
XXXX XX/XX/XXXX I sent PennyMac a UCC1-Filing update indicating that there was a UCC1 filed on XX/XX/XXXX along with a Commercial Security Agreement, Schedule, A, Common Law Copyright Notice, Hold Harmless Indemnity Agreement, Indemnity Bond, Minnesota Court Rules Affidavit, Affidavit of Life, Affidavit of Ownership and Certificate of Title and a Power of Attorney in Fact. Links were provided for PennyMac to view documents on Public Record. 
XXXX XX/XX/XXXX a notarized certified mailing of Notary Certificate of Dishonor and Non-Response was sent to PennyMac Loan Services stating that PennyMac has continued to ignore my request and have now been found in default. 
*I received a letter on XX/XX/XXXX from PennyMac dated XX/XX/XXXX stating that they were reviewing my loan XXXX received a letter on XX/XX/XXXX from PennyMac dated XX/XX/XXXX stating that there was no new information and that their position remained unchanged. 
*On XX/XX/XXXX I sent a certified Communication Update letter to PennyMac reiterating the timeline and how PennyMac has continued to ignore my original request and documents sent but I was requesting an update on the information requested. 
*I received a letter on XX/XX/XXXX from PennyMac dated XX/XX/XXXX stating that they were reviewing my loan. 
*On XX/XX/XXXX I received a letter dated XX/XX/XXXX from XXXX XXXX XXXX XXXX  XXXX XXXX Texas a debt collector stating that they were trying to collect a debt on behalf of PennyMac for XXXX XXXXXXXX XXXX XXXX XXXXXXXX and that the debt is XXXX, XXXX. 
*On XX/XX/XXXX I logged onto my PennyMac account online and reviewed the mortgage transactions printing the information offline. It shows on XX/XX/XXXX PennyMac initiated property inspections, XX/XX/XXXX Foreclosure Title Trust Fee, XX/XX/XXXX Foreclosure Title Costs and another transaction on XX/XX/XXXX Foreclosure Title Costs. 
I was not aware that my debt had been sold therefore I was still communicating with PennyMac regarding the fraud in my contract thinking they were the only one I was dealing with. 
*On XX/XX/XXXX I sent XXXXXXXX XXXX XXXX XXXX XXXX  XXXX Texas a notarized certified letter of Notice of Dispute, Demand for Debt Validation and Proof of Claim requesting. 
*On XX/XX/XXXX I received copies of all of PennyMacs correspondences since my initial request ; however, there was no representative mentioned on who printed the response packet. 
*On XX/XX/XXXX I received a letter from PennyMac dated XX/XX/XXXX again stating that they were conducting a full review of my loan. 
XXXX XX/XX/XXXX I received a duplicate letter from PennyMac dated XX/XX/XXXX again stating that they were conducting a full review of my loan *On XX/XX/XXXX I received a letter from PennyMac dated XX/XX/XXXX that I was referred to foreclosure on XX/XX/XXXX and that the unpaid principal balance was XXXX, XXXX and that their position remains unchanged. 
*On XX/XX/XXXX I uploaded a signed request to my PennyMac online account via the message center requesting Full Accounting pursuant to UCC 9-210. This would entail the Indentured Trustee, Original and or certified copy of the Full Accounting public/private ledgers, Pooling and Service Agreement and the REMIC Report. I also included attachment of my UCC11, UCC1 financing statement, Commercial Security Agreement and Schedule A for their records. 
*I received a certified letter XX/XX/XXXX from XXXXXXXX XXXX XXXX XXXX  XXXX Texas dated XX/XX/XXXX stating that In response to my letter on XX/XX/XXXX please find enclosed copies of the security instrument, note, assignment and payment history. 
Again, this was not even a fraction of the information I requested from them, and the copies that were sent to me were blacked out in various places and the basic accounting did not mimic the accounting charges that PennyMac provided. The accounting is conflicting. 
*On XX/XX/XXXX I received a certified mailing from XXXXXXXX XXXX XXXX XXXX XXXX Texas dated XX/XX/XXXX for Notice of Acceleration and Notice of Posting Foreclosure stating that my home would be sold on XX/XX/XXXX. 
*I sent an email to XXXXXXXX XXXX XXXX XXXXXXXX XXXX Texas to XXXX XXXX XXXX and affiliates providing my UCC11, UCC1 Financing Statement, Security Agreement and Schedule A for their records. 
*On XX/XX/XXXX I returned a call from XXXX XXXX as I had requested the same information as mentioned throughout this complaint. I spoke with a Representative who read me the denial reason. When I asked her why she could not send it in writing as requested she stated that this is what the notes said. While the call was recorded on both ends I asked her to read the reasoning verbatim : Please advise the customer the information being requested is proprietary information that XXXX XXXX does not provide to consumers, if the agreement is public it will be housed at the US Security Exchange Commission www.SEC.gov, customer can begin search by going to www. SEC.gov and click on companies and other filings under filings and forms XXXX under general purposes search click on companies and other filers follow the additional steps as requested. Closing inquiry. 
*I received a letter XX/XX/XXXX dated XX/XX/XXXX from PennyMac stating that the owner/investor is XXXX XXXX and XXXX their request all loan inquiries should be directed to the current loan servicer, PennyMac Loan Services , LLC . If your correspondence included a request for additional documentation and or research, please be assured we are in the process of conducting a full review of the loan as it relates to your inquiry. Upon completion of the review, a response letter will be mailed to you detailing our findings and action taken. 
*On XX/XX/XXXX I received a letter from PennyMac dated XX/XX/XXXX stating again that my loan was being reviewed. 
*On XX/XX/XXXX I received another certified letter from XXXX XXXX XXXX XXXXXXXX XXXX Texas dated XX/XX/XXXX for Notice of Acceleration and Notice of Posting and Foreclosure. 
*On XX/XX/XXXX I received a letter from PennyMac dated XX/XX/XXXX that in response to my correspondence on XX/XX/XXXX they reiterated that the foreclosure sale was on XX/XX/XXXX and that the unpaid principal is XXXX and proceeded to duplicate the same response letters sent over the course of communication into one big letter but that my request was overly broad and unduly burdensome and that they have declined my Commercial Security Agreement.

Penny Mac has stated in each letter the following In all of our interactions with you, we are committed to being accountable, reliable and ethical through actions that reflect our core company values. 
As a consumer it is evident that PennyMac and its affiliates have blatantly ignored my request to produce the documents requested regarding my loan. PennyMac and its affiliates are fraudulently continuing to collect securities that are due to the consumer. They have chosen to ignore the fraud and continue to push a null and void contract, deed, and fraudulent assignment. PennyMac and its affiliates for the State of Texas have disregarded the law and as a consumer this will continue to escalate, as each and every individual involved will be held accountable.

Company response to consumer: Closed with explanation