Consumer complaint received 2025-05-28 00:00:00
Product: Mortgage — FHA mortgage
Issue: Struggling to pay mortgage — Trying to communicate with the company to fix an issue related to modification, forbearance, short sale, deed-in-lieu, bankruptcy, or foreclosure
Company: Ocwen Financial Corporation
State: CA

Complaint narrative:
PHH Mortgage Escalations Department : I am writing to formally escalate what I believe to be serious mishandling of our loan modification process. For the last year we have sought mortgage assistance in good faith, have followed every instruction given to us, and have demonstrated full compliance at every stageincluding submitting a signed, notarized loan modification agreement by PHHs stated deadline.

In XXXX XXXX, PHH issued a loan modification offer under the FHA COVID-19 Recovery Standalone Partial Claim program. Despite receiving the offer with literally only days to review it, we had the documents properly notarized and returned them via XXXX, with confirmed delivery to PHH by the required date. However, PHH has repeatedly claimed we refused the offeronly to issue a replacement with significantly worse terms. This retraction came after we had already resumed mortgage payments under the stated terms of the original offer. 

To be clear : we did not refuse the offer. We complied. PHH acknowledged receipt of our correspondence through the online portal. The fact that the original signed and notarized agreement was subsequently invalidated based on an alleged printing error raises serious legal concerns. So does PHHs decision to disregard our compliance and suggest that we now start over with a new Loss Mitigation Consultation, effectively erasing a years worth of effort on our part.

Throughout this process, weve endured contradictory letters, unreturned calls and emails, improper reporting to credit bureaus, unreasonable & arbitrary deadlines, and an overall breakdown in servicing. PHHs conduct appears to violate obligations under RESPA, Californias Homeowner Bill of Rights, and general contract law.

We are actively consulting legal counsel. This message is not just a plea for resolutionit is documentation that we have exhausted every internal option to resolve this matter directly with PHH. At this point, we are demanding that PHH either : 1. Reinstate the original signed modification agreement, or 2. Issue a replacement with identical or better terms, without requiring a new application or further delay.

We also demand that all foreclosure-related activity cease immediately, and that no further negative credit reporting occur while this matter is under dispute.

We have full documentation of every step takenincluding notary records, XXXX tracking & delivery confirmation, emails, and call logsand we are prepared to present this to regulators and legal representatives.

This is our home. We will not allow it to be lost due to PHHs mismanagement. 

Sincerely, XXXX XXXX & XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX, CA XXXX XXXX / XXXX XXXX/ XXXX Mortgage Account # : 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