Consumer complaint received 2025-01-14 00:00:00
Product: Mortgage — VA 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: Freedom Mortgage Company
State: TX

Complaint narrative:
When a company reveals new information or misstates facts, it constitutes a new issue separate from any previous matters. This is the case here. This complaint concerns either the misstatement Freedom Mortgage provided directly to the CFPB or, if accurate, the new information they disclosed that proves Freedom Mortgage broke federal law by issuing a Notice of Default while my account was in forbearance. 

On XX/XX/XXXX, Freedom Mortgage disclosed information to the CFPB ( Complaint # XXXX ) that they have only shared through this channel. This disclosure contradicts their prior communications and exposes a critical error : while my loan was in forbearance, they issued a Notice of Default on XX/XX/XXXX. Issuing a Notice of Default while the loan was under forbearance protections violates federal law. 

I was unaware of the full forbearance timeline until this disclosure. Previously, I believed my forbearance ended on XX/XX/XXXX, as indicated in Freedom Mortgage 's XX/XX/XXXX, communication about my application for the XXXX streamlined Partial Claim Program. This belief was based on their representations, which implied my participation in that program. 

This constitutes a significant legal violation and a breach of borrower protections. Based on Freedom Mortgages communications in XXXX, I believed my forbearance ended on XX/XX/XXXX. On that date, they sent a letter indicating that my application for the XXXX Streamlined Partial Claim Program was under review. Now, they deny this claim, asserting I did not qualify due to missing the XX/XX/XXXX, application deadline and that I was never under consideration for the program. 

In reverting to my original forbearance date, information they shared only with the CFPB and not with me, Freedom Mortgage has not only misstated facts to federal regulators but also demonstrated a more serious violation. They issued a Notice of Default on XX/XX/XXXX, while I was still in forbearance until XX/XX/XXXX, as required under CARES Act protections. 

If XXXX Mortgages XXXX reply to the CFPB is truthful and not an attempt to obscure mismanagement, their actions represent gross noncompliance. These XXXX narratives can not coexist. Freedom Mortgage must clarify whether I left forbearance on XX/XX/XXXX early, to meet the requirements of the Partial Claim Program, as their XX/XX/XXXX, letter stated, or if I remained in forbearance until XX/XX/XXXX, as they now claim to the CFPB. If it is the latter, their issuance of a Notice of Default on XX/XX/XXXX, quite literally broke federal law. 

Which is it? Did they lie to the CFPB to cover their mismanagement of my account, or did they violate federal law? 
Why was a Notice of Default issued on XX/XX/XXXX, if I was under forbearance until XX/XX/XXXX? 
If my forbearance ended on XX/XX/XXXX, why has Freedom Mortgage now claimed otherwise to the CFPB? 

They must answer for this new disclosure or blatant misrepresentation of the truth to a federal regulatory body.

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