Consumer complaint received 2018-10-22 00:00:00
Product: Mortgage — FHA mortgage
Issue: Struggling to pay mortgage — 
Company: LoanCare, LLC
State: NY

Complaint narrative:
I applied for a partial claim FHA loan modification on XX/XX/XXXX. I faxed the documents and received fax confirmation that all documents were received. I received a letter on XX/XX/XXXX asking for 60 day bank statements. I also received a call on XX/XX/XXXX advising me that the year XX/XX/XXXX was not included on the XXXX. I had the document which was included in the original faxed package in my hand and I clearly wrote the year XX/XX/XXXX on it  because it wasnt typed on the form. 

I was also advised that since my husband and I didnt have a bank account, and all we had was a XXXX   XXXX XXXX money market account which was given to my husband by his employer in order to receive direct deposit, that we needed to include a letter of explanation explaining that it was a money market account used for direct deposit and that we couldnt deposit funds on it. We could only use it for withdrawing money and as a debit card. The representative also told me I needed more current statements. I did include the most current statements when the original package was faxed on XX/XX/XXXX. The representative also advised me that they needed our XX/XX/XXXX taxes. The only missing item listed on the letter from Loan Care ( XXXX XXXX XXXX ) was 60 day bank statements. I never received any other letters from them listing all the other missing documents. Our former attorney still had our XX/XX/XXXX taxes so I was able to email all documents listed above on XX/XX/XXXX at XXXX XXXX. 

I still did not receive any additional letters stating who my single point of contact was or advising me that additional documents were needed. Loan Care was not following the keep in touch routine every 3 business days. 

SIDE NOTE-Our Investor is XXXX XXXX XXXX XXXX XXXX. The mortgage was sold by XXXX XXXX to XXXX in early XX/XX/XXXX. I dont even think the first legal was filed within the timeframe stated in the HUD guidelines from XXXX or Loan Care as servicer for XXXX. I used to work as a supervisor, Banking Officer for XXXX XXXX XXXX XXXX and worked in the Loss Mitigation Department in both HUD Partial Claim loan modifications and short sale/deed in lieu closings. So I am familiar with the requirements. I also worked on a project during my time at XXXX XXXX XXXX because the current 2016 HUD Mortgagee letter requirements were not followed on several loan modification, short sale and deed in lieu of foreclosure closings before I joined the loss mitigation department. The procedures were 2 years out of date and claims were made to HUD to receive the claim funds. The closing packages were missing several HUD required documents because the department was following old HUD Mortgagee guidelines. XXXX XXXX XXXX received these funds from HUD and knowingly did not return them to HUD once they realized that there was a huge error on their part. They did not want to red flag HUD about the error. These loans were XXXX loans and I am aware how their servicers handle their loans and treat their borrowers. To my knowledge there was about XXXX XXXX XXXX in claim funds XXXX XXXX XXXX  should not have kept after they discovered the huge errors made. I did report this to a false claim attorney after I was left XXXX XXXX XXXX in XX/XX/XXXX. However, I was advised that if the government wouldnt get involved that they would not pursue the case. I even had a sample of loans with loan numbers that I found on my computer on a spreadsheet from when I worked from home. 

The next call I received from Loan Care was XX/XX/XXXX. The representative said they needed even more current bank statements from the money market account and the letter of explanation stating that it was a money market account needed to have wet signatures by both me and my husband as well as the date. I was advised that once they received these last documents the file would go to underwriting for a loan modification. I emailed these documents to Loan Care on  XX/XX/XXXX. 

I still did not receive any letters stating who my single point of contact was. On XX/XX/XXXX I received a call from a representative named XXXX. XXXX advised me that my file was with the Foreclosure Team.  This was news to me. I never received any calls in almost a month stating we were declined or that they needed more documents or any letters stating the same. XXXX was incredibly rude, degraded me, talked down to me. She was advising me that I had to send an entirely new loan modification package. I asked for a supervisor and she thought I was on hold and I could hear her talking about me. At this point I was extremely irate and yelled I can still hear you. She transferred the call and the call was dropped. This is why I am coming to you for help. I was finally advised during this call that my SPOC was  named XXXX XXXX but I never received any letters or calls from him. I am asking for your help to proceed with this loan modification request.

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