Consumer complaint received 2025-08-11 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — An existing modification, forbearance plan, short sale, or other loss mitigation relief
Company: Ocwen Financial Corporation
State: FL

Complaint narrative:
Subject : URGENT REQUEST FOR MORTGAGE MODIFICATION, AND PRINCIPAL REDUCTION To Whom It May Concern, I write as a XXXX XXXX veteran, a XXXX XXXX, and a long-standing customer whose loan has been serviced by PHH/Ocwen for nearly two decades. My objectives are : 1. Immediate approval of a sustainable loan-modification plan that lowers my monthly payment to an affordable level and reduces the inflated principal balance.

2. A full accounting of the servicing actions that have caused my original {$86000.00} mortgage to balloon to approximately {$270000.00}, including fees, force-placed charges, and capitalized interest. 
3. Copies of all call logs and recordings that I have repeatedly requested, as well as a current Debt-to-Income ( DTI ) worksheet used in your hardship evaluations. 

BACKGROUND OF HARDSHIP I have always notified my servicerfirst Ocwen, now PHHof temporary income interruptions. As a teacher, I receive pay only ten months each year, and I experienced additional hardship due to a divorce and costly HOA litigation. Despite my proactive outreach, PHH/Ocwens first response has consistently been rapid referral to foreclosure rather than offering forbearance or a clear reinstatement path. When I sought assistance, I was not presented with Home Affordable Modification Program ( HAMP ) or comparable options ; instead, fees and advances were capitalized, driving the balance sharply upward. Multiple regulatorsincluding state attorneys general and the CFPBhave cited Ocwen for systemic misconduct that mirrors my experience : inaccurate account histories, failure to honor modification guidelines, and dual-tracking borrowers into foreclosure while loss-mitigation reviews were supposedly underway.

REQUESTED RELIEF A. Modification Terms 1. Convert arrears and excessive fees to a non-interest-bearing principal-forgiveness component. 
2. Target monthly PITI at or below 31 % of my verified gross income.

3. Fix the interest rate for the remaining term and waive all foreclosure-related charges.

B. Document Production ( pursuant to RESPA 2605 & CFPB Reg X ) Complete payment history ( from inception ) showing how the balance reached {$270000.00}. Itemized list of all corporate advances, force-placed insurance premiums, late fees, and legal costs. All audio recordings and internal notes from phone calls dating back to XXXX. Your DTI calculation matrix and underwriting worksheet from each prior review. 
C. Compliance Review Explain why foreclosure was initiated while loss-mitigation options were still pendingan apparent violation of dual-tracking prohibitions. Detail how your practices align with the XXXX XXXX XXXX  and CFPB servicing rules designed to prevent precisely this type of homeowner harm. 
CONCLUSION I am ready to provide updated income documentation, a completed RMA package, and any additional information required for an expedited review. However, I will not agree to any plan that merely capitalizes fees and stretches the term while leaving me in negative equity. My goal is to remain in my home under fair terms that reflect both my service to this country and my record of perseverance through hardship.

Please acknowledge this letter within five ( 5 ) business days and provide a written decision or status update within thirty ( 30 ) days, as mandated by federal servicing regulations.

Thank you for your prompt attention. I look forward to a good-faith resolution that keeps me in my home and rectifies the predatory servicing errors that have compounded my debt.

Company response to consumer: Closed with explanation