Consumer complaint received 2020-08-18 00:00:00
Product: Mortgage — VA mortgage
Issue: Applying for a mortgage or refinancing an existing mortgage — 
Company: RoundPoint Mortgage Servicing LLC
State: VA

Complaint narrative:
Addressed to RoundPoints Legal Department, I have been a loyal Roundpoint mortgage account holder for almost five years. I have been through several different employment situations, but always ensured that mortgage payments were made in a timely fashion. However, I believe that Roundpoint is the culprit of a predatory lending practices and trying to induce foreclosure. 

The property requires extensive work to both get it to a safe living condition and to sustain it, but this was outside my skillset and income. After doing the best I can for several years I had no choice but to Short Sale the home in hopes for it to be in the ownership of someone who could properly tend to houses needs. I started my Short Sale process with Roundpoint in XX/XX/XXXX and as of XX/XX/XXXX I am still awaiting approval of Short Sale. Even with COVID-19 as a factor, dragging out a standard 3-4 month process to 9+ months is unacceptable and due for investigation. 

This process has been exhausting, frustrating, absolutely ridiculous, and borderline criminal. Lets review : 1. To start, the first 4 months ( XX/XX/XXXX to XX/XX/XXXX ) were riddled with poor process and poor communication from Roundpoint service members as they would ask for missing documentation from the application, we then provide said documentation, and THEN Roundpoint would ask for more missing documentation. This happened over, and over, and over again 2. Begs the question If you knew this documentation was missing, why didnt you ask for it at the onset of this process? Why postpone every two weeks for another document, and then two weeks later to ask for more documentation? Even the argument of well, we couldnt know it was missing until the previous document had been received doesnt account for them asking for documentation that they already possessed which happened a lot. And as youll see, even after confirming they had received a completed application, further documentation was always requested. 

3. At several points our designated Roundpoint representatives were fired and we had to update each representative of the process thus far. 

4. In XX/XX/XXXX though, I was blessed with a Completed Application Notice, where I would wait 30 days for approval ( with possible longer time frame due to several obvious factors ). A reasonable timeframe would had been a total of 60 days to receive a response but instead I was prompted with ANOTHER request for additional documentation Please note that after documentation is provided to Roundpoint, I must wait 3-5 days for the application to be reviewed resulting in a entire week before hearing back from Roundpoint. But its okay, after this additional documentation is provided we should be done WRONG MORE MISSING DOCUMENTATION!!! 

5. Why is Roundpoint asking for Missing documentation in XXXX or XXXX ; 6 months after the process started, and after receiving a Completed Application Notice?!!! It wasnt because we werent providing their requested documentation, but rather they piecemealed every documentation they needed every two weeks or so. 

6. Anyway, our designated Roundpoint representative was fired again and I had the lovely experience of updating this representative of the process again. We were told XXXX they were waiting for VA approval of the short sale. 

7. Trying to assist this process I personally contacted the VA ( since this is a VA Loan ) to see why they also were holding up the process, and they stated to me that they had not received any notice from Roundpoint asking about a Short Sale. Once I informed them what was going on, they had no issues approving it within 24 hours. Your welcome, Roundpoint! 

8. THEN, due to this lengthy process of asking for documentation in pieces, many of our documentation were expiring which resulted in my realtor, transaction facilitator, myself, and buyer ( which is STILL on contract ) to re-sign documentation and resubmit to Roundpoint wait 3-5 days before hearing back, and then you guessed it MORE MISSING DOCUMENTATION!!! 

9. Then I received a Completed Application notice in XXXX  which any reasonable person/business would feel confident that no more documentation is needed. Its been 7 months by this point, if they needed something, they would have asked way earlier in the process 10. You can probably assume what happened next : MORE MISSING DOCUMENTATION!, this process repeated until 11. XXXX where I received another Completed Application notice, where I must wait 30-60 days for a response. 

12. At best, Roundpoint finally approves the short sale after dragging this out for 9 months at worst, they will state that I am missing more documentation, dragging this process out even longer. 

Throughout this lengthy process, I have made every effort to inform Roundpoint that the property continued to deteriorate way past safe living conditions. Only increasing the necessary repairs of the property and pressing the on-contract buyers patience. Additionally, my ability to obtain a security clearance becomes significantly more difficult, if not impossible, if I go into foreclosure. 

In short, I believe that Roundpoint is the culprit of a predatory lending practices and trying to induce foreclosure. I believe this due to the perceivably strategic delays and piecemeal requests for documentation, which aligned with our application expiration dates allowing Roundpoint to continue holding our Short Sale application in limbo indefinitely. Doing this maximizes my monthly mortgage payments, and Roundpoints profits, and eliminates my ability to safely house my family ( wife, teenager, and toddler ). I will need to leave the premises in the upcoming month due to the houses living conditions no longer being acceptable, resulting in an additional rent payment that doesnt fit in my budget/income. So I will have to stop making payments to Roundpoint, inducing foreclosure. Which I can only hope forces Roundpoint to approve my Short Sale, but unfortunately doing so only proves my point that Roundpoint tried to lengthen this process until I couldnt pay them anymore tip-toeing the line of foreclosure ever so slightly. 

If Roundpoint had successfully followed their Short Sale process I would have been approved and departed the premises in XX/XX/XXXX, with the new owner immediately repairing the home before severe damages were induced due to hurricanes and severe rainstorms this summer. 

Mortgage amount : XXXX Monthly Mortgage payment : 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