Consumer complaint received 2021-09-26 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — 
Company: Ocwen Financial Corporation
State: CA

Complaint narrative:
Our mortgage history : We filed for Bankruptcy ( BK ) to save our home from Foreclosure XXXX as advised by XXXX ( XXXX XXXX XXXX XXXX XXXX ) XXXX XXXX XXXX XXXX ( trustee and investor of IndyMac Bank now XXXX XXXX XXXX ) filed Relief from Stay. The BK Judge noted that our loan has a defective note for the fact that the loan was only under my husband 's name and only his signatures were on the loan docs. The property was our primary residence and was recorded under our names as husband and wife, joint tenancy ( we were married XXXX ). Ocwen Loan Servicing , LLC ( who is the servicing company of IndyMac Bank/XXXX XXXX XXXX ) just sent us a notice dated XX/XX/XXXX saying they will foreclose our property in 30 days. We tried to apply for loan modification which they offered us, before we filed for BK but we were denied after they required us to send a money order of the new monthly payment {$1600.00} with our loan modification application ( we have copies of their offer and the payment we sent ). Our payment went up to {$3200.00}. We can't afford that kind of monthly payment. At that time, we were both still working. My husband is retired now ( he's XXXX yrs. old ) and I stopped working XXXX XXXX. I was on XXXX from XXXX XXXX to XXXX XXXX. I have 5 XXXX XXXX, have other medical problems We were denied of the loan modification. They gave us false Hope! We have to admit, we were ignorant and naive about the rules/laws or clueless and unsuspecting of any violation committed due to our lack of understanding ( XXXX is not our first language ) .I remember, the loan papers were just brought by a notary person to our residence. Since she was not a loan officer, there was no explanation about the loan or documents. She just verified the identification and took the signatures needed from my husband. I just learned that this is considered as a predatory loan besides the homestead code violation. It is my understanding that imposing unfair and abusive loan terms on borrowers, often through aggressive sales tactics, taking advantage of a borrower 's lack of understanding of complicated transactions is an outright deception. 

Another legal argument of our BK lawyer with the bank lawyer to oppose the Motion for Relief from Stay was : A community estate and a joint tenancy between a spouses can not exist at the same time in the same property. The reasoning was that the unity of interest was lacking between husband and wife, because at that time ( XXXX ) only husband and wife had exclusive equal rights of management and control. In a join tenancy, the right of survivorship precludes the community property ( California Probate Code XXXX ) Where a true joint tenancy between husband and wife exists the interest of each precludes the community should be their separate property Post marital creditors of one spouse share of a true joint tenancy ( California Family XXXX ) Regardless of the state of the title property must be either one or the other. It can not be both.When spouses take title of a joint tenancy, each spouse holds his or her own interest as separate property under California law if the community property presumption is overcome ( XXXX. 

The BK Judge even said, that the mortgage loan is defective ( I have a certified copy of the hearing transcrpt if needed ). 

This is only partial of the our situation/experience with IndyMac/XXXX XXXX XXXX . Ocwen is the Servicer but XXXX XXXX is the trustee who filed a Judicial Foreclose against my husband on XXXX. 

In this lawsuit XXXX ( see attached copy of their case where they admitted that the Deed of Trust was mistakenly not recorded. Also they stated that they were unable to locate and obtain an assignment transferring interest as encumbered by the Deed of Trust. Thefore a break in the chain of assignments has occurred. They admitted that the Deed of Trust was Mistakenly not recorded. Also they stated that they were unable to locate and obtain an assignment transferring interest as encumbered by the Deed of Trust directly to XXXX ( the bank ) therefore has a break in the chain of assignments has occurred and the bank must request a Judicial determination of the Court to foreclose our property, XXXX XXXX ( the original loan holder ) has ceased operations & no longer in business. As a defunct ntity with no employees, there is no one remaining capable of executing an assignment. 
The bank is informed and believes and alleged that as a result of an unrecorded and missing assignment, a break in the recorded chain of assignment exist The bank and the foreclosure trustee may not be able to conduct a non-judicial foreclosure sale and the bank must request a Judicial determination of the Court to foreclose this subject property, Loan Experts ( the original loan holder ) has ceased operations and no longer in business. As a defunct they admitted that the Deed of Trust to the Plaintiff was Mistakenly not recorded. Also they stated that they were unable to locate and obtain an assignment transferring interest as encumbered by the Deed of Trust directly to Plaintiff ( XXXX ), therefore a break in the chain of assignments has occurred and Plaintiff must request a Judicial determination of the Court to foreclose this subject property, Loan Experts ( the original loan holder ) has ceased operations and no longer in business. As a defunct entity with no employees, there is no one remaining capable of executing an executing an assignment. XXXX is informed and believes and alleged that as result of the unrecorded and missing assignment, a break in the recorded chain of assignment exists. The bank and the foreclosure trustee may not be able to conduct a non-judicial foreclosure. 

This case was withdrawn by XXXX XXXX but on XX/XX/XXXX, they did a Non Judicial Foreclosure on our property. We are still occupying the property because we have nowhere to go but we fear and very scared that we might be forced to leave anytime.We might get evicted anytime specially if the eviction hold ends this end of XXXX ( if not extended ). We are seniors and with housing crisis in the bay srea, we might end up in the streets. 

We are not trying to get this property for free but if they can give us a loan modification with the low interest with the {$500000.00} bad loan they gave us before, maybe we can still save the property. My son is willing to help us pay some monthly mortgage payment. We are on fixed income ( SS pension ). Maybe we can sell the property and they can just get the 1/2 interest value of my husband since the loan was under his name only ( I dont have any signature on the mortgage loan ). I assumed, they can not legally transfer the Deed of the property since they dont have unrecorded and missing /void assignments ( as they admitted ) plus I have my name in the original Deed of Trust.They violated my rights as a spouse who have 1/2 interest in the property ( as a joint tenancy ). 
We filed for Wrongful Foreclosure ( after the Non-Judicial Foreclosure on XXXX XXXX ) but it did never went to Trial. It was Demurred because they alleged that I signed a waiver or assigned the property to my husband married man, as sole and separate property. I denied this allegation. Who in a right mind will sign something like this? They have high caliver lawyers while we can only afford to maintain a lawyer but just a pro bono services ( we pay only what they do to us ). Our case was mishandled. 

If they want, we can sell the property but only the 1/2 value can go to them. The 1/2 value goes to the spouse since this is a joint tenancy. 

Whatever remedy you think is fair and right, please help us negotiate with the bank. They have a history of unfair practices and mortgage fraud ( I have articles that proves the allegations ) See attachments ) Can I fax or send the attachment separately via email? I have pages of documents to send. Can u give me your email please? I am not good in sending attachment. Sorry Thanks so much. 

Mrs XXXX XXXX

Company response to consumer: Closed with explanation