Consumer complaint received 2026-06-29 00:00:00
Product: Mortgage — FHA 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: U.S. BANCORP
State: NJ

Complaint narrative:
XXXX XXXX U.S. Bank Mortgage Servicing ACCT Number : XXXX In XX/XX/XXXX, I contacted U.S. Bank to request information regarding a possible loan modification. In XX/XX/XXXX, I had received a letter stating that my monthly mortgage payment would be increasing by several XXXX dollars due to an escrow shortage. As a disabled homeowner living with chronic medical conditions, and given the increasing costs of basic living expenses such as food, gas, utilities, and medical care, this significant increase would have placed an even greater strain on my already limited financial resources. I therefore contacted U.S. Bank to explore available options that would allow me to remain current on my mortgage. During that call, the representative informed me that I could be placed into a mortgage forbearance until XX/XX/XXXX. He explained that, once the forbearance period ended, I would either have the option to repay the missed payments or have those payments placed at the end of my loan. Based on those representations, I agreed to proceed with the forbearance. Prior to XX/XX/XXXX, I received a letter stating that my forbearance was ending. I contacted U.S. Bank and spoke with a representative who confirmed that my forbearance would, in fact, end on XX/XX/XXXX. A few days later, I called again to confirm that information. During that call, a different representative informed me that my forbearance had not ended because it had been extended. Because I had received conflicting information regarding the status of my forbearance, I requested written documentation outlining the terms, conditions, and effective dates of the alleged extension. I continued making mortgage payments in amounts that I could reasonably afford during the forbearance period based on the representations that, after making the required payments, the remaining missed payments could be placed at the end of my loan. On XX/XX/XXXX, I contacted U.S. Bank for a second time and again requested that the loan modification process be initiated. For the second time, a representative discouraged me from pursuing a loan modification. She stated, " Why would you want to do that? It would start your loan all over. '' My understanding of this statement was that she was referring to restarting the loan term, increasing the amount of interest paid over the life of the loan, and increasing the overall cost of the mortgage. I explained that I had previously sought assistance through XXXX XXXX regarding an FHA Partial Claim but had ultimately been denied because I was behind on my mortgage payments. The representative informed me that I could not independently pursue a Partial Claim because U.S. Bank would need to initiate that process with HUD. The representative advised that her system was not displaying any available repayment plans or other loss mitigation options. She instructed me to call back during the week of XX/XX/XXXX, so that an FHA option could be explored. She also suggested that I call back when making my payment, and I agreed to pay my XXXX mortgage payment on XX/XX/XXXX and my XXXX payment at the end of XXXX. In retrospect, these events raise concerns regarding whether foreclosure activity may have already been initiated while I was being advised that no repayment options were available and while I was actively seeking mortgage assistance. Today, I received a debt collection letter from XXXX, XXXX, XXXX, XXXX XXXX XXXX, XXXX, located at XXXX XXXX XXXX, XXXX XXXX, XXXX, New Jersey. The letter states that, as of XX/XX/XXXX, the full balance of my mortgage, approximately {$66000.00}, is due and that I must respond by XX/XX/XXXX. Immediately upon receiving the letter, I contacted U.S. Bank. The representative initially insisted that the correspondence must be fraudulent. However, I questioned how a fraudulent party could possess the exact balance of my mortgage account. I also noted that the letter was dated XX/XX/XXXX, the same date that I contacted U.S. Bank requesting mortgage assistance while I had been advised that I remained in active forbearance. Prior to calling U.S. Bank, I independently confirmed that XXXX, XXXX, XXXX, XXXX XXXX XXXX, XXXX is a legitimate law firm. While reviewing my account, the U.S. Bank representative located the attorney 's name within U.S. Bank 's own system, confirming that the attorney was associated with my mortgage account. Despite locating this information, the representative continued to state that U.S. Bank would not have sent such correspondence because, according to the bank 's records, I remained in active forbearance. The representative asked how many pages the letter contained. When I advised her that it consisted of four pages, she stated that an official foreclosure package would have been approximately sixteen pages and instructed me to disregard the letter. Because I was concerned about the conflicting information I was receiving, I conference-called an attorney and added him to the conversation to listen. Although he advised that mortgage servicing was outside his area of practice and was therefore unable to represent me, he heard the representative repeatedly instruct me to ignore the collection letter. The representative continued to advise me to disregard the correspondence and instead wait for a future letter from U.S. Bank requesting payment of approximately {$2400.00}. I advised the representative that I intended to call back and make my payment. After ending the call, I expressed my concerns to the attorney regarding the repeated inconsistencies in the information I had received from U.S. Bank. Specifically, I was concerned that I was repeatedly being advised that I remained in active forbearance while, at the same time, a law firm had apparently been retained to demand payment of the entire mortgage balance. These circumstances raise concerns regarding whether foreclosure activity may have been initiated while I was simultaneously seeking mortgage assistance and relying upon U.S. Bank 's representations concerning the status of my account. Throughout this process, my objective has been to work cooperatively with U.S. Bank, remain in my home, and explore available loss mitigation options. Instead, I have received conflicting information from multiple representatives regarding my forbearance status, repayment options, loan modification requests, FHA assistance, and the status of foreclosure activity. I respectfully request that the New Jersey Attorney General investigate these circumstances, determine whether U.S. Bank complied with applicable federal and New Jersey mortgage servicing requirements, and require U.S. Bank to provide a clear, accurate, and complete explanation regarding the status of my mortgage account.

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