Consumer complaint received 2024-08-23 00:00:00
Product: Mortgage — Conventional home 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: Mr. Cooper Group Inc.
State: MD

Complaint narrative:
Rushmore Loan Management, in conjunction with XXXX  and Mr. Cooper is engaging in unethical servicing practices and pursuing a wrongful foreclosure against my home I have owned for 8 years and set a foreclosure sale date for XX/XX/XXXX. I went through a documented financial hardship which has now been resolved and followed the protocols and submitted the paperwork for modification review to XXXX Mr. Cooper XXXX While the modification review was active and in process, the loan was service transferred to Rushmore effective XX/XX/XXXX, with a foreclosure sale date set for XX/XX/XXXX. This effectively cancelled out my loan modification application and because of the last minute transfer and pending sale date I have lost my right and ability to dispute the debt. ( documents attached ) I believe this to be a wrongful foreclosure and illegal under Maryland law and I would like your organization to look into this matter. The documents from XXXXMr. Cooper indicate that I was in active review for modification, then the loan was transferred and a sale date scheduled which is considered dual tracking which is also illegal. 

My problems began when XXXX impacted my income due to a disaster declaration in my county in XXXX XXXXXXXX. I was unable to keep up with the mortgage payments and contacted XXXX to see if there were any programs designed to help homeowners whose income had been impacted by XXXX. I was not offered the CARES program or any type of forbearance, which all lenders were providing at that time to homeowners struggling due to XXXX. Things got worse as I was diagnosed with XXXX and this caused me to miss out on the few hours available at my job at that time. I continued to communicate and ask for help and eventually after about 6 months we were told that we could apply for a loan modification. After submitting the financial information I was approved for a modification to address the past due payments which lowered our payment about {$120.00}. We should have been offered the CARES forbearance as soon as we contacted XXXX because we have a GSE loan. 

I became XXXX XXXX XXXX XXXX XXXX XXXXXX/XX/XXXX and it was exacerbated by my previous XXXXXXXX XXXX XXXX I missed a lot of time at work and used up all of my sick hours and this put me in a very tough situation financially. I had some money put aside and was able to scrape and keep making the mortgage payment until about XXXX. I lost my job in XXXX and fell behind on the payments. I tried to work things out with XXXX and was told that they would not accept a single monthly payment and wanted me to reinstate the loan in XXXX. I was able to get together {$5500.00} even though I was not employed at the time but XXXX refused to accept the funds, telling me I had to pay the full {$8000.00}. 

XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX  and applied again for a loan modification with XXXX. I was denied due to lack of income because I did not have a job. I was not considered for any type of unemployment forbearance or temporary unemployment program to give me the opportunity to pause payments or make partial payments so I would not fall further behind. Instead I was told to re-apply once I find a new job. 

As of XX/XX/XXXX my hardship has been resolvedXXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX As soon as I got my first paycheck I began the loan modification process with XXXX so that I could address the past due payments through deferment, loan modification, recapitalization of arrearages or a repayment plan. After several months of back and forth the paperwork went into review for a loan modification and I was hopeful that they would do the right thing. Unfortunately before the review could be completed a foreclosure sale date was scheduled and then the loan was transferred to Rushmore Loan Management.

Company response to consumer: Closed with explanation