Consumer complaint received 2025-07-07 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: LoanCare, LLC
State: DE

Complaint narrative:
I am filing this complaint to report what I believe to be unfair, deceptive, and negligent practices by LoanCare regarding my XXXX  XXXX Standalone Partial Claim. LoanCare failed to honor XXXX separate approvals for the XXXX  XXXX Standalonefirst dated XX/XX/XXXX, XX/XX/XXXX and again on XX/XX/XXXX, XXXX of which would have preserved my original interest rate of 3 %. Due to repeated delays and apparent mismanagement on XXXX part, I have now been offered a loan modification at XXXX  %, more than double my original rate. This situation has caused me significant financial harm. 

Summary of Violations LoanCares handling of my case demonstrates potential violations in the following areas : Breach of Contract Breach of the Duty of Good Faith and Fair Dealing Unfair and Deceptive Acts or Practices ( UDAAP ) Violation of the Real Estate Settlement Procedures Act ( RESPA ) Key Facts and Timeline XXXX  XXXXXXXXXXXX XXXX : I was informed I qualified for the FHA XXXX Standalone Partial Claim and would receive paperwork within 15 days. 
XX/XX/year> : I finally received the paperwork, well beyond the promised XXXX period. ( The package was dated XX/XX/year>. ) XX/XX/year> : I returned the signed and notarized documents accepting the XXXX  XXXX Standalone Partial Claim terms. 
XX/XX/year> : I received a denial notice claiming the FHA XXXX Standalone Partial Claim offer had expired on XX/XX/XXXX, XXXX XXXX day after I mailed the documents. However, the paperwork I received clearly stated a return deadline of XX/XX/year>, which I met. No XX/XX/XXXX expiration was ever disclosed. 
XX/XX/year> : I spoke with a representative and a manager named XXXX, who instructed me to reapply for the partial claim. I completed the reapplication process that day. 
XX/XX/year> : I received a new approval for the partial claim, again stating I would receive paperwork within 15 days. This letter was dated XX/XX/year>. 
XXXX XXXX  : Despite multiple follow-ups, no new paperwork ever arrived. I was told underwriting was " awaiting escrow info. '' XX/XX/year> : Instead of receiving the expected documents, I was sent a loan modification offer with a XXXX  % interest rate. 
Later in XXXX : I was informed I was no longer eligible for the partial claim because the loan amount now exceeded program limitsan issue that would not have arisen had LoanCare processed my paperwork in a timely manner. 
XX/XX/year> I submitted a formal appeal to LoanCare requesting that they honor the FHA XXXX Partial Claim. 

My Position XXXX actions have forced me into a financially harmful situation. I can afford the payment of {$2300.00} under the XXXX XXXX Partial Claim. I can not comfortably afford the increased payment of {$2900.00} under the new modification at XXXX  %. I am ready and able to pay any outstanding balance to bring the loan back within eligibility limits for the XXXX  XXXX Partial Claim. 

Note that due to file size, I had to include 2 attachments. 1 ) showing the notarized paperwork I mailed back to LoanCare on XX/XX/year> in response to the offered I received in XX/XX/year> ( dated on XX/XX/year> ), and the letters received from Loancare about the XXXX  Standalone Partial Claim approvals and the last documents about the other loan modification.

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