Consumer complaint received 2025-12-09 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Payment process
Company: LoanCare, LLC
State: NC

Complaint narrative:
I have been doing everything in my power to refinance/modify/update my mortgage loan. I have done absolutely everything that they have asked of me, and now, I am in pre-foreclosure because of their pure negligence. This has been an ongoing issue for XXXX years. I am putting a timeline below. I need help- this is ruining my life. 

In XX/XX/XXXX, I began the process of refinancing the home, as my ex-husband and I had divorced. As part of the divorce decree, he signed a quitclaim, and I was required to refinance it in my name. At this time, I had a XXXX XXXX of over XXXX, very little debt, and was making a substantial amount of money. 

I requested the application, and they sent me a comprehensive package to complete. My ex-husband and I signed all the documents and returned them. In the meantime, XXXX XXXX XXXX transferred my loan to LoanCare ( in XXXX of XXXX ). 

Because of this transfer, I had to start the process over but had to wait XXXX  months to become eligible. They sent me the new assumption package to complete in XX/XX/XXXX. I filled it out and returned it. I waited about XXXX weeks and then called to check the progress. They said they had never received the package even though I have a tracking number and proof that they did. They sent me the package again. I filled it out ( again ) and returned it. This was in XXXX of XXXX. They received it but requested further documentation. I turned that in. I called every single week, and every single week they would tell me that they needed further documentation which I provided. They began requesting the same items repeatedly, even though I had already provided them, but I continued to send them. 

Finally, in XXXX of XXXX, they began to finalize the assumption. We were simply waiting on the acceptance or denial of the assumption. 

Fast forward to XXXX of XXXX, when XXXX XXXX hit this area. They put everyone in this area on a forbearance, so everything was put on hold until after the forbearance had ended. I waited patiently until the forbearance was complete and then requested the documentation again to assume the loan and finalize the process. At this point, my XXXX XXXX and income had taken a hit because business had slowed dramatically due to the hurricane. They denied the loan assumption but offered a loan modification. 

I accepted and received the documents, and began the modification agreement, which stated that I had to pay a certain amount each month ( {$3100.00} ) to demonstrate my ability to do so. I did and up until this point, I had never had a late payment. I made my payment every month as requested for XXXX, XXXX, XXXX, XXXX, and XXXX. 

On XX/XX/XXXX, I received the XXXX  packet to finalize the loan modification. I had it signed by myself ( XXXX XXXX XXXX ( formerly XXXX ) ) and my ex-husband, XXXX XXXX, and had it notarized and had it returned on XX/XX/XXXX, according to the tracking information. 

On XX/XX/XXXX ( at XXXX pm ) I received the packet again, asking for it to be RE-EXECUTED and it was requested to be returned by end of day on XX/XX/XXXX ( the following day ). As that is impossible, I called and spoke to a representative, who agreed that it was an unreasonable request and opened a request with management to have the deadline extended until Friday, XX/XX/XXXX. I immediately returned the documents on the morning of XX/XX/XXXX, using the prepaid shipping label included in the packet. They were received by LoanCare on XX/XX/XXXX. I called to confirm that they had received the documents, and they informed me that no extension had been requested, and the loan modification offer had been rescinded. As a result, they applied the payments I made from XXXX to XX/XX/XXXX to the forbearance period ( XX/XX/XXXX to XX/XX/XXXX ), thereby reporting my loan XXXX  months ( XXXX days ) behind to the credit bureaus. 

On XX/XX/XXXX, I called and spoke with another representative, who informed me of this, as no one else had contacted me to update me on the status. He agreed to resend the documents via regular mail so we could restart the process. I asked if I could make a payment to demonstrate good intent, and he said no, explaining that there was a credit on the account and that the funds had nowhere to be applied. The credit on the account was approximately {$3400.00}. 

On XX/XX/XXXX, I contacted LoanCare because I had not received any documents and was beginning to worry about the status of my loan. I spoke with a representative who informed me that no documents had been sent to me, the process needed to be started over again, and that I had to download the paperwork to submit it. 

That representative also gave me the phone number and extension of my SPOC ( specified person of contact ) - XXXX XXXX. I have tried calling and using that extension multiple times to speak with him, to no avail. 
The paperwork available for download on the website differed significantly from the paperwork I had received in the mail, but I filled it out anyway and returned it as requested on XX/XX/XXXX. It turned out that this paperwork was for a mortgage assistance plan as opposed to a mortgage modification agreement. 

On XX/XX/XXXX, I spoke with another representative who gave me the list of items that were missing or needed revision in the packet. I uploaded all of those requested documents on the website as requested within hours of that call. 

On XX/XX/XXXX, I was informed by the credit bureaus that my account had been listed as late by XXXX days on my credit report, that my XXXX XXXX had dropped by XXXX points, and that my credit report now showed a foreclosure status. 

I called again on XX/XX/XXXX, as I had not heard anything, and the representative stated that they were waiting for the missing documents. I informed him that on XX/XX/XXXX and XXXX, I had uploaded everything through the website as instructed. He stated that they did not have any of the documents in my file, and I would need to resubmit them. I did it the same day. 

On XX/XX/XXXX, I called again, and they informed me that they had still not received any documents. I sent all the documentation again to them via email and uploaded it to my portal. 

On XX/XX/XXXX, I called again and was again informed that they had not received all of my documents, so I uploaded and emailed them again. 

I experienced the same issue on XX/XX/XXXX and again on XX/XX/XXXX, both times uploading the requested documents and emailing them. 

Each time that I called, I would try to make a payment or, at the very least, explain that I was concerned that I had not made a payment, and they would not allow me to make a payment because my mortgage was in a pending status. 

On XX/XX/XXXX, I received a letter from them requesting that I apply for mortgage assistance. I was under the impression that I was already in the middle of XXXX, so I called, and they stated that I needed to start the process over because they had not received the requested documents. This was extremely upsetting, but I did what they asked and started again, submitting the application and documentation. 

On XX/XX/XXXX, I received a letter from them requesting additional documents. I sent them and uploaded them the following day. 

On XX/XX/XXXX, I received a letter from them stating that my application was complete and that they would give me a decision within XXXX  days. I called the next day to accept any offer and was told that I needed to upload more information. I did so and was then informed that my application had been submitted and was successful. 

At this point, my husband and I had decided that we needed to sell the house to avoid foreclosure and get out from under all the mess, just start over. We moved out of the house and into a rental on XX/XX/XXXX, and listed the house for sale. In the meantime, on XX/XX/XXXX, I received a letter from them stating that they had approved our loan assistance application and would be placing us on a trial plan for XXXX, XXXX, and XXXX. The XXXX  payment was due by XX/XX/XXXX at the latest. 

Due to the issues with them, the need to pay for a rental, and the significant loss of income this year, I was unable to make that payment. I sent in a partial payment of {$1000.00} on XX/XX/XXXX. I called on XX/XX/XXXX to request an extension of XXXX more days to make the payment and to inform them that the house was now listed for sale. They stated that since the payment was not the full amount due, they would be returning my {$1000.00} ( which I have yet to receive ) and that I would forfeit the arrangement for assistance. They would then proceed with foreclosure. I hope to sell before it reaches that point.

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