Consumer complaint received 2024-10-17 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Loan sold or transferred to another company
Company: Freedom Mortgage Company
State: HI

Complaint narrative:
To Whom it May Concern, I am making this complaint against XXXX XXXX and Freedom Mortgage Company regarding their unfair and deceptive practices for my loan transfer. Although I am now current with the mortgage, both companies ' poor communication and wrongful acts caused two late payments. Freedom Mortgage then sent a letter threatening my credit score. Although I believe the matter is resolved, I want to make a record of their inappropriate behavior. 

For the past 2 years, my mortgage has been serviced by XXXX XXXX. I have long made all payments via autopay on the XXXX of each month. 

On XX/XX/year>, I received a standard mortgage statement from XXXX XXXX, providing that payment was due to them on XX/XX/XXXX. That was no problem, because autopay was setup to make payment on XX/XX/XXXX. 

On XX/XX/year>, I received a Notice of Service Transfer, stating that the servicing of my loans would be transferred to Freedom Mortgage Corporation effective XX/XX/XXXX. The notice informed me that XXXX XXXX would accept payments " prior to XX/XX/XXXX '' and would stop accepting payment " after XX/XX/XXXX. '' I took this to mean that my XX/XX/XXXX payment would be accepted by XXXX XXXX. 

Sometime in the second week of XXXX I noticed that XXXX XXXX had apparently cancelled my auto pay and not accepted my XX/XX/XXXX payment. My online account with them was inactivated. I immediately called them and was routed in circles for a half hour. Their system would not allow me to speak to a human because they were no longer my servicer. Instead, their system transferred me to Freedom Mortgage. 

I then called Freedom Mortgage, and a representative assured me that I had a 60 day grace period where no late fees would be imposed. They told me that I would receive a welcome packet from Freedom Mortgage in the mail, and that after I received my first bill from them I could create an account and set up autopay. 

I received my first Statement from Freedom Mortgage ( dated XX/XX/XXXX ) at the very end of XXXX, giving me only a day or two before the " due date '' of XX/XX/XXXX ( it takes a while for mail to reach us in XXXX Hawaii ). I then setup an account and scheduled payment with them for both XXXX and XXXX payments on XX/XX/XXXX, well within the grace period. 

On XX/XX/XXXX I then received a letter from Freedom Mortgage, dated XX/XX/XXXX, accusing me of being " two payments overdue '' and stating that " this information may have been furnished to credit reporting agencies. '' Freedom Mortgage apparently generated and sent this letter just days after I received their very first mortgage statement. 

In short, XXXX XXXX and Freedom Mortgage are solely responsible for any delay in payment, due to their inability to coordinate between themselves regarding the transfer of my loan. XXXX XXXX wrongfully cancelled my XX/XX/XXXX payment and was impossible to get ahold of, and Freedom Mortgage did not send a bill until mere days before payment was due and then threatened my credit score within several days. I object to this practice in the strongest terms and hope that this complaint creates a record that might help other homeowners facing this situation. I will also be sending this to both companies directly and if they end up affecting my credit score will consider legal action.

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