Consumer complaint received 2021-08-01 00:00:00
Product: Mortgage — Other type of mortgage
Issue: Trouble during payment process — 
Company: Mr. Cooper Group Inc.
State: MD

Complaint narrative:
For over one year I have been in contact with MR COOPER concerning my XXXX HAMP MODIFICATION that they service for an investor pool. I have asked them where are my yearly {$1000.00} incentives and a separate lump sum of {$5000.00} that is to be applied to my account at the end of the fives years. Now I am trying to get out of this mortgage by obtaining a VA loan through another large mortgage company. But, MR COOPER tells me I won't receive any reductions to my HAMP MODIFICATION if I were to refinance it before XX/XX/XXXX! 

On XXXX at XXXX hours, I spoke with MS. XXXX, of MR COOPER, concerning my HAMP Modification that was entered into during XX/XX/XXXX. I asked her what happened to the yearly incentives of {$1000.00} that I earned, but never received from MR COOPER and the lump sum of {$5000.00} for successfully making all of my payments for five years. She did not know and transferred me to MS XXXX, Special Handling Unit, MR COOPER. I advised here that I was in the process of refinancing my HAMP Modification with another company as I had asked MR COOPER for help with a REFI, but was told I could not REFI my loan. She told me that if I REFI my current loan before XX/XX/XXXX, that I will not get the {$5000.00}. She had no idea of why I did not receive my yearly incentives of {$1000.00} and the letter I received on XXXX, totally avoids the question. 

I would like to know why we ( HAMP holders ) are penalized for REFIs after we have successfully made ALL five years of payments on our HAMP MOD? My HAMP MOD Trial was over during XX/XX/XXXX and five years from this period is XX/XX/XXXX. I have never missed one payment. Not one. Now, MR COOPER has not fulfilled their part of the contract as they never provided me with the $ 1000 yearly incentive for fives years! Now they want to squeeze out of reducing my mortgage by the lump sum of {$5000.00} by telling me that I will not receive the reduction until XXXX! How can this be? This should be illegal. 

Heres the text in the MR COOPER letter, dated XXXX : Dear XXXX XXXX and XXXX XXXX : LOAN NUMBER : XXXX PROPERTY ADDRESS : XXXX XXXX XXXX XXXX  XXXX, MD XXXX SUBJECT : Research Reference # XXXX Thank you for contacting us. We are following up on your request dated XX/XX/XXXX, XXXX. 

We have conducted an investigation and determined that as long as your account remains in good standing, the final 6th year incentive payment of $ XXXX, will be applied on or around XX/XX/XXXX. 

As of the date of this letter, your loan is due for the XX/XX/XXXX payment and the unpaid principal balance is {$550000.00}. 

Did you know you can access your account documents, payment history, escrow statement, and more by signing in to your online account? Just visit www.mrcooper.com and click " Sign In '' to create an account. You can also manage your account on the go by downloading our free mobile app. 

If you have any questions, please contact us directly at XXXX, or call our Customer Service Department at XXXX. They're available Monday through Thursday XXXX XXXX  to XXXX XXXX  ( CT ), Friday XXXX XXXX  to XXXX XXXX  ( CT ) and Saturday XXXX XXXX  to XXXX XXXX ( CT ). 

Let us know if there's anything else we can do for you. We're here to help. 

Sincerely, Mr. Cooper Research and Response Department The Making Home Affordable U.S. Government website states this concerning HAMP MODIFICATION INCENTIVES : XXXX XXXX XXXX ABOUT MODIFICATION Question I heard that homeowners who have modified their mortgages through HAMP get financial incentives. Is that true?

Answer Yes. Homeowners who received a HAMP modification and make timely payments on their modified loans receive incentive payments. For every month you make a payment on time, you will accrue an incentive that reduces the principal balance on your loan. If your loan ceases to be in good standing ( three monthly payments are due and unpaid on the last day of any month ), no further incentives payments will be paid, including accrued but unpaid amounts. The incentive will be applied directly to your loan balance annuallyup to {$1000.00} each year during the first five years of the modification and a one-time payment of {$5000.00} in year sixand over six years the total principal reduction could add up to {$10000.00}. This incentive is designed to encourage you to stay current after receiving a HAMP modification and help you build equity faster. 

Why hasnt MR COOPER applied my yearly {$1000.00} incentives for the first five years? Why did they not address this in their XXXX letter to me? 

Why cant I refinance my current HAMP MODIFICATION LOAN and receive the lump sum of {$5000.00} and the yearly incentives of {$1000.00}? 

I need answers to these questions ASAP. 

Sincerely, XXXX XXXX XXXX

Company response to consumer: Closed with explanation