Ditech Financial LLC

2017-12-01

Milton, FL

Trouble during payment process

Mortgage: Conventional home mortgage

Company Response: Company believes it acted appropriately as authorized by contract or law Closed with explanation

Timely Response

2017-11-30

Anaheim, CA

Trouble during payment process

Mortgage: Conventional home mortgage

Complaint: I have a mortgage with XXXX XXXX which is managed by Ditech Financial LLC. I have never missed a payment, and the loan is in good condition. At XXXX XXXX on XXXX/XXXX/XXXX, I called Ditech XXXX to inform Ditech of my home insurance to change in XXXX. However, Ditech started the phone conversation as if my loan is already in default and started to collect my personal information as to get ready for the collection process and treated me as their target for collection without knowing the status of my loan.
Company Response: Closed with explanation

Timely Response

2017-11-30

Jacksonville, FL

Trouble during payment process

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2017-11-30

Arlington, TX

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Company Response: Company believes it acted appropriately as authorized by contract or law Closed with explanation

Timely Response

2017-11-29

Munford, AL

Attempts to collect debt not owed

Debt collection: Mortgage debt

Debt is not yours
Company Response: Closed with explanation

Timely Response

2017-11-29

Breckenridge Hills, MO

Trouble during payment process

Mortgage: Other type of mortgage

Company Response: Closed with explanation

Timely Response

2017-11-29

Sacramento, CA

Trouble during payment process

Mortgage: VA mortgage

Company Response: Company believes complaint caused principally by actions of third party outside the control or direction of the company Closed with explanation

Timely Response

2017-11-29

Gastonia, NC

Struggling to pay mortgage

Mortgage: FHA mortgage

Company Response: Company believes complaint is the result of an isolated error Closed with explanation

Timely Response

2017-11-29

Pulaski, MS

Applying for a mortgage or refinancing an existing mortgage

Mortgage: Conventional home mortgage

Complaint: I was foreclosed on during remodification process. I was led to believe that I was being processed in XXXX with documentation from the servicer with contact numbers that would not except my calls or relay me to an extension of the rep. whom was handling my case when trying to contact and follow up. Ultimately I was given a 3 day notice of eviction by the Sheriff ( XXXX XXXX XXXX @ XXXX ). I had filed for bankruptcy protection and the law firm went to court to have it lifted as I was awaiting a modification. I later was informed by NACA ( 3rd party entity ) helping with the modification that the home had been sold in XXXX XXXX. It was XXXX when I received the modification documentation. I was receiving billing statements monthly throughout this year. The servicer did not : Quickly resolve complaints and share information. Have and follow good customer service policies and procedures. Contact you to help you when youre having trouble making your payments. Work with you, if you are having trouble paying your mortgage, before starting or continuing foreclosure. Allow you to seek review of the mortgage servicers decision about your loan workout request. I am now leaving the home with a XXXX and XXXX under XXXX circumstances.
Company Response: Company believes it acted appropriately as authorized by contract or law Closed with explanation

Timely Response

2017-11-29

Fresno, CA

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Complaint: Hi Consumer Financial Protection Bureau I have very bad problem.Please make this a rush I have a sale scheduled for my property on XX/XX/XXXX and Im under a loan modification review. Iam XXXX XXXX. I have some very bad issues going on right now with my servicer DITECH FINANCIAL, LLC and about my previous banks. I 'm having a very hard time dealing and working with my servicer DITECH FINANCIAL, LLC. I have mailed and faxed over all documents for a loan modification but they are still proceeding with the foreclosure sale scheduled for XX/XX/XXXX. If they proceed with the sale they will be in violation of the CALIFORNIA HOMEOWNERS BILL OF RIGHTS and other laws as well. As part of this bailout, on XX/XX/XXXX, the United States Government took over Fannie Mae and pumped billions, which in XX/XX/XXXX, then Treasury Secretary XXXX XXXX said as much as {$200.00} billion would be pumped into Fannie Mae and Freddie Mac, each, which was separate from the {$700.00} in TARP funds given out to other lenders. 1. The guidelines issued by the United States Treasury set forth a detailed process whereby a participating servicer, either action or not acting through its subsidiary, must : a. identify loans that are subject to modification under the HAMP program, both through its own review and in response to requests for modification from individual homeowners ; b. collect financial and other personal information from the homeowners to evaluate whether the homeowner is eligible for a loan modification under HAMP ; c. institute a modified loan with a reduced payment amount as per a mandated formula, that is effective for a three-month trial period for borrowers that are eligible for a modification ; and d. provide a permanently modified loan to those homeowners who comply with the requirements during the trial period. Whether the homeowner qualifies for a modification or not, participating servicers are also required to provide written notices to every mortgage borrower that has been evaluated for a loan modification, whether or not the borrower has been found eligible. HAMP and its associated directives also set prohibitions against certain conduct including demanding upfront payments in order to be evaluated for a loan modification, instituting or continuing foreclosures while a borrower is being evaluated for a loan modification, assigning a single point of contact, maintaining an adequate level communication with borrowers, maintaining proper caseload to ensure HAMP objections are met, and restrictions on the way a servicer may report the borrower to credit reporting agencies. All servicers have systematically failed to comply with the terms of the HAMP directives and has regularly and repeatedly violated several of its prohibitions. Now that HAMP is over and expired due to servicers prolonging these modifications they are now proceeding with other alternatives. Under HAMP, the federal government incentivizes participating servicers to make adjustments to existing mortgage obligations in order to make the monthly payments more affordable. Servicers receive at least {$1000.00} for each HAMP modification. However, this incentive is countered by a number of financial factors that make it more profitable for a mortgage servicer avoid modification and to continue to keep a mortgage in a state of default or distress and to push loans toward foreclosure. This is especially true in cases where the mortgage is owned by a third-party investor and is merely serviced by the servicer. However, this incentive is countered by a number of financial factors that make it more profitable for a mortgage servicer such as Ditech Financial, LLC to avoid modification and to continue to keep a mortgage in a state of default or distress and to push loans toward foreclosure. This is especially true in cases where the mortgage is owned by a third-party investor and is merely serviced by Service companies because Service companies do not carry a significant risk of loss in the event of foreclosure. California Business and Professions Code 17200 et seq., also known as the California Unfair Competition Law ( UCL ), prohibits acts of unfair competition, including any unlawful, unfair, or deceptive business act or practice as well as unfair, deceptive, untrue or misleading advertising. Ditech Financial, LLC and all other previous servicers and their Investors conduct was unlawful in that : They illegally began and prosecuted the non-judicial foreclosure based on the lien to the 1st Deed of Trust, despite i was not in breach of payments on said lien ; They engaged in the uniform practice of requesting unnecessary documentation, seeking repetitive submissions of the same documents, and never rendering a decision, and in doing so, such activity provides the basis for an unfair inquiry and could deceive the public because it places burdensome requirements on me that served no purpose but to provide a basis for either engaging in Dual Tracking by placing sale on my home. They failed to properly consider loan modification applications before trying to sell my home. 1. On information and belief, Ditech Financial, LLC does not own a significant majority of the loans on which it functions as servicer. 2. Economic Factors that discourage Ditech Financial, LLC from meeting its obligations under HAMP by facilitating loan modifications include the following : a. Ditech Financial, LLC may be required to repurchase loans from the investor in order to permanently modify the loan. This presents a substantial cost and loss of revenue that can be avoided by keeping the loan in a state of temporary modification or lingering default. b. The monthly service fee that Ditech Financial, LLC, as the servicer, collects as to each loan it services in a pool of loans, is calculated as a fixed percentage of the unpaid principal balance of the loans in the pool. Consequently, the modifying of a loan to reduce the principal balance results in a lower monthly fee to the servicer. c. Fees that Ditech Financial, LLC charges borrowers that are in default constitute a significant source of revenue to it. Aside from income Ditech Financial, LLC directly receives, late fees and process management fees are often added to the principal loan amount thereby increasing the unpaid balance in a pool of loans and increasing the amount of the servicers monthly service fee. d. Entering into a permanent modification will often delay a servicers ability to recover advances it is required to make to investors of the unpaid principal and interest payment of a non-performing loan. The servicers right to recover expenses from an investor in a loan modification, rather than a foreclosure, is often less clear and less generous. e. Fixed overhead costs involved in successfully performing loan modifications involve up-front costs to the servicer for additional staffing, physical infrastructure, and expenses such as property valuation, credit reports and financing costs. XXXX. Rather than allocating adequate resources and working diligently to reduce the number of loans in danger of default by establishing permanent modifications, Ditech Financial, LLC has serially strung out, delayed, and otherwise hindered the modification processes that it contractually undertook to facilitate when it accepted billions of dollars from the United States. Ditech Financial, LLC delay and obstruction tactics have taken various forms with the common result that my loan serviced by Ditech Financial, LLC, in which im eligible for permanent loan modifications, and have met the requirements for participation in HAMP, have not received permanent loan modifications to which iam entitled.
Company Response: Company believes it acted appropriately as authorized by contract or law Closed with explanation

Timely Response

2017-11-29

Wesley Chapel, FL

Incorrect information on your report

Mortgage: Conventional home mortgage

Complaint: Last year, my mortgage was being handled by DiTech Financial. The mortgage is being handled by a new servicer now ( XXXX XXXX ). Nevertheless, DiTech Financial is still reporting a note on my old account from their office that my mortgage was in foreclosure. My mortgage was never in foreclosure, and I want DiTech to delete the foreclosure note from their account listing, or completely remove the account from my file.
Company Response: Company believes it acted appropriately as authorized by contract or law Closed with explanation

Timely Response

2017-11-29

MA

Trouble during payment process

Mortgage: Conventional home mortgage

Complaint: Ditech is saying that we owe them {$27000.00}. They had sent us a letter stating that they will start the foreclosure process. They sent back my last months payment check. I went to my lawyer that is helping us. She can not figure out where this money that we owe is coming from. She has tried to contact the company and had not received a reply from them. I sent for a payment history and when we received it. It read that we were up to date of all payments and that we did not owe anything. The funny thing about it. It took them over a month to mail it to us. Our mortgage was changed to Ditech from XXXX. Thank You
Company Response: Company believes it acted appropriately as authorized by contract or law Closed with explanation

Timely Response

2017-11-29

Toledo, OH

Trouble during payment process

Mortgage: Other type of mortgage

Company Response: Company believes the complaint is the result of a misunderstanding Closed with explanation

Timely Response

2017-11-29

MI

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Company Response: Company can't verify or dispute the facts in the complaint Closed with explanation

Timely Response

2017-11-28

Rockwell, NC

Trouble during payment process

Mortgage: Home equity loan or line of credit (HELOC)

Complaint: I 've been attempting, for better than six months to get my 2nd mortgage servicer, Ditech Financial to seriously engage the writer on my interest to settle the outstanding balance. The process started in XX/XX/XXXX, latest. Only recently have I received a phone call after multiple attempts in both writing and telephonically to get them to reply. I 've also asked for supporting documentation regarding the totality of interest paid and general progress on the reduction of the loan balance. I received nothing I 've been thorough, I believe, in articulating why a negotiated settlement is reasonable. The aforementioned phone call was unsatisfactory only offering a nominal reduction. The intent of my complaint is - both - getting the supporting documents as to my total payments made, interest paid and principal paid. And, with that evidence press my case for a more reasonable settlement substantiated by my previous employment hardship ; savings drain yet I maintained the account as current.
Company Response: Company believes it acted appropriately as authorized by contract or law Closed with explanation

Untimely Response

2017-11-28

PA

Trouble during payment process

Mortgage: VA mortgage

Complaint: DATE OF LETTER ; XXXX They put too many obstacles in place to pay down your mortgage. Wen you set up your account for them to make pay bi-weekly thru auto withdraw from checking account they do not post payment until the whole payment is in. I was just informed they will no longer be accepting bi-weekly payment, after I set up automatic withdraws over a year ago and have been taking payments out bi-weekly that they control. I had not wanted them to have access to my account but it was the only way they would accept bi-weekly payment and post them in a timely manner. I feel that they want the consumer to spend 30 years paying the mortgage at this point and i have had nothing other then problems with this company since my home loan was assumed by them due to it being sold off to them. I have worked with many other mortgage companies and never had so many problems.my complaint is why are they dropping or saying they no longer accept bi-weekly payments and is it even legal do pull this stunt? i attempted to contact them but after being on hold for about a 1/2hr. i finally hung up.
Company Response: Company believes the complaint is the result of a misunderstanding Closed with explanation

Timely Response

2017-11-28

San Mateo, CA

Trouble during payment process

Mortgage: Conventional home mortgage

Complaint: My adjustable rate mortgage increased and I have no problem making the payments, as my FICO score is greater than 803 and I have plenty of money. My problem is twofold : 1 ) the statement I received is misleading ; and 2 ) the " customer services '' practices of this company is deceivingly a sales gimmick. Ditech maneuvers to first sell re-finance packages immediately AND before it transfers me to the customer service center to discuss why it held in suspense over {$1200.00} I timely paid toward my mortgage, while simultaneously claiming I owed twice the monthly payment by XX/XX/XXXX, else I would AGAIN be charged a late fee of {$63.00}. Ditech immediately answers their phone ( which is the only number posted on their statement ) to sell refinancing and homeowner 's insurance. Only after they 've pushed their refinancing sales on customers are we then transferred to " customer service '' and then we have to " press 1 '' to not have to go through this process again, but to instead have the privilege of holding on the line to discuss the issue regarding which we called. Having pressed " 1 '' so as not to have my call dropped, I held for over 10 minutes to wait for " customer service '' to attend to the issue. The issue was resolved by me paying the late fee of {$63.00} and the increased adjustable payment of {$67.00} ( to add to the {$1200.00} which was " funds in suspense '' ). The statement is misleading. It claims I owed {$2600.00} by XX/XX/XXXX, which does not give me credit for the {$1200.00} I already paid and which they acknowledge receiving ( yet held the funds in suspense ). The statement SHOULD have said I owe {$130.00} ( {$63.00} in late fees and $ {$67.00} representing the balance due on the increased adjustable payment to make my {$1200.00} payment whole. ) Once I worked this confusing billing statement out, I wondered what happens to the elderly and " little guys '' who do n't have the time or resources to navigate through Ditech 's sales tactics, holding the line ( have to press 1 not to have the call dropped ) and persevering to get the correct balance due amount articulated so the money Ditech already received is applied to my payment? While I was thinking this out loud on the phone with the " customer service '' person, she had the audacity to ask me if I 'd like to buy homeowner 's insurance -- clearly a " canned pitch '' she was required to ask as part of her concluding the call. I know there are worse companies out there than Ditech, but these processes and practices that Ditech now has in place are predatory and justify the existence of the CFPA, assuming the CFPA is cost effective in regulating this kind of behavior.
Company Response: Company believes the complaint is the result of a misunderstanding Closed with explanation

Timely Response

2017-11-28

La Fayette, IN

Trouble during payment process

Mortgage: Other type of mortgage

Company Response: Company believes complaint represents an opportunity for improvement to better serve consumers Closed with explanation

Timely Response

2017-11-28

Pinellas Park, FL

Incorrect information on your report

Credit reporting, credit repair services, or other personal consumer reports: Credit reporting

Account status incorrect
Complaint: I recently applied for a home loan. The loan company pulled my credit report and provided a copy to me. DiTech Financial LLC, whom I understand is one and the same as my former XXXX XXXX holder on my former house, XXXX XXXX XXXX, reported my former first mortgage for property located on XXXX XXXX XXXX XXXX as " Foreclosure Paid ''. This is an error that is adversely affecting my credit score, my ability to get a loan and the interest rates that are available to me. XXXX XXXX was paid in full on X/X/2016. See attached Closing Statement. It is correct that the house was a short sale and in pre-foreclosure ; however, DiTech was paid in full and there had been no foreclosure hearings, judgment or auction. XXXX XXXX XXXX held the second mortgage and was the bank that was " shorted '' and not fully paid. Yet, XXXX XXXX XXXX properly filed a Satisfaction of Mortgage and reported the account as settled less than full balance and " Paid. ''
Company Response: Company believes the complaint is the result of a misunderstanding Closed with explanation

Timely Response

2017-11-27

Garner, NC

Attempts to collect debt not owed

Debt collection: Mortgage debt

Debt was already discharged in bankruptcy and is no longer owed
Complaint: Ditech Financial LLC first appeared on my credit report and at the register of deeds office in XXXX XXXX N.C. as a lien holder to my property in XX/XX/XXXX. There was no lien or second mortgage on my property or credit report when I applied for a loan from XXXX XXXX in XX/XX/XXXX-XX/XX/XXXX, nor in XX/XX/XXXX when I did a home modification loan with my current mortgage holder. I have never had prior contacts about payments or any arrangements with Ditech, not XXXX cent, contrary to the statements that I last paid them on XX/XX/XXXX. How could this be when I get another statement saying that the statute of limitation had expired and they could bring no legal action to collect this debt. I only became aware of this so called Ditech lien when I applied for a reverse mortgage loan in XX/XX/XXXX from XXXX XXXX XXXX loan officer for XXXX XXXX XXXX ( loan # XXXX ). I wrote the credit bureaus and they removed Ditech from my credit reports. XXXX then contacted Ditech and requested a " Quit Claim Deed ''. After his initial contact with Ditech Rep. " XXXX '', she refused to reply to any of his repeated communication attempts ( phone calls, emails, letters, or faxes ). My loan stalls because of this unresolved issue. I did have a second mortgage with XXXX XXXX XXXX, but that was included in my bankruptcy ( Ch. XXXX ) in XX/XX/XXXX and should have been dismissed. My last payment to XXXX ( XXXX ) was in XX/XX/XXXX. I thought it was taken care and after more than 12 years it pops up out of no where. Can you help me resolve this issue without being taken advantage of? Please and Thanks
Company Response: Closed with explanation

Timely Response

2017-11-27

Soquel, CA

Trouble during payment process

Mortgage: Conventional home mortgage

Complaint: I have a 30 year fixed-rate mortgage that is currently serviced by Ditech. Ditech has serviced this loan since XX/XX/XXXX, and the fixed monthly payment since that time was {$2000.00}. Some time around XXXX of XXXX, Ditech apparently increased the escrow portion of the monthly payment, increasing the total monthly payment to {$2100.00}. I never received any notice of this change via US mail or email. In fact, I had never received any mail communication from Ditech since they started servicing my loan. I had received information about the servicing transfer from the prior servicer, and had used that information to have my bank automatically send the payment every month. It turns out that Ditech was sending all correspondence to the property address, rather than my mailing address ( this is a non-owner occupied property ). So that is perhaps why I never received any notice from Ditech about the escrow payment change. So, I continued to pay the same payment amount of {$2000.00} on time each month. Ditech received my XXXX payment on time, but did not credit any of it to my account. Instead, they held it all in suspense and considered the entire monthly payment to be late. They did not refuse the payment, so I had no indication from my bank that there was any problem. Ditech did not contact me by any method to inform me of the " late '' payment. I received nothing by mail, nothing via email, and no phone calls. I accidently discovered what was going on a couple months later when I logged into the Ditech website to check on something else, and saw that there was a late payment fee on my account. I called and spoke to a representative ( XXXX, ext. XXXX ) and explained the situation. She discovered that they had the wrong address for me, and had been mailing correspondence to the property address, and not my personal address. She talked to her manager and agreed that this was their fault, and that my payment should not be considered late. They removed the late charge for the month of XXXX, and I sent in an extra payment to cover the short escrow amount ( {$150.00} payment on XX/XX/XXXX). I assumed everything was fixed, and they claimed that my mailing address was updated. The problem is that Ditech is still reporting this to the credit agencies as a delinquent payment, which is affecting my credit scores adversely. I do not feel this is fair at all, since I sent in my payments on time every month, and it was their mistake in not informing me about the payment change. This is clearly not a normal case of delinquent payment, and should not be treated as such. I have called Ditech multiple times asking for a written letter to give the credit agencies in which they state that the problem was their fault, they reversed the late charge, and that my payment should not be considered delinquent. They refused to provide me a letter. I also requested that they directly contact the credit agencies and fix this problem. They will not allow me to talk directly to anyone who can make a decision, and only say they will review the problem, but that they think the late payment is valid ( which makes NO sense, they already admitted it was their fault and reversed the late charge 4 months ago ). Not only was it their fault, but during my most recent call the agent discovered that they STILL had my mailing address wrong!!! Supposedly it has been corrected ... again. Attached are the XXXX and XXXX account statements that show the change in payment amount, the late fee initially assessed, and the XXXX statement that shows the late fee was removed.
Company Response: Company believes complaint is the result of an isolated error Closed with explanation

Timely Response

2017-11-27

Santa Ysabel, CA

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Company Response: Company believes it acted appropriately as authorized by contract or law Closed with explanation

Timely Response

2017-11-27

Cecil, NJ

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Company Response: Company believes it acted appropriately as authorized by contract or law Closed with explanation

Timely Response

2017-11-26

Lewisville, TX

Trouble during payment process

Mortgage: Conventional home mortgage

Complaint: On XX/XX/XXXX, Ditech Mortgage servicing informed me that I had an escrow shortage of approximately {$21000.00}. This was apparently discovered after an escrow analysis was completed. Prior to this date, an escrow analysis had n't been completed in three previous years. When the shortage was discovered, I was given the option of paying the shortage in one lump sum or paying an additional {$340.00} on top of my new mortgage payment, This discrepancy resulted in my mortgage payment increasing by nearly {$1100.00} per month. Another escrow analysis was completed in XX/XX/XXXX and I continued to pay the additional payment and the correct escrow payment. When this analysis was completed, it included the payment of my property taxes that were to be distributed on XX/XX/XXXX. On XX/XX/XXXX, I refinanced my mortgage and paid off Ditech that included the escrow shortage and the anticipated tax payment that was to be made on XX/XX/XXXX. I was also charged a minimum escrow balance amount of {$1700.00}, I believe Ditech owes me this payment as well as the anticipated tax payment of {$7700.00} which was part of the payoff amount that was made on XX/XX/XXXX. Ditech refunded me {$40.00}
Company Response: Company believes it acted appropriately as authorized by contract or law Closed with explanation

Timely Response

2017-11-24

Las Vegas, NV

Struggling to pay mortgage

Mortgage: Home equity loan or line of credit (HELOC)

Company Response: Company believes complaint is the result of an isolated error Closed with explanation

Timely Response