Fay Servicing, LLC

2019-05-03

Los Angeles, CA

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2019-05-02

Lynn, MA

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Complaint: I was approved for a short sale procedure agreement by the lender of my mortgage on XX/XX/2019. A buyer sent an offer to the lender that equaled the appraised value of my home ( {$350000.00} ) on XX/XX/2019. The lender then entered into the negotiation process with the potential buyer. Weeks went by, and I received no reply from the lender. The Lender then decided to close the file without further notice in the middle of them negotiating with the buyer, and they are now foreclosing on the property without any notice of that decision to myself nor my short sale attorney. It is also important to note that the buyer is still interested in buying, in spite of the lender not holding their end of the agreement in good faith. Another unfair practice by the lender occurred when they chose to keep payment methods confidential during my chapter XXXX bankruptcy. I called XXXX ( lender 's phone number ) several times, and both account managers ( XXXX and XXXX ) refused to provide me with that necessary information.
Company Response: Closed with explanation

Timely Response

2019-05-01

Chatham, OH

Trouble during payment process

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2019-05-01

New Market, AL

Struggling to pay mortgage

Mortgage: Other type of mortgage

Complaint: I am currently in a 3 month trial payment plan I have a assigned counselor her name is XXXX XXXX which I have spoken to, and schedule the 3 month payment plan. I first called to speak with XXXX XXXX, after I was unable to get her, I chose to speak with any of the agents which I spoke with a individual name ; XXXX on ( XX/XX/2019 at exactly XXXX XXXX ) I call for 2 things ; 1st to ask if the payment went through for XX/XX/2019 he said that it would probably post from my account tomorrow which was XX/XX/2019. I said o.k, I then asked him when was the next bill suppose to go through he said it suppose to draft from my account on XX/XX/2019. I told him I needed to make a change on the date for this draft out of my account. I would like to have that made on XX/XX/XXXX instead. Mind you me and my husband have had some difficult times with him having XXXX and being out of work for about 5 months. I didnt explain that to the individual ( XXXX ) because I know it was in the computer systems. He made a statement to me, why are you having this come out on the XXXX and then youre gon na have to make another payment on XX/XX/XXXX, it was how he made the state in a degrading way the ( FDCPA Act ) prohibits protects people who need to be treated with dignity and respect and the statement was intent to shame me. After a while I got very fed up with his degrading comment after I explained to him that I didnt like the way he was talking to me he quickly wanted to change it like he was saying it to protect me. I felt very belittle, his actions was very much unnecessary, I also asked him was the conversation being recorded I would so much appreciate if you could listen to this conversation.
Company Response: Closed with explanation

Timely Response

2019-04-30

Greenwood, CA

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Complaint: Please make this a rush as I have a sale scheduled for my property on XX/XX/XXXX and Im under a loan modification review. They have not removed the foreclosure sale. I sent Fay Servicing a new request for mortgage assistance packet, they advised me they have a full one and its in review but nothing is happening. Hi, my name is XXXX XXXX. I have some very bad issues going on right now with my servicer FAY SERVICING , LLC Investor XXXX XXXX XXXX XXXX. and about my previous banks. I'm having a very hard time dealing and working with my servicer FAY SERVICING , 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. When I opened my loan from XXXX XXXX XXXX my monthly payment was {$1300.00}. I couldnt pay them anymore due to my divorce my husband left me and left me in the waters. I applied for a Loan Modification and they told me to make some trial period payments of {$1500.00}. I paid all three times for the three months, on time. After the payments were done they transferred me to XXXX XXXX XXXX. I had the same story with them, they asked for trial period payments and so I had no other choice I paid {$1900.00} for three months, on time. XXXX XXXX XXXX transferred me to Fay Servicing , LLC who is now my current servicer. I paid a total of around {$10000.00}. I understand Fay Servicing is saying they do not see my TRIAL PAYMENTS that I have made to all previous servicers and banks in their payments histories but that was their plan all along to not input all payments made towards the TRIAL PAYMENTS so that there would not be any record of my payments being made and no way to track them. I know I made payments and I have paid way too much into someone elses pocket just for my loan to be transferred to the next servicer to get the same thing happen over and over again. I make a TRIAL PAYMENT I get no receipt of that, I get told that all is ok and next thing I know im transferred to another servicer and redoing the process all over again, sending them Request for Mortgage Assistance, all my documents and forms, then getting pre-approved for a loan modification but before it can get finalized I have to make 3 TRIAL PERIOD PAYMENTS which now seems that no one has record of these payments being made and once I make the 3 payments ( someone got a good bonus from my payments before transferring me to another servicer ) and next thing I know my loan is with another servicer. This now puzzles me that Fay Servicing is saying they have no record in the payment histories of the payments being made. Where did the payments go to? Who received the payments? Did the payments actually do towards my TRIAL PERIOD PAYMENTS? Did someone at all the banks and servicers receive a good bonus? Did the banks and servicers themselves receive these payments but did not document them in the payment histories? All of these questions puzzle me and have me thinking that there is a lot of fraud going on with banks and servicers together to try to milk out as much TRIAL PAYMENTS from borrowers as possible. As part of this bailout, on XX/XX/XXXX, the United States Government took over XXXX XXXX and pumped XXXX, which in XX/XX/XXXX, then Treasury Secretary XXXX XXXX said as much as {$200.00} XXXX would be pumped into XXXX XXXX and XXXX XXXX, 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 Fay Servicing , 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. Fay Servicing 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 hat served no purpose but to provide a basis for either engaging in Dual Tracking by selling my home and by denying loss mitigation options, such as loan modifications ; They failed to properly consider loan modification applications before trying to sell my home. 1. On information and belief, Fay Servicing , LLC does not own a significant majority of the loans on which it functions as servicer. 2. Economic Factors that discourage Fay Servicing , LLC from meeting its obligations under HAMP by facilitating loan modifications include the following : a. Fay Servicing , 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 Fay Servicing , 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 Fay Servicing , LLC charges borrowers that are in default constitute a significant source of revenue to it. Aside from income Fay Servicing , 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. 3. Rather than allocating adequate resources and working diligently to reduce the number of loans in danger of default by establishing permanent modifications, Fay Servicing , LLC has serially strung out, delayed, and otherwise hindered the modification processes that it contractually undertook to facilitate when it accepted XXXX of dollars from the United States. Fay Servicing , LLC delay and obstruction tactics have taken various forms with the common result that my loan serviced by Fay Servicing , 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. 4. By failing to comply with the California Homeowner Bill of Rights ; specifically, by engaging in the unlawful practice of Dual Tracking, Fay Servicing , LLC has left me in a state of despair and panic as I seek a loan modification from Fay Servicing , LLC, only to have my home wrongfully, oppressively and illegally sold out from under my feet. I now have a foreclosure sale for XX/XX/XXXX. I have sent them all documents but they still have not offered me anything. I have sent them documents again. I dont want them to ask for a trial period payment and then transfer me to another servicer and then go through the same thing the banks have been doing to me twice. I dont even know if those trial period payments I have paid when towards anything like my loan or did they just take it. I want to keep my home and pay a reasonable amount. I have a sale coming up on XX/XX/XXXX.
Company Response: Closed with explanation

Timely Response

2019-04-26

Chula Vista, CA

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2019-04-26

Phila, PA

Struggling to pay mortgage

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

Company Response: Closed with explanation

Timely Response

2019-04-25

Camden, DE

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Complaint: Fay Servicing , LLC ( Fay Servicing ) is under CFPB Consent Order File Number XXXX-XXXX-XXXX to abide by Loss Mitigation federal and state laws.XX/XX/XXXX Fay Servicing extended an offer to discuss foreclosure prevention alternatives. XX/XX/XXXX Fay Servicing confirmed my RMA ( request for mortgage assistance ) application was received and under review by its underwriting department. XX/XX/XXXX XXXX XXXX XXXX XXXX representing Fay Servicing at Delaware Superior Court Case No. XXXX-XXXX-XXXX filed among other things for default judgment for foreclosure - hearing is scheduled for XX/XX/XXXX at XXXX. During loss mitigation my loan was transferred from XXXX XXXX to Fay Servicing on XX/XX/XXXX.
Company Response: Closed with explanation

Timely Response

2019-04-23

Great Neck, NY

Trouble during payment process

Mortgage: Conventional home mortgage

Complaint: On XX/XX/XXXX a letter was sent to Fay Servicing from XXXX, XXXX XXXX XXXX on my behalf requesting an explanation or removal of a corporate advance charge of {$5200.00}. I had previously sent this request to XXXX XXXX, Account Manager at Fay Servicing explaining that this charge had no merit as I was not in default or foreclosure. It is now XX/XX/XXXX, and I have not received an explanation or correction on this matter. I know that within 30 days of talking to your service provider, there should be some kind of resolution ( or response ) to the problem and if there isnt, they have violated federal law. Additionally, I have stop receiving monthly mortgage statements for several months. Fay Servicing tried to have me accept a payment plan that was made by XXXX XXXX. I told them I did not want to accept it because I was paying my mortgage and the numbers XXXX listed were wrong and they were no longer my service provider. Additionally, I told XXXX XXXX that I would not sign off on XXXX XXXX Plan, and he told me that I did not have to sign off. This appears to be Fay Servicing trying to forcibly make me agree to a payment plan that I did not accept. I believe this to be illegal. All my payments made by check clearly outlined each month being paid. Instead, it is my assertion that Fay Servicing charged these amounts erroneously to corporate advance instead of the monthly statements to deliberately make it appear that I was in default of my loan. This is unethical.
Company Response: Closed with explanation

Timely Response

2019-04-19

Davie, FL

Trouble during payment process

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2019-04-18

Douglas, MI

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2019-04-18

Corona, NY

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2019-04-17

Artesia, CA

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2019-04-16

Daytona Beach, FL

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2019-04-12

Lakeview, NY

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2019-04-12

Fort Stewart, GA

Applying for a mortgage or refinancing an existing mortgage

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2019-04-12

IL

Incorrect information on your report

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

Account status incorrect
Complaint: Fay Servicing has been reporting my credit history to all 3 credit bureaus and that information is incorrect. To start they are stating they had my mortgage since XXXX and they were not even established as Fay Servicing until XXXX. Furthermore XXXX held my mortgage in XXXX to XXXX when it was sold to XXXX. Please see attached cover letter to explain more in detail with other docs involved to dispute this case.
Company Response: Closed with explanation

Timely Response

2019-04-11

CT

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Complaint: I filled a complaint against XXXX XXXX who bought XXXX XXXX. Back on XXXX XXXX XXXX approached to me ( I was ok with my original Mortgage with XXXX XXXX ) I bought my house for XXXX dollars back on XXXX. XXXX came over, valued my home at XXXX XXXX dollars. I thought was insane but they gave me all the appraisal documentation and lend me XXXX dollars in a XXXX which according to them it be locked at a low rate. I filed a claim through CFPB and looks like XXXX XXXX just send it to collections to a company called Fay Servicing. This was a predatory loan. I ask for this loan to get removed. Its my home and I have paid now more than the cost and not only that. My home is worth way less than what they claim. The house is worth XXXX dollars and according to them I owe XXXX XXXX dollars. I had to declare bankruptcy on XXXX because I just could not pay XXXX dollars a month instead of the original XXXX I was paying. THIS WAS A PREDATORY LOAN AND I AM LOOKING TO GET MY SANITY AND FINANCES BACK TO TRACK. I DEMAND FOR THIS LOAN TO BE REMOVED.
Company Response: Closed with explanation

Timely Response

2019-04-08

Corona, CA

Trouble during payment process

Mortgage: Conventional home mortgage

Complaint: On XX/XX/XXXX at about XXXX XXXX someone from FAY or hired from Fay servicing First of all someone taped a letter to my door extremely early this morning ( it was still dark out ) My security cameras alerted me because the person was lurking in my windows and tried opening my front door. I did call the police as attempted break in. That is when I found this letter attached left on my door. So now that I know it was someone from Fay I suggest you know that there has been a police report filed and security camera footage given to police. I do not know what you think you are doing. The letter also states that you tried to contact numerous times and that is also false and the letter dated XX/XX/XXXX and put on my door XX/XX/XXXX and mortgage is not even more than 3 days late on XX/XX/XXXX. I have zero missed calls from Fay and I have only received bills from you. You should let us know what creeper you sent to my house and my hidden cameras caught them. So if Fay is going to stalk my home then you will have problems.They put letters on my door with lies. This stalking me, I keep records of everything and whatever courier or employee you used is a creep and I will press charges. I was petrified at a break in. My niece and nephew were in the home and this is dangerous. And even as of today on XX/XX/XXXX I am am 38 days late and will be making a payment within the week. I have also had nothing but issues since they took from XXXX. They were attacking me and not sending out information. They did not even record until XX/XX/XXXX and were harrassing me in XXXX and somehow are missing a payment from XXXX which has caused the late issue. Then this morning I sent them an email after this debacle at XXXX XXXX. Then at XXXX XXXX This XXXX XXXX emailed me saying she has not heard from me for awhile.Which is just a generic email and she obviously is just trying to look like she is doing her job while not even acknowledging the email I sent her 6 hours prior. All I receive from them are my bills and there is no need for any other correspondence. Also I have zero missed calls from them so they are not trying to contact me and as of last month XXXX XXXX was contact not the XXXX XXXX. Also their customer service email has never responded to emails from even 6 months ago.
Company Response: Closed with explanation

Timely Response

2019-04-08

Trouble during payment process

Mortgage: Other type of mortgage

Company Response: Closed with explanation

Timely Response

2019-04-06

Detroit, MI

Trouble during payment process

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2019-04-04

CA

Struggling to pay mortgage

Mortgage: FHA mortgage

Complaint: My issue is with the CFPB. and the DBO. I talked with Federal Reserve Consumer they state, " Please be advised that the entity you are inquiring about is subject to supervisory oversight by the Consumer Financial Protection Bureau ( CFPB ) for certain consumer protection laws and regulations '' I also contacted Department of Consumer Affairs ( DCA ). Who stated, " Unfortunately, this is an issue that falls outside of DCAs regulatory authority. DCAs jurisdiction is limited to matters. Although the information you provided indicates that this is an issue that falls outside of the DCA 's regulatory authority, we would like to offer alternative options and information for possible resolution of your complaint. We recommend you contact the Department of Business Oversight ( DBO ) which protects consumers and oversees financial service providers and products '' I also contacted the California Monitor, which replied " Program was created in XX/XX/XXXX to review bank compliance with the XXXX XXXX Settlement. In the Settlement, five large banks promised to help homeowners and change their practices. In its two and a half years, the California Monitor Program has received and responded to over XXXX complaints from homeowners. Each complaint was put into a specially designed database to help families and enforce the laws. The California Monitor Program is now closed and will not be accepting any new complaints as of XX/XX/XXXX. Any complaints sent to the California Monitor Program will be forwarded to the Public Inquiry Unit at the California Attorney Generals Office. '' Even to XXXX XXXX XXXX Who said the main federal agency that is supposed to enforce these rules is the Consumer Financial Protection Bureau. And finally the XXXX.all advise me to contact the CFPB & DBO with my complaint, which I did and what YOU BOTH DID IS JUST FORWARD MY COMPLAINT, WHICH DID ABSOLUTELY NOTHING, WITCH ULTIMATELY HELPED IN LOOSING MY HOME. My original loan was through XXXX XXXX XXXX in XXXX. I since have had 2 Servicing Companies handle my loan. My complaint is against Fay Servicing, as I believe they acted in : Unfair Deceptive, and Unlawful Loss Mitigation Processes, engaging in unfair or deceptive practices Failing to respond to inquiries. Failing to provide accurate and timely information needed in consideration of eligiblity for, loss mitigation services, including loan modifications. Providing false or misleading information while scheduling and conducting foreclosure sales during the loan application process. Providing false or misleading information, while proceeding with forclosure, during the loan modification application process ; where I was in good faith actively pursuing a loss mitigation alternative offered by Fay Servicing. Misrepresenting that loss mitigation programs would provide relief from the initiation of foreclosure or further foreclosure efforts. I believe my servicing manager XXXX XXXX along with FAY SERVICING violated the requirements for a single point of contact. During the final stages in the process of LOSS MITIGATION APPLICATION. He would not respond to any emails or phone calls, as I tried desperately to get an update of the COMPLETED LOSS MITIGATION FORMS. I also believe DUAL TRACKING was used in the process of my loss mitigation application. Whereas, I thought we were working together to stop the foreclosure of my home. Instead XXXX XXXX along with Fay Servicing kept me in the dark about critical information about the process of applying for foreclosure relief, as they continued ahead with foreclosure proceedings, after submission of a Loss Mitigation Application. Ultimately, I lost my home to a FORECLOSURE AUCTION SALE. *I emailed Loss Mitigation Application to servicer on XX/XX/XXXX **I received Acknowledgement of additional documents dated XX/XX/XXXX ( return due date of XX/XX/XXXX ) [ Additional document requested was home and hazard insurance. ] **On XX/XX/XXXX I purchased the home insurance they required. I sent the proof of insurance documents via email and fax. *I received Acknowledgement of completed application on XX/XX/XXXX. **I received denial of assistance letter on XX/XX/XXXX. I tried to contact servicer multiple times with no response. My home was auctioned and sold on XX/XX/XXXX. The amount of time from the completed loss mitigation application to the foreclosure sale date was 76 days. In the Aknowledgement of Complete Loss Mitigation Application dated XX/XX/XXXX, it states that application will be evaluated within 30 days. They held on to my application for one month and 25 days. I was in compliance of everything Fay servicing had asked of me requiring documents of loss mitigation applications and in the time frame that they requested. And I thought we were working together in finding a foreclosure prevention alternative. When infact Fay servicing continued to move forward with the foreclosure. Fay Servicing filed a " Notice of Sale '' recorded on XX/XX/XXXX signed by trustee on XX/XX/XXXX. I again called my account manager at Fay Servicing regarding the auction/sale of my home as I began seeing my home on websites. he told me not to believe those websites regarding auctions as they were not regularly updated and maintained. He reassured me that he would certainly send notice, a letter, or an email, if my home would ever be scheduled for auction. I took him on his word, but now I realize I was just being strung along. I asked him if he could keep me updated via email due to the my continued phone problems. Being the location of my home is in an area where my cell phone constantly loses signal and drops calls. As I was concerned about this process being the final steps of the evaluation. XXXX XXXX emailed me on XX/XX/XXXX with a request to reply to his email with necessary identification information, which he listed. I sent the information immediately, and he responded immediately, confirming confirmation and he stated in the following email, " going forward communication would be via email.. Yet there no emails? I checked my email everyday, sometimes more than 3 times a day, waiting to hear from XXXX XXXX or anybody from Fay Servicing, but nothing. In fact there was no more communication from Fay Servicing or XXXX XXXX ever again, 55 days from the time that I submitted a completed loan application till the day Fay Servicing denied my application. Yet from the day they denied me help, from the day they sold my house was only 20 days! No time for appeal no time to fully understand what they just did to me, my family, my life. No time even pack up as I got an eviction notice 1 week later. This is so wrong. I seek justice. I want my home back with a chance of a fair loss mitagation process.
Company Response: Closed with explanation

Timely Response

2019-03-29

San Jose, CA

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2019-03-29

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2019-03-29

Wallington, NJ

Struggling to pay mortgage

Mortgage: Other type of mortgage

Complaint: I have notices from my Mortgage company which I do not understand and do not make much sense. I signed a home modification at 5.750 % with the agreement of a " Timely Payments Interest Rate Reduction. '' This was awarded to us in the beginning of XXXX with a 1 % reduction. Now, almost 2 years later, the company is taking that back and is forcing what they call a " Loan Deferment Arrearage. '' Which I do not fully even understand. They provide no choice but to agree, sign and notarize new agreements which will also add additional money to the back of the current loan, in addition to this " Modification Deferment '' of moneys that we currently do not owe, and an entirely new " Modification Agreement '' which will raise our monthly payments by XXXX dollars. This unforeseeable new payment is completely " NOT Affordable '' and agreeing to it will only set up my family for imminent failure. We have XXXX children all of which are very young in age. XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX These terms and provisions of these new agreements do not make sense and I have not consented nor have I freely or voluntarily executed any part of this agreement.. It has been exhaustively explained to another new account manager ( actually my 4th new account manager in just a few years time ) in addition to tonight 's conversation with this newly hired Vice President XXXX XXXX. This VP actually called me at XXXX - XXXX on XX/XX/XXXX of which I explained that this is a forced agreement. I explained that these are real human lives which will be negatively impacted just because his company decided that they can do what they wish, even ruin lives only to see their earnings increase. I recorded this conversation. It was unprofessional and if I didn't know better would have believed it to be a personal prank. Dates, numbers, facts and interest rates were not even correct. Again I stated that we do not have a comfort of a bank account, savings account, have no real possessions, investments or any additional means to satisfy such agreement. I asked how he could in good conscious force a family to accept a knowingly agreement of failure. Without even attempting to provide any affordable solutions. All he stated is that they " made a clerical mistake '' and this 1 % reduction was not agreed upon. I tried my best to explain that this is not a monopoly game. That there were indeed XXXX adults and XXXX children on the other end of this. I explained that the original agreement promised a interest rate reduction after 12 months of consecutive timely payments. This was ( much anticipated ) and discussed multiple times with the previous account manager. Unfortunately none of these previous account managers are there to attest to these facts. This was ( not ) a random stroke of luck. It was agreed upon and was no surprise to my family. I knew that I was not able to sustain a monthly payment of {$2800.00} and agreed to the terms of this loan mod. with the promise of a " mortgage rate reduction '' after 12 consecutive and timely payments.. Since this 1 % reduction was applied our family dynamics have changed. We had another baby and XXXX now worked part-time so she could be home more with the children. Now ( out of the blue ) Fay Servicing is claiming that this " Payments Reward Rate Reduction '' never existed and it was just a mistake and that it was never promised. They have done nothing but make demands and instill fear by bullying my family with documents which I have no or little recollection or understanding of and continue claiming that they made a mistake, we ( the homeowner ) are wrong and they are now going to add {$6.00} or XXXX to the principal loan in addition to raising the interest rate 1.0 % back to 5.750 %. This will increase our monthly mortgage payment to add an additional {$1000.00} to the amount that my family is accustomed to. This option is completely not affordable to my family. They offered no options, but to sign the new agreements today and apply for a loan modification afterwords. Knowing clear as day that a new modification would most likely increase the % rate even higher. This was a guaranteed failure for my family. They further instill fear by stating that " the foreclosure process has begun and will not be halted unless I accept these new terms on or before XX/XX/XXXX ''. This entire process has been nothing but terrifying. I honestly feel like this company is forcing me into the modern version of " walking the plank '' with my entire family. I explained over and over that this was untrue and it was NOT some random mistake. They are being unfair and I we are not responsible for their errors and they are bound by the terms of the prior modification ( which they conveniently have lost ) and neither of my previous account managers are employed there to confirm these facts. They simply do not care. Fay Servicing continues to change the rules and tell different stories. Everything changes so often that it is hard to remember who's who and all the different promises and agreements seem to fade away with each new account representative. I fear that they may have tricked me into signing my right and promise of this on-time rate reduction. I also fear that they are doing this exact same thing to other homeowners. Please .... I beg you to help my family in addition to any other family which this company may destroy. If I sign and notarize these new agreements then I am only setting my family up to fail.
Company Response: Closed with explanation

Timely Response