Seterus, Inc.

2018-09-10

DC

Trouble during payment process

Mortgage: FHA mortgage

Complaint: In XX/XX/2018, I reinstated my Seterus loan by making a payment of {$370000.00}. This reinstatement amount included past due taxes on the property for an amount of approximately {$250000.00}. During the reinstatement process, I questioned whether the {$370000.00} payment would bring my escrow account to a {$0.00} balance. Seterus responded that this indeed was the case. The following month, I received a statement from Seterus stating I have a negative escrow balance of {$140000.00}. BetweenXX/XX/XXXX to XX/XX/XXXX, I have contacted Seterus via the telephone and in-writing to request a Forensic Audit of my escrow account. Seterus did respond ; however, they did not address the issue of the {$140000.00}. They simply provided details of all the payments that have been made from my escrow account. On XX/XX/2018, I contacted Seterus and spoke to a Customer Service Ambassador ( XXXX XXXX ) and she acknowledged that there indeed is an issue and she would take it upon herself to research the issue and assist me in seeking resolution. She indicated that she would follow-up with me in a few days to provide an update. Between XX/XX/2018 and XX/XX/2018, I have called multiple times requesting that XXXX contact me. I have yet to receive a response. On XX/XX/2018, I spoke to a Customer Service Manager ( XXXX XXXX ) and she offered to research the issue and follow-up with me. XXXX did indeed do some research and she landed at the same conclusion that there is an issue. When I questioned next steps, she simply stated there is nothing that she can do. With further research, I have also determined that my reinstatement amount of {$370000.00} included penalties and interest for {$70000.00} while I was making payments in a timely manner. Since I was on-time with my payments and since I paid the amount to Seterus, I would like a refund of the {$70000.00}. Seterus representatives have no interest in assisting me seek resolution to this issue be it over the phone or in writing. I am amazed by the lack of Customer Service by a company that prides itself upon being a XXXX subsidiary.
Company Response: Closed with explanation

Timely Response

2018-09-07

El Paso, AR

Trouble during payment process

Mortgage: Other type of mortgage

Company Response: Closed with explanation

Timely Response

2018-09-06

Key Biscayne, FL

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Complaint: I was pulling into a for variance after hurricane Irma I was told at the end it can be put back to the end of my Mortgage. Now they want me to do a loan modification I am not working I am a single parent I was diagnosed with XXXX XXXX very aggressive Im trying to get XXXX .. my Loan its being served by Seterus . My lender its XXXX XXXX
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response

2018-09-05

Beallwood, GA

Trouble during payment process

Mortgage: Conventional home mortgage

Company Response: Closed with explanation

Timely Response

2018-08-31

ME

Trouble during payment process

Mortgage: Conventional home mortgage

Complaint: According to Federal Law the PMI is to be removed automatically once the balance of the mortgage is 78 % or less of the homes original value. Ive contacted the lender and they are using a XXXX loan modification to push the date out to XX/XX/XXXX. Original value was {$190000.00}. Mortgage balance is XXXX approx.
Company Response: Closed with explanation

Timely Response

2018-08-30

Daytona Beach, FL

Attempts to collect debt not owed

Debt collection: Other debt

Debt was paid
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response

2018-08-30

Hialeah, FL

Incorrect information on your report

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

Public record information inaccurate
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response

2018-08-29

Compton, CA

Trouble during payment process

Mortgage: Conventional home mortgage

Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response

2018-08-29

Tucson, AZ

Struggling to pay mortgage

Mortgage: Other type of mortgage

Complaint: My loan originated back in XX/XX/XXXX. It is an Adjustable Rate Mortgage ( ARM ). During these 13 years I have never been past due. My loan originated with XXXX XXXX XXXX, and transferred to SETERUS. On XX/XX/XXXX I applied for a modification/assistance so that it is not such a struggle. I am XXXX making {$1700.00} per month and my mortgage payment has been {$1000.00}. Since it is an ARM Loan the rate will adjust on XX/XX/XXXX bringing my PAYMENT TO XXXX XXXX monthly and my DTI to 68 %. The other reasons for a modification request is I am underwater -- value of Condominium is {$110000.00} and I owe {$130000.00}. So, there are three very valid points as to the need of a modification, LTV, DTI, and loan an ARM. I was denied for the modification onXX/XX/XXXX just 7 days after submission and SETERUS stated it was because I am not past due. It is hard to believe I would have to fall behind on my payments and ruin my stellar credit score because of this rule. I AM NOT LATE SO THEY CAN NOT HELP ME. The loan also happens to be a XXXX XXXX loan -- is it really necessary to force be not to make my payment to get the assistance I need? Please HELP.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response

2018-08-27

Wonder Lake, IL

Struggling to pay mortgage

Mortgage: FHA mortgage

Complaint: My company, Seterus Inc., was supposed to help me with a loan modification in lieu of losing my home. Instead, they put a XXXX balloon payment on the back of my mortgage, making it impossible to payoff.
Company Response: Closed with explanation

Timely Response

2018-08-27

Dallas, TX

Trouble during payment process

Mortgage: Other type of mortgage

Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response

2018-08-27

Bozeman, MT

Trouble during payment process

Mortgage: Conventional home mortgage

Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response

2018-08-27

Houston, TX

Struggling to pay mortgage

Mortgage: Other type of mortgage

Company Response: Closed with explanation

Timely Response

2018-08-27

Cheverly, MD

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Complaint: XX/XX/2018 Our Mortgage is current, and the payment is {$2000.00}, The Mortgage Company is Seterus, Inc.. All payments to Seteus are drawn through XXXX XXXX XXXX . Enclosed, you will find evidence which show that the payments were made. The Seterus Mortgage statements or letters show that the payments were made for XX/XX/XXXX, XX/XX/XXXX, and XX/XX/XXXX However, the Mortgage Company has returned the payments or not given credit to the payments ; making it appear that we are in arrears. Our paid YTD statement was {$12000.00} as of XX/XX/XXXX, and our YTD statement was {$12000.00} as of XX/XX/XXXX. On XX/XX/XXXX paid -- -- -- -- -- -- -- - {$2000.00} On XX/XX/XXXX paid -- -- -- -- -- -- -- -- - {$2000.00} On XX/XX/XXXX paid -- -- -- -- -- -- -- -- - {$2000.00} The XX/XX/XXXX payment was made on XX/XX/XXXX, and the payment was returned on XX/XX/XXXX. XX/XX/XXXX payment was paid again on XX/XX/XXXX. XX/XX/XXXX payment was paid XX/XX/XXXX. XX/XX/XXXX payment was paid on XX/XX/XXXX. My husband & I are both Senior Citizens, and our income is derived from Social Security. We are both hardworking Americans. We are concerned that Seterus would send us a Mortgage Statement for {$8300.00} to be paid by a cashier check. All of our previous payments have been done through Automatic Checking/Speedpay. The Mortgage Payments are current except for late fees.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response

2018-08-24

Ft Lauderdale, FL

Problem with a credit reporting company's investigation into an existing problem

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

Their investigation did not fix an error on your report
Complaint: I had a mortgage with Seterus and was never late on payments. In XX/XX/XXXX, Hurricane Irma hit Florida and Seterus provided me with a disaster forbearance on XX/XX/XXXX. The loan is backed by XXXX XXXX which states that " the servicer must suspend the reporting of loan delinquencies to the credit bureaus while payments are suspended during an active ( disaster ) forbearance plan ''. IMPORTANT : During a phone call to Seterus in XX/XX/XXXX, I asked the Seterus agent what would happen if I sell the property during the forbearance. The agent said that it would be OK and it will would not affect my credit report at all. Furthermore, she did not say that I needed to pay the deferred payments before selling the home or they would report the loan as delinquent. She said that XXXX XX/XX/XXXX, I received the forbearance agreement. On page 1, item 2, it says Pay Seterus regular installments of {$0.00} between XX/XX/XXXX and XX/XX/XXXX. It also says on page 2, item 6, that this agreement may have credit reporting consequences. I called Seterus right away and the customer service agent said that this is a disaster forbearance and Seterus would not report missed payments on my credit report. She said to disregard that. On XX/XX/XXXX, Seterus sent me a loan payoff letter. It does not say anything about the loan being in deferment. It does not say that I needed to pay the deferred payments before closing. ***The payoff letter says to make payments when due and according to my forbearance agreement, the payments due were {$0.00} between XX/XX/XXXX and XX/XX/XXXX. See Attached " Seterus Forbearance.pdf ''. In XX/XX/XXXX, I sold the home and the mortgage was paid in full ( during the disaster forbearance plan ). In XX/XX/XXXX, I was shopping for a new home and mortgage. I was told by a mortgage broker that I can not be approved for a mortgage because Seterus had reported my loan as having a maximum delinquency of 60-89 days on my XXXX and XXXX credit reports. He said federal guidelines do not allow any mortgage delinquencies within the past 12 months. This was the first of my knowledge that Seterus had reported the delinquency on the loan. So I called Seterus and they said that although the loan was paid in full, the loan was not current when it was closed, that the deferred payments would be reported as delinquent. I disagree because they needed to apply the check for {$92000.00} to my loan, then cancel the forbearance plan, then close the loan in their system. So technically, it was paid in full before it was closed. It's wrong to offer a forbearance plan and say that it will not affect my credit. Then I pay the loan in full during the forbearance. Then they tell the credit reporting agencies that I was delinquent. This is not right. All they said was that I needed to pay all of the deferred payments before the forbearance expiration date of XX/XX/XXXX. I did that by sending them a check for {$92000.00}. Additional information : - The reports make no mention of a disaster forbearance plan. Both XXXX and XXXX show the status as maximum delinquency of 60 days. - Seterus sent me a forbearance agreement which makes no mention of what happens if I sell the house during forbearance. Specifically, it does not say that the payments need to be current if I sell the house during the forbearance period. Additionally, this requirement is not shown anywhere online within XXXX website. - Had I known that deferred payments would be reported as delinquent, I would have paid them in full prior to selling the home. Also, if I had have known if they were to report delinquencies my credit report, I would have not applied for the forbearance in the first place. I have never once made a late payment during the entire length of the loan and I have never made a late payment on any other loan or credit card. I've always paid every account on time.
Company Response: Closed with explanation

Timely Response

2018-08-24

Everett, WA

Incorrect information on your report

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

Account status incorrect
Complaint: Dispute/Complaint Summary : Seterus Inc. reports that I did not pay them on time and that I am many months delinquent. I did pay them on time, but for almost five years, during our Chapter XXXX bankruptcy in which this mortgage was excluded, Seterus failed to send me statements and to tell me the payment amount due had gone up. They did send me some late and inspection fee notices but when I questioned them they said nothing could be done until the bankruptcy was discharged. I have asked Seterus to remove the late payment reporting from our credit reports and to waive the fees because they did not properly communicate with us. They declined. Detailed Narrative : Re : Seterus failures to communicate payment changes and to remove late payment reporting to the credit bureaus. At best, Seterus has shown incompetence and willful disregard for fairness and accuracy in its communications ; at worst it is guilty of criminal malfeasance and intent to defraud in the servicing of our mortgage payments, communications, and reporting to credit bureaus. We are attempting to get this rental property loan reinstated or refinanced, improper fees credited, and related erroneous late payment reporting removed from our credit reports, so that my wife and I can get a mortgage and move to a single level home as soon as possible, hopefully before we can no longer get up and down stairs. In response to my written request, on XX/XX/XXXX, Seterus wrote we decline to remove or change any late payment information reported to the credit reporting agencies, as we are required to report the loan accurately. We have reviewed the late payment reporting, and found it to be accurate. The late payments accumulated unbeknownst to us during the five years of our Chapter XXXX bankruptcy, filed in XX/XX/XXXX and discharged in XX/XX/XXXX. This mortgage was excluded from the bankruptcy plan by our attorney because he said we should let the house go into foreclosure or sell it ourselves, because it was unexpectedly vacant. Following his advice, we did not make the four payments from XX/XX/XXXX through XX/XX/XXXX. Then we found new tenants and decided to try to keep it as an important part of our retirement plan. Seterus offered us a Modified Mortgage and we made the Trial Period Plan payments starting in XX/XX/XXXX in the amount of {$1400.00}. We sent the signed Loan Modification Agreement paperwork to Seterus in XX/XX/XXXX. On XX/XX/XXXX I made the new trial period payment of {$1400.00}. Then I made the additional required trial period payments, and have made the same payments every month since then until XXXX of this year when I made the new escrow adjusted payment of {$1600.00}. Then Seterus returned our XXXX payment and told us the mortgage was in default and headed for a foreclosure sale. They offered us a new Loan Modification with Trial Period Payments of {$1500.00} which we made on XX/XX/XXXX and XX/XX/XXXX. Instead of committing to a modified 40 year loan we prefer to reinstate the original 30 year loan or refinance at a lower interest rate for 20 or 30 years. On XX/XX/XXXX our attorney faxed and mailed to Seterus a letter authorizing and requesting Seterus to send statements and other correspondence concerning our account directly to us. Seterus did correspond directly with us in setting up the trial period payments and the LMA, but did not send to us subsequent statements and modifications to the escrow account. In a letter dated XX/XX/XXXX Seterus admitted that it failed in error to implement the XX/XX/XXXX Loan Modification Agreement. During the five years Seterus did periodically notify us of late fees, inspection fees, and attorney fees, with the statement : If you are in a bankruptcy proceeding you will not need to pay these assessments When I repeatedly called about these I was told that because we were in bankruptcy there wasnt anything we could do to make them stop, and that the fees would be taken care of after the bankruptcy was discharged. They didnt tell me that the payments I was making were not enough to be current and that the LMA had not been implemented, until I recently called about the foreclosure notice. Seterus claimed they could not send us statements because we were in bankruptcy : That is not true because Seterus sent us statements for the other loan they service for us. Also, XXXX XXXX XXXX XXXX did a loan modification agreement with us on our primary residence early in the bankruptcy with no issues, and they send us regular statements. I dont believe Seterus reported late payments to the credit agencies until a few months ago, in XXXX or XXXX, and then they reported that I was 120+ days late, even though by then, according to their suspense calculations and all the fees, I was 9 or 10 months late. This loan was excluded in the very beginning from protection under the original bankruptcy plan. Seterus applied for and was granted relief in XX/XX/XXXX, and from their XX/XX/XXXX letter : we removed this bankruptcy from our system on XX/XX/XXXX. Even after these events, Seterus did not send me statements and escrow analyses. They did not help me to understand what happened and didnt happen, and the options of what I could do to get on their track, until recently, while they simultaneously began reporting late payments even though I was still making what I thought were the correct payments on time every month. Earlier this year they sent me their Contractual Payment History and Customer Account Activity Statement, but they are confusing and difficult or impossible to understand even by their customer service reps, and possibly full of incorrect entries. I dont trust the accuracy of their Total Amount Due to reinstate the loan. My online search of the XXXX XXXX servicing guidelines indicates that Seterus did not follow the specific requirements for outbound contact attempts ( Part D, subpart 2, chapter 2 ( D2-2-02 ) ). If they had, I would have known about the delinquency within a month or two, back in XX/XX/XXXX, I would have made the revised payments, and none of this would have happened. My experience with Seterus, and my Consumer Financial Protection Bureau ( CFPB ) research indicates there are many more Seterus customers with similar experience, points to reactive rather than proactive customer service. When required monthly payments increase but the customer continues to make the same payments as before the increase, the system should flag someone to ask why. If the answer is that Seterus failed to notify the customer, then corrective measures should be taken. We have applied for financing for a new home but we were told they wont deal with us until the Seterus lates are removed from our credit reports. What is our recourse? Can Seterus be motivated or required to remove the late payment reporting from our credit reports and to waive the fees because they did not properly communicate with us?
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with monetary relief

Timely Response

2018-08-24

Doral, FL

Trouble during payment process

Mortgage: Conventional home mortgage

Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response

2018-08-23

Haverstraw, NY

Struggling to pay mortgage

Mortgage: Other type of mortgage

Company Response: Closed with explanation

Untimely Response

2018-08-20

Ampthill, VA

Trouble during payment process

Mortgage: Conventional home mortgage

Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response

2018-08-19

Ft Myers, FL

False statements or representation

Debt collection: Mortgage debt

Attempted to collect wrong amount
Complaint: In XX/XX/XXXX we requested and received a forebearance on our mortgage payments for 6 months due to our inability to work because of Hurricane Irma. Each month we received letters threating foreclosure. In XX/XX/XXXX when the forebearance was over we still couldn't pay the full amount ( 6 months of payments ) due in one lump sum. We attempted to negotiate payments that would not cause severe financial difficulties. Seterus, the debt collector, gave us a 3 month trial period with payments that were {$780.00} more than our original monthly amount. We paid the 3 months as directed, on time - each month receiving letters threatening foreclosure on our house. After the trial period was over we were offered a loan modification which not only extended the length of the loan, but now included escrow in the loan payment amount. We have never paid monthly escrow because we get paid 26 times a year and use the extra pay checks for taxes and insurance. Using escrow increases the monthly bills substantially and doesn't make the payments affordable. We declined the modification and spoke to representatives from Seterus on a weekly basis between XX/XX/XXXX and XX/XX/XXXX in an effort to come up with reasonable monthly payments that would pay the past due amount. They kept saying they were " working on it ''. Not knowing what to pay for XX/XX/XXXX payment, we made a payment of {$1600.00} - my husband tells me he had a method of coming up with that amount, although I think the XXXX was otherwise fitting. On XX/XX/XXXX we received another threatening letter " demanding '' {$5700.00}. This amount seemed reasonable so I called Seterus to pay it off and be done with the threats of foreclosure. When I called on XXXX, however, the amount changed to a lump sum of {$7000.00}. I was told this was the amount due on that date. I received a confirmation email from Seterus of the transaction on XX/XX/XXXX and on XX/XX/XXXX the amount was withdrawn to Seterus from my account. On XX/XX/XXXX, we received 3 items in the mail from Seterus. ( 1 ) A letter stating that the payment of {$7000.00} did not go through - that the " financial institution account number provided is invalid. '' ( 2 ) An Account Statement requesting {$1400.00} as a XX/XX/XXXX payment. We were told our monthly payments would return to the pre-hurricane amount of {$1300.00}. The statement also shows that a loan payment of {$7000.00} made XX/XX/XXXX is in " suspense '' and our XXXX payment of {$1600.00} was also in " suspense ''. ( 3 ) Another " trial '' period of 3 months at payments o {$1800.00}. The hurricane was bad enough, but to have to go through XXXX with Seterus only made it worse. We paid off the amount due to the harrassment and the inconsistencies between amounts we were offered by Seterus representatives on the phone ( we have names, dates and amounts for most of these conversations ) and a barrage of letters from Seterus - all stating different amounts. Seterus has not only been extremely difficult to work with through this process, they have caused us both financial and mental stress. We refinanced in XXXX in order to get away from Seterus, only to have our refinanced loan back in their hands. They are horrible.
Company Response: Closed with explanation

Timely Response

2018-08-17

TN

Struggling to pay mortgage

Mortgage: Conventional home mortgage

Complaint: We are reaching out again hoping you can step in and help us save our home. My husband and I fell behind on our mortgage payments when my husband became very ill. As I stated in my first letter, he was struggling with XXXX and started also suffering from XXXX XXXX due to XXXX XXXXXXXX. His health continued to deteriorate and he was no longer able to work. I've been fighting an uphill battle to work with my bank to get back on track. I fill out, collect and send in paperwork over and over because it somehow gets lost. I would receive letters in the mail, but every single time I tried to reach someone on the phone, Id be on hold forever and never reach anyone. I'd be directed to the website for forms, but the link would be broken ( and still is ). My heart broke again today when I called and was told we weren't approved because I didn't make enough money. One representative told me I could appeal if i could show we have additional money coming in. I tried to find a form for this, called back and the next person spoke to, XXXX, told me there was no such thing as an appeal and they were taking my house in less than 30 days.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response

2018-08-16

Birds Lndg, CA

Struggling to pay mortgage

Mortgage: Other type of mortgage

Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response

2018-08-15

Bis, ND

Trouble during payment process

Mortgage: Conventional home mortgage

Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response

2018-08-14

Centerton, OH

Trouble during payment process

Mortgage: Conventional home mortgage

Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response

2018-08-13

Cheverly, MD

Trouble during payment process

Mortgage: Conventional home mortgage

Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response Closed with explanation

Timely Response