Date Received: 2023-11-02
Issue: Trouble during payment process
Subissue: Payment process
Consumer Complaint: My mortgage payments increased in XXXX of XXXX based on added insurance payments. Freedom Mortgage did not send me a letter through physical mail of this critically important document stating the new, higher mortgage payment amount. They claim to have emailed me at an old email address that I no longer use. Freedom Mortgage purchased my mortgage from XXXXXXXX XXXX XXXX and they probably received the old email address from them. I tried to update my email address with Freedom Mortgage and it took months for them to finally update it so I could log into my Freedom Mortgage account with my current email address. As of just a month or two ago, I can finally log in. However, this was just one issue. The bigger issue follows next. Freedom Mortgage increased the monthly payment in XX/XX/XXXX due to the added insurance amount. When I received a letter that they didn't receive my full payment, I called the company and paid the extra amount they told me I owed. This was I believe in early XXXX. I have also adjusted my monthly payments to the higher amount after the agent advised with the new monthly amount on our call. However, ever since the insurance has been added, they have been misapplying funds between the escrow account for insurance and the mortgage amount ( principal + interest ). I have been contacting Freedom Mortgage every single month about this when I receive their physical letter that they didn't receive my mortgage payment, which, they receive every single month as I have had my mortgage on auto-pay since they purchased my loan from XXXX XXXX XXXXXXXX. I also had added the additional amount they told me to pay every single month. I was promised last month by the agent that answered my call, about XX/XX/XXXX, that they found the issue, they were misapplying my payments between the mortgage and the escrow for insurance and this was causing the problem. The agent I spoke with on XX/XX/XXXX said that I had to pay an extra $ XXXX to bring my account current, which I paid that day, yet, I log into my account today and even though they received my XX/XX/XXXX payment, it says that I owe another payment of yet another entire mortgage payment and then some. I have always, always paid my mortgages in full payments, on auto-pay, every single month, my entire life. I had an over XXXX credit score as I pay all my bills on time every single month. I also spoke to Freedom Mortgage 's credit department, as they reported me to the credit bureaus for not paying my mortgage on time, which I have been paying on time and I paid the extra I owed as soon as I found out that I owed an extra amount, I increased my automatic monthly payments based on what they had stated as the new, higher monthly payment amount, and I paid an extra $ XXXX last month because the agent promised that this was the issue that was causing the misapplication of funds that somehow my escrow account was short, even though I pay double the monthly amount they pay out for insurance, as they said this would bring my escrow account into balance. Their credit department agent made all these notes after supposedly they fixed the payments misapplication issue on their end last month. The credit department agent promised that they would be mailing me a letter with the resolution about my credit as they have been messing up and that I should be receiving the letter in two week. I still haven't received the letter and it is XX/XX/XXXX, three weeks later. Freedom Mortgage is messing up my credit because they can not seem to fix their payments misapplication issue on their end. They need to cancel/rescind all their credit reports about my mortgage account as I have been making my monthly payments based on their communicated higher amount every single month. I even paid extra amounts twice, in XXXX and on XX/XX/XXXX as the agents on these to occasions advised that this would fix the issue and bring me current. I just called them again this morning and their agent hung up on me or got disconnected and it's been over an hour and they haven't contacted me back. I guess I have to call them again and deal with the same insane issue all over again, just like every single month, how they misapplied my payment again. This company employs people that clearly do not know what they are doing or how to fix their payments misapplication issue on their end between principal + interest and escrow accounts. I have zero confidence left in this company. I have been contacting them every single month, they promise they fixed the issue every single month and nothing happens. I work a full-time job, have a family and this is extremely time-consuming to have to deal with the same mistakes they make month after month. This company should probably not be allowed to purchase mortgages and to operate. I am in disbelief on how a mortgage company can be so inept in fixing a problem that they create on their end every single month by misapplying my payments and sending me letters that they didn't receive my payment when my payment is on auto-pay and they do receive it every single month, in full, based on what they communicated as my new, higher monthly mortgage payment amount. Please, please, please help!
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: FL
Zip: 32836
Submitted Via: Web
Date Sent: 2023-11-02
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-01
Issue: Trouble during payment process
Subissue: Escrow, taxes, or insurance
Consumer Complaint: In XX/XX/2020, I informed Freedom Mortgage ( Freedom ) of an Annual Fee that should be included/paid out of my Escrow Account. This is an approximately {$750.00} annual fee for the water/sewage pipe that connects to the county pipeline. Failure to pay this fee subjects the property to liens. Section 3 of the Deed in XXXX governs the Funds for Escrow Items. This section clearly reflects : a sum ( the Funds_ to provide for payment of amounts due for ( a ) tax and assessments and other items which can attain priority over this Security Instrument as a lien or encumbrance on the property, ( b ) leasehold payments or ground rents on the Property, if any ; ( c ) premiums for any and all insurance required by Lender under Section 5 ; and ( d ) Mortgage Insurance premiums to be paid by XXXX XXXX XXXX XXXX or the monthly charge by the Secretary instead of the monthly Mortgage Insurance Premiums. These items are called Escrow Items. This expressed language in the Deed of Trust clearly includes this annual fee. XXXX consistently fails to include this annual fee in my escrow analysis and to timely pay this annual fee claiming it is a utility bill or ground rent. I consistently explained to XXXX this is not a utility bill, tax bill, or ground rent because water and sewage is paid to XXXX monthly and taxes are paid semi-annually to XXXX XXXX XXXX. After going back and forth with XXXX, it eventually paid the fee after it had accrued late fees as well as collection fees. Freedom employees have claimed that they will note my account to have the escrow analysis updated to include this fee. However, the recent analysis fails to reflect this adjustment just like the previous years! I also requested XXXX employees send me the written determinations concerning this issue. To date, I have not received any written communication why XXXX refuses to timely make these payments or to include them in the escrow analysis. I believe that XXXX is engaged in negligent servicing of my loan that is in violation of 12 CFR 1024.17 ( c ) ( 4 ) that has caused damages, including a consistently deficient escrow account and increased fees due to collection fees, late fees, and interest. It is important to note that XXXX makes it difficult for borrowers to address these issues by ending its customer service email account and directing borrowers to fax in documents for their accounts. Furthermore, XXXX fails to respond to any requests to provide documentation of its alleged determinations that this fee should not be paid out of the escrow account. This is my last attempt to address this matter before I have to legal action against XXXX for negligent servicing.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: MD
Zip: 20774
Submitted Via: Web
Date Sent: 2023-11-01
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-11-02
Issue: Trouble during payment process
Subissue: Escrow, taxes, or insurance
Consumer Complaint: Our new insurance company sent information to Freedom Mortgage that our insurance was now placed with XXXX at the end of XXXX. I personally called Freedom Mortgage on XX/XX/XXXX, XX/XX/XXXX, and XX/XX/XXXX to provide them this information. I additionally sent them the same information via a message service on Freedom Mortgage 's website also on XX/XX/XXXX. Freedom Mortgage did not send out escrow payments at all, resulting in our homeowner 's insurance being cancelled. Freedom Mortgage claims they " had no knowledge '' of the change in insurance and are NOW trying to charge us for " their insurance ''. This is unacceptable and we will be filing complaints with the FTC, the Attorney General, IFCA and whoever else we need to, to get this rectified.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: WA
Zip: 98374
Submitted Via: Web
Date Sent: 2023-11-02
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-31
Issue: Incorrect information on your report
Subissue: Account status incorrect
Consumer Complaint: In XXXX, Freedom mortgage directed an unauthorized ( meaning not authorized by me ) allocation of funds from interest to principle. Instead of dividing the payment for XXXX into allocations of both interest and principle, they allocated 100 % of the payment to principle. I do not know why they did this and they are unwilling to admit to why they did this. Freedom mortgage reported that I missed a payment towards the interest of the loan for the month of XXXX. This has impacted my credit score which has dropped as much as XXXX points. Freedom Mortgage has called me stating they are a debt collector and requested that I not cash any checks they sent to me. Prior to XXXX I requested removal of PMI since I was eligible because my account was in good standing. They approved the removal of PMI and implemented it but the implantation resulted in accounting errors and miscommunication between internal departments. They incorrectly pro-rated over-payment of the PMI amount prior it's approved removal and started sending me checks in that amount. The month the PMI was to be removed was the same month the misallocation of the monthly autopayment was made to 100 % principle. They now state they have not made inaccurate reports to credit bureau 's but have stated that they have amended reports to state that my account is " current ''
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: CA
Zip: 94605
Submitted Via: Web
Date Sent: 2023-10-31
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-31
Issue: Trouble during payment process
Subissue: Fees charged
Consumer Complaint: Freedom Mortgage stated my home hazard insurance was expired very soon after taking over servicing of my mortgage. This was inaccurate as my insurance was paid at settlement just a couple months earlier for a full years term. Freedom has all my insurance information and is scheduled to pay the insurance out of escrow. Instead of verifying with the insurance company they automatically took out a more expensive policy and said I had to prove I still had insurance. The request came from a third party that was not Freedom mortgage and not using Freedom mortgage websites or phone numbers, so it appeared to be a scam. After I verified the insurance, Freedom mortgage rescinded the additional insurance. Reports from other Freedom mortgage customers on the internet report this is standard practice for Freedom mortgage even though they can verify customer 's insurance. This practice appears to be a deceptive trade practice by the mortgage company to try to get additional money out of their customers and put the burden on customers instead of verifying the insurance with the data they already have on file.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: NV
Zip: 89178
Submitted Via: Web
Date Sent: 2023-10-31
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-31
Issue: Applying for a mortgage or refinancing an existing mortgage
Subissue: Delays in the application process
Consumer Complaint: XX/XX/XXXX - I requested loan assumption be initiated by Freedom Mortgage with documented/signed third party authorization and buyer information of my home that I have financed with Freedom Mortgage. Representative claimed they would call the buyer ( person assuming my VA loan ) within one week. As of XX/XX/XXXX, buyer has yet to be contacted. After 5 attempts ( XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX ) to contact a live representative ( XXXX XXXX XXXXXXXX ) within the loan assumption department since XX/XX/XXXX, neither my buyer, nor myself have been able to reach a human being. XXXX 's voicemail promises a callback within " 24-48 hours ''. Still no returned call. When I did speak with XXXX on XX/XX/XXXX, she mentioned that the process would take 60-90 BUSINESS DAYS to complete. As a XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX, I can attest that this process is not hard. It would take a processor 1 week to verify employment and assets. It would take an underwriter one DAY to review all documentation to make a decision. Inspections are not required. Appraisal is not required. It's a basic credit underwrite. They claim that they have heavy call volume. Maybe they should HIRE??? This appears to be an intentional delay that is specific to discriminating against Veterans who are trying to sell their homes via VA loan assumption.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: MO
Zip: 634XX
Submitted Via: Web
Date Sent: 2023-10-31
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-31
Issue: Struggling to pay mortgage
Subissue: Trying to communicate with the company to fix an issue related to modification, forbe
Consumer Complaint: I fell behind because of Covid. Then coming out struggled with all the other bills as well. From forbearance there was a modification agreement being made and every time 5 times now. The documents were either not sent to all parties involved. Not sorted properly by freedom this ranges from XX/XX/2023 until present however the notarys that freedom sent out did their jobs to the book and still after sending them in. Documents on freedom mortgages side were miss handled or miss placed So finally I asked for the documents to be sent to all three addresses. They said fine. Only 2 would get sent out. This last time. Nothing was sent out. But now they took me off of the modification. Countless communication and still no results. Or I get answers after its too late Now with no where near what I owe my whole family is at risk of losing where they live. All record of communications are in freedoms possession
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: NJ
Zip: 081XX
Submitted Via: Web
Date Sent: 2023-10-31
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-30
Issue: Trouble during payment process
Subissue: Trying to communicate with the company to fix an issue while managing or servicing yo
Consumer Complaint: I assumed my mortgage which was an easy process after my divorce. Freedom was actually easy to work with. I was on my original loan. However, after the assumption, Freedom no longer will allow me to access my account online. I was not informed of any of this prior. I contacted them repeatedly about it, because that is how I normally pay. But no one was able to tell me way I could not do online, util finally I XXXX today, XXXX, and saw many angry people are having this issue since their assumptions. I am being treated like a XXXX. They are saying this is to protect my ex. I was on this loan before. I am the one who made all of the mortgage payments. Neither one of us had our SSNs on anything I had access to before so I feel like this is some kind of a weird cop out on their end. I no longer have access to my documents.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: IN
Zip: 46037
Submitted Via: Web
Date Sent: 2023-10-30
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-31
Issue: Incorrect information on your report
Subissue: Account status incorrect
Consumer Complaint: I contacted XXXX towards the end of my XXXX forbearance period and was told theyd contact me when it was time to pay. I ended up needing to pay a lump sum because they never got me my paperwork and erroneously put my mortgage in default. My credit report shows as 180 days late for XX/XX/2023 but on time for every other month. They also tried to increase my payment by XXXX dollars a month by claiming my annual water bill was monthly and I needed to clear that up. I made the payments on time and rectified the issue but am still being reported inaccurately by a company that has a history of inaccurate reporting and has been penalized for kickbacks.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: MA
Zip: 02703
Submitted Via: Web
Date Sent: 2023-10-31
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-10-28
Issue: Struggling to pay mortgage
Subissue: An existing modification, forbearance plan, short sale, or other loss mitigation reli
Consumer Complaint: The company, Freedom Mortgage is not giving me the options that according to VA guidelines are there for me.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: HI
Zip: 96822
Submitted Via: Web
Date Sent: 2023-10-28
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A