In May of 2009 I missed a payment with Litton Loan. We were on a repayment plan since we fell behind in August of 2008. With the house in foreclosure, I attempted to make arrangements to get
on a new plan and avoid foreclosure. I sent them all the correct
paperwork they asked for. First they said they never received it.
Then they said we didn't send them everything. I asked them how much
we owed, total. I was told, in one phone call, 4 different amounts.
It started at 10,000 and jumped to 18,000 then jumped to 11,000 then to
In dealing with Litton I found that they had not applied over $7,000 I had sent, per their agreement. In effect, they breached their own contract. This was told to me by one of Litton's employees. She could not figure out why they didn't apply those payments. She told me that at least 8 payments I sent were reversed. She also told me that according to Litton, I had not made a payment since 08/08.
Luckily for me, I kept all my Western Union receipts.
I decided to call their attorney. I had their attorney send me the reinstatement figures. Total amount that I owe, according to Litton's attorney is 11,726.50. Now, once we remove the late fee's Litton charged me for payments I made on time that were not applied and add the amount I did send, it drops the total amount owed to about 3,000 in fees (which include escrow they didn't contact me about doing).
The lady I spoke with told me that they (Litton) made the mistake and it was being fixed and for me to NOT worry about foreclosure as they will make sure everything is fixed. That was two weeks ago. I have called and left several messages to no avail.
I am in the midst of losing my house because they made a mistake and didn't apply any of my funds properly. I talked to one of their people today and I was told that this was still pending that the request was sent on the 16th of September. Almost two full weeks after I originally talked to them about it and they admitted their mistake.
So, I am fighting them with the foreclosure, but, since they are reporting that I have not made a payment on the house since 08.08, my credit is shot and even if I needed to get a loan, I can't because of that mistake. I feel for any of you dealing with Litton.