I purchased a home and financed through PHH mortgage. Between the closing and paying my daughter's final tuition bill for college, my savings was pretty well emptied.
Last fall I had a stroke and was in the hospital, had used up all my sick time and had high medical bills.
I could not pay December payment until paid on the 31st but the web site would not allow me to make a payment as I usually did. I mailed it in and heard nothing. Made January's payment at end of January; neither one was ever cashed.
I knew I was behind and tried to get a letter from PHH where I could have the total amount due, in order to withdraw funds from my 401K to bring the account up to date and pay medical bills.
I began asking for this in February and was promised to have it faxed to my 401k by end of day Feb. 16 2011. I would have had account up to date by end of February had this been done. Instead, an Indian supervisor decided not to send the letter and lie to me that it had been done. I then began a very long and intense month of trying to receive this information.
PHH sent my file back and forth to Atlantic Law Group. I suspect that they intended to foreclose and sell my house, as Atlantic Law Group is in the business of auctioning off foreclosed homes.
I called PHH and Atlantic Law every day for a week and my file was "lost". I asked if I could send in partial payment and they refused even though they would not tell me the acceptable total amount. Then they had the nerve to send a letter saying they could not reach me by phone after I had spent about 20 hours on the phone with the company.
I finally after numerous attempts, contacting HUD, FHA, Federal Reserve, Delaware Banking Commission, Delaware State Attorney General and others, received the letter. They added on more than a mortgage payment in "legal fees" and refuse to tell me what constituted the legal fees.
Along the way I received a letter from the Atlantic Legal Group telling me my home had been placed for sale. This bypassed several steps in Delaware foreclosure law, including filing a complaint with the court, giving me 20 days to indicate why the house should not be sold, and going through a court hearing where a judge approved the sale of the house.
I got the money together (will have to go without buying groceries or the medicine to prevent another stroke this month but will stay in my home). I went to Atlantic Law's office on N. Market Street in Wilmington and found only a handful of clerical employees, no lawyers in evidence.
PHH refuses to provide a breakdown of the legal charges provided by Atlantic Law at the end of march, what was to be included in the "projected additional legal fees", or the names of actual attorneys who worked on my file so I can verify their credentials with the Delaware bar association.
They also have made mistakes in the documentation from Atlantic Law - requesting that I immediately pay off the entire original amount of the note (with no reduction in principal for mortgage payments that had been made), and using my former name on the receipt for funds in what I believe is an attempt to have them misapplied, as the name is a common one. (I remarried a year before getting the mortgage and took my husband's last name as my legal name. This is the name that has appeared on all documents and the cashier check used to pay the delinquent amount).
I do not believe that my credit report should show the delinquency for February and March as I would have paid in February had they told me the amount due. I also believe I should not have to pay nearly $2,000 in legal fees when it is very obvious based on the chain of correspondence that PHH and Atlantic Law were playing hide the file to avoid giving me the information I requested.