Stonegate Mortgage Corporation

The recent request for a modification was denied based on payment history and the ability tocontinue making the contractual payment. Our records indicate previous conversations statingthat a modification would not remove the mortgage insurance premium from the account sincethe loan would need to be...

seasoned at least five years from the date of origination and the loanto value ratio has to be at 78% or less. The current LTV is 92.1%, thus requiring mortgageinsurance premium to remain on the account.

Per the terms of your deed of trust you are required to maintain flood insurance coverage on your account. If you do not supply proof of coverage the Servicer of your loan (Stonegate) may take a policy on your behalf to ensure the collateral of [redacted] is protected from loss....

Stonegate did not receive sufficient proof of flood insurance coverage for the period of March 26, 2014 through May 19, 2015. As a result Stonegate purchased flood insurance for this period on your behalf in the amount of $1,041.96. If you can provide us with proof of flood insurance coverage for this period we will gladly issue a refund for the lender placed policy and run an updated escrow analysis. It is important to note Stonegate sent you two written notifications regarding the flood insurance deficiencies in 2014 before we charged the lender placed insurance policy to your loan.Your upcoming Allstate Flood insurance bill is due on July 19, 2015 for the coverage period of May 19, 2015 through May 19, 2016 and will be paid from your escrow account once your updated declaration page is received from Allstate. Based upon your request, we completed a new escrow analysis on your account with your updated Allstate Flood Insurance Policy effective for the May 1, 2015 payment.   Your May 1, 2015 installment has been updated to $814.47.  The new escrow analysis resulted in a total escrow shortage in the amount of $99.37 which has been spread over period of 12 months to help reduce the impact of the payment increase. As of the date of this letter your account is still due for May 1, 2015 installment, please remit funds as soon as possible in the amount of $814.47 to avoid negative credit reporting. We will be happy to delete your May 2015 credit reporting due to the issues you have been facing with your Flood Insurance.  Additionally we have waived the outstanding late fee balance of $75 on your account.Again if you can provide us with proof of flood insurance coverage for the period of period of March 26, 2014 through May 19, 2015, we will gladly issue a refund for the lender placed policy charged to your account and run an updated escrow analysis.

On February 17, 2015 Stonegate received an email from [redacted] requesting a payoff statement good through March 5, 2015 for Mr.[redacted]s account (Loan number [redacted]). On February 19, 2015 our payoffdepartment provided Ms. [redacted] with the payoff statement and wiringinstructions. At that time,...

we informed Ms. [redacted] that FHA loans closed on orbefore January 21, 2015 require interest calculated through the first day ofthe next month. Your loan with Stonegate closed on October 30, 2013.  This calculation of interest is set by HUD, per Important Noticeto Homebuyers ([redacted]).  Consumer Direct Mortgage should be aware ofhow interest is calculated on FHA loans. A copy of the quote, includinginterest through April 1, 2015, was provided to both you and Ms. [redacted] and isattached for your review. Stonegate did not attempt to delay or halt the process of yourpayoff. Stonegate did attempt to contact you in an effort to retain your loan,however, that attempt at contact in no way affected the timeline of your payoffrequest and it was noted in our system that you had a loan in process withanother company.

November 26, 2014 [redacted]  Subject:                Response to Revdex.com Case...

#:  [redacted]                                StonegateMortgage Corporation Loan #:  [redacted]& [redacted] RESPONSE DearMr. [redacted]: Pleaseaccept this letter as Stonegate Mortgage Corporation’s (hereafter, “Stonegate”)official response to this complaint.  Thisletter is intended to respond to and address the concerns related to the refinanceof your mortgage loan. Iapologize for the issues that occurred during the refinance of your loan. The concernsthat you outlined in your complaint have been resolved.  Your original loan number [redacted] has beenpaid in full. No additional funds will be required from you. Stonegatecorrected the credit reporting for your September and October payment.  No negative credit will show on your credithistory as a result of the payoff of your loan with Stonegate.  Stonegatedid contact the Fulton County Tax Commissioner’s office in regard to the issueof the duplicate payment of taxes. We were advised that you will receive arefund of the duplicate tax payment within the next several weeks.  Your new loan [redacted] is current and thenext scheduled payment will be for the December 1, 2014, installment in theamount of $1,983.18.   AtStonegate, our customer relationships are important to us.  As such, let me assure you we will workdiligently to ensure we address any issues that might be of concern toyou.  If you have any further questionsor concerns please contact me directly at 1-800-686-2404 ext. [redacted]. StonegateMortgage Corporation reserves the right to supplement this response as moreinformation becomes available.  Shouldyou require further information, please do not hesitate to contact [redacted],Legal Counsel directly at 317-663-5636 with any questions or concerns. Sincerely, [redacted]Senior Vice-PresidentStonegate Mortgage Corporation Enclosure:            Original ComplaintCC:                         [redacted]

Please be advised that we received sufficient proof of insurance for the property located at [redacted], MN 56672. A letter was mailed to you on March 20, 2015, advising you that this issue was resolved (attached). Please note that you have not been charged and will not be charged for...

any form of lender placed insurance.  Servicing for your loan was transferred to [redacted], Inc. effective November 1, 2014. Any future insurance concerns should be addressed by them.

Revdex.com:
I have reviewed the response made by the business in reference to complaint ID [redacted], and find that this resolution would be satisfactory to me. They sent me exactly what I was waiting for in Certified Mail.
Regards,
[redacted]

On Thursday, March 9, 2017, your escrow administrator spoke to you regarding the miscommunication about the payment to your contractor.  As was discussed, the HUD consultant determined that the previous contractor was to be paid $24,311.  Once the previous contractor agrees to this amount...

we will move forward with the new contractor to get the project completed.  If you have any additional questions or concerns, please contact us.

Revdex.com:
I have reviewed the response made by the business in reference to complaint ID [redacted], and have determined that the response would not resolve my complaint.  For your reference, details of the offer I reviewed appear below.
The representatives at Stonegate that I talked to never informed me about filling out the workout packet. If they would have informed me about the workout packet after sending the accepted purchase offer on the house I would done that. I firmly believe Stonegate Mortgage should make their employees inform you with that information first thing. Since Stonegate mortgage did not inform me to fill out the workout package after the accepted purchase offer. I would like Stonegate Mortgage to reimburse me $1,751 for not originally informing me about the workout package and if not I will escalate the issue and will consider filing a lawsuit against Stonegate Mortgage for attorney fees and damages for making a foreclosure show up on my credit report when I already sent Stonegate an accepted purchase offer on the house.
Regards,
[redacted]

Revdex.com:
I have reviewed the response made by the business in reference to complaint ID [redacted], and find that this resolution would be satisfactory to me.  I will wait until for the business to perform this action and, if it does, will consider this complaint resolved. I actually got a hold of the senior vice president and he resolved the issue himself the next day after I wrote to the Revdex.com. Thanks!
Regards,
[redacted]

On April 14, 2015, you were issued a conditional approval. Under the terms of your contract with the seller, the “final objection deadline” was April 16, 2015.  Per the terms of the contract, by not requesting an “Amend/Extend,” you would be required to close by the scheduled close...

date.  While Stonegate had provided a conditional approval, at no time did Stonegate advise you that you had full loan approval. Due to being unable to meet the conditions required, your loan was ultimately declined (declination letter attached).  By not requesting an “Amend/Extend” with the seller at the time of the “final objection deadline,” you were obligated under the terms of the contract to close on the property byApril 30, 2015.  When the terms were not met, the sellers executed the Earnest Money Release (copy attached) on May 1, 2015.  It is our understanding that you made an effort to have your EMD returned by the seller, but lost in mediation.  Please note that Stonegate made attempts prior to their April 30th deadline to assist in finding another alternative to obtain financing.  We later learned that you had chosen to purchase a different property within the same subdivision through another lender. At no time, did Stonegate commit to refund your EMD.

At Stonegate, our customer relationships are important to us. As such, let me assure you we willwork diligently to ensure we address such problems so they do not reoccur. As informed byJeffrey A[redacted], SVP of Stonegate Servicing Default Management, we have notified [redacted], yournew Servicer, of the...

escalated case in which we have requested a disbursement to be made to[redacted] to renew your policy. I have confirmed $1,609.00 was disbursed on September 8, 2016from [redacted]. This disbursement covers the cost of the annual renewal, therefore, Iencourage you to reach out to your insurance agent directly to inquire about any out-of-pocket payments that you may have made directly to [redacted] and the status of the refund. I apologizefor any inconvenience this may have caused you.

Our records reflect your last payment in the amount of $1,397.37 posted to your account on August 18, 2015.  As of the date of this letter you are due for the September 1, 2015 payment in the amount of $1,397.37.  Enclosed is a copy of your payment history for further review. Pursuant to...

the terms of your mortgage note, payments are due on the first day of the month and must equal the total amount due in order to complete a monthly installment. If you submit a partial payment, we may hold the amount in an unapplied funds account until you pay remaining balance or we can post it to the principal balance or any outstanding fees depending on the status of the account. 
In order to research missing payments we need proof a payment was received by Stonegate and not applied to your account, such as a copy of the front and back of a processed check.  Please send a check copies to us via email at [email protected] or via fax to 866.761.9159. Please note if we determine a payment was misapplied we will also correct late fees and credit reporting accordingly.Our records reflect you have been in communication with Erin [redacted] who attempted to reach you at phone number [redacted].  Erin left voice mails on November 3, 2015 and November 4, 2015 with no response from you. You can contact Erin directly at email erin.[redacted]@stonegatemtg.com or phone 419-525[redacted] with the information needed to research missing payments.
Please be aware your loan is currently in default as the payment due September 1, 2015 has not been received.  To cure the default you must pay the past due amount of $2,794.74 and the late fee balance of $120.20 for a total amount due of $2,914.94.  This payment must be submitted by cashier’s check, certified check, or money order on or before November 18, 2015.  Enclosed is a copy of the breach letter which was mailed to you on October 19, 2015 with additional information.If you are unable to submit the past due payment in full we may have other options available to you such as a repayment plan.  To see what options you might qualify for please contact us by phone at 1.800.686.2404.  Please also be advised that Stonegate is not authorized to transfer the ownership of your loan from its current owner to an investor of your choosing.

November 6, 2014
 
Mr. & Mrs.
[redacted]
[redacted]
[redacted]
 
Subject:             Revdex.com Case Number:...

[redacted]
                        Stonegate
Loan Number: [redacted]
                       
RESPONSE
 
Dear Mr. & Mrs. [redacted]:
 
Please accept this letter as Stonegate
Mortgage Corporation’s (hereafter, “Stonegate”) official response to this
complaint.  This letter is intended to
respond to and address the concerns related to the application of mortgage
payments.  
 
I would like to explain how your monthly
mortgage payment is structured. Typically a fixed rate mortgage payment with
escrow consists of portions allocated toward principal, interest, taxes and
insurance. The sum total of these items represents the required monthly
mortgage payment. The principal and interest portion of the payment repays the
loan amount according to the mortgage note that was signed at closing. The
escrow portion of the payment consists of 1/12 of the estimated annual tax and
insurance requirement.
 
You were provided a first payment letter
at closing that supplied you with a breakdown of your required monthly mortgage
payment. Enclosed is a copy of your first payment letter supplied at closing by
[redacted] Partners. Your monthly mortgage payment of $1,374.14 consisted
of:
                                                $   997.43 Principal and Interest
                                        ...⇄ $   311.63 Taxes
                                        ...⇄ $
    65.08 Insurance
     
                                          $1,374.14
Total Monthly Mortgage Payment
 
On July 28, 2014, your required monthly
payment was adjusted to $1,062.68 effective with the payment due August 1,
2014. This adjustment was a result of the decrease in the estimated taxes due
for your property.
 
Below is a table that shows how the
payments received by Stonegate mortgage for your loan were applied. Please
review the payments received as outlined below and provide documentation of any
discrepancy.
 
 


Date


Payment Amount


Principal


Escrow


Interest


Extra Principal


Unapplied




6/23/14


$1342.00


$249.72


$747.71


$344.57


 


 




6/26/14


$34.15


 


 


 


 


$34.15




7/8/14


$1275.00


 


 


 


 


$1275.00




7/8/14


(1309.15)took out of unapplied to
use for payment


 


 


 


 


($1309.15)




7/8/14


$67.00+$34.00 combined with
$1309.15


$250.68


$746.75


$376.71


$36.01


 




8/4/14


$1342.00


$251.79


$745.64


$65.25


$279.32


 




9/2/14


$1342.00


$253.84


$743.59


$132.25


$212.32


 


 
 
The monthly mortgage payment is not
applied completely to the principal portion of the loan. In no case would
payments be applied as a principal reduction as long as there are monthly mortgage
payments due. Our review indicates that all payments were posted properly and your
account history is correct.
 
Attached you will find a detailed
explanation of your payment history and application. If this letter and the
supplemental information do not clarify the application of your payments please
contact me directly so that we might discuss this further. My phone number is
1-800-686-2404 Ext [redacted].
 
Stonegate Mortgage Corporation reserves
the right to supplement this response as more information becomes
available.  Should you require further
information, please do not hesitate to contact [redacted], Corporate Counsel
directly at 317-663-[redacted] with any questions or concerns.
 
Sincerely,
 
[redacted]
Senior
Vice-President
Stonegate
Mortgage Corporation
 
Enclosure:        Original Complaint; First Payment Letter; Loan History Summary
CC:                  [redacted]

Revdex.com:
I have reviewed the response made by the business in reference to complaint ID [redacted], and find that this resolution would be satisfactory to me. 
Regards,
[redacted]

Stonegate has received previous credit disputes regarding the reporting of your January installment to TransUnion.  Below is an outline of the updates to your TransUnion credit report. The January 2016 installment was received 30+ days late on February 3, 2016.  In the subsequent January...

and February monthly credit reporting files submitted to the appropriate credit bureaus, the January 2016 was reported as paid 30+days past due.  In early March, a credit dispute was received from TransUnion regarding the credit reporting for the January 2016 installment.  This dispute was denied as the credit was reported accurately for the installment.  In late March, you spoke with a Customer Service Representative and requested an escalation to a manager.  After a review of your account, a Stonegate manager authorized a one-time courtesy deletion of the credit reporting for the January 2016 installment.  A credit correction was processed with TransUnion, deleting the credit reporting for the January 2016 installment.  However, the monthly credit reporting file was not updated accurately.  Due to this oversight, the subsequent March monthly credit reporting file reported the January 2016 installment as 30+ days late.  In late May, another credit dispute was received from TransUnion regarding the credit reporting for January 2016.  A credit correction was processed again with TransUnion deleting the credit reporting for the January 2016 installment.  At this time, the monthly credit reporting file was updated accurately to ensure accurate reporting going forward.  The subsequent May monthly credit reporting file shows appropriate reporting for the January 2016 installment.    Regarding the outstanding flood insurance disbursement issued to the incorrect address, funds have been received and reimbursed to your escrow account.    At Stonegate, our customer relationships are important to us.  As such, let me assure you we will work diligently to ensure we address such problems so they do not reoccur.  We apologize for the inconvenience this may have caused you.

Stonegate Mortgage Response  Revdex.com Case # [redacted] May 24, 2015   
 
Stonegate did not address the following issues:
1. The Stonegate Originator in California ( [redacted]) pushed for only a 30 year mortgage. This was not in my best interest as I told him. I kept asking for other options like a 25 year and 20 year mortgage.  After several weeks I again asked about the 20 and 25 year mortgage. He said “ I will not do it”.
2. I spoke to [redacted] supervisor and he recommended someone closer to me in San Antonio.  I was directed to [redacted]. I shared the other mortgage company’s offer and he kept informing me the only closing costs would be the $995.00 the rest would be absorbed by Stonegate. The other mortgage company gave me a 3.625% locked interest rate.  The big difference was the closing cost charged by the other mortgage company vs  Stonegate.  I held off getting an appraisal until I decided which company gave me the best offer.  I passed the information between both Stonegate and the other competing company. I had to show [redacted] of Stonegate the other company’s offer and interest rate. At first they were not going to match the other company’s offer. They finally agreed.  Stonegate only got my business due to assuring me of the low closing costs, no PMI, interest rate and mortgage monthly payment.
3.  I was offered a 25 year mortgage at 3.625% from Stonegate , but I kept trying to get a 20 year 3.37% mortgage. I was told I did not qualify by 1 point. I was currently paying more on my 30 mortgage then I would be paying for the 20 year mortgage.
4.  I was told that my mortgage would not be sold. That is why I should have qualified for the 20 year mortgage, and kept everything in house.
5.     Upon closing other Stonegate managers got involved. [redacted] could not correctly give me the proper escrow amount and closing costsI would be paying out of pocket.
6.  Closing was delayed and we did not close at the end of the month as promised by [redacted]. Several underwriters were on vacation. This cost me my PMI for that month.  [redacted] said he would try to recoup the funds and quit after my closing.
7. The response by [redacted] Stonegate’s Corporate Counsel. He states several times that I did not qualify for a term less than 30 years. This is just another example of mishandling by Stonegate.
The paperwork that Stonegate included in their response to the Revdex.com clearly states that I closed with a 25 year mortgage with 3.625% interest rate. 
Compensation:  I am still asking for a review of the 20 year mortgage to see if I qualify at Stonegate’s expense and all costs paid in closing other that the $995.00 quoted by Stonegate.
[redacted]
 Regards,[redacted]

There were additional delays on your particular transactions due to the way that they were initially structured.  When [redacted] originally prequalified and priced the two homemortgages for you it was expressed to him that one of the properties was to be your owner occupied residence and...

the other was to be for a second home.  We did not discover that the owner occupied residence was actually vacant until we received the appraisal report.  As we progressed further into both transactions our underwriter pointed out that there was rental income reported on the second home on the tax returns we were utilizing to qualify.  This changed our occupancy designation to investment property on both transactions, which caused the terms of both loans to change.  The change in occupancy also caused significant delays due to the need for both files to be restructured, re-processed, resubmitted to underwriting and the subsequent requirement of additional documentation.   It is also my understanding that our requests for additional documentation were delivered with significant delays.As you have requested, we will be issuing you a refund for the cost of the appraisal.

Our records indicate a payment of $774.14 was received on May 14,2015. This was the correct payment amount according to the annual escrowanalysis run on February 25, 2015. Of this payment an additional $7.40 wasapplied towards the escrow shortage of $88.80. We received the remaining $81.40to pay the...

shortage in full on May 22, 2015. The funds were incorrectly postedto unapplied funds at that time. On July 13, 2015 the funds were reversed andapplied as intended.   We have enclosed is copy of the loan historyfor review. The billing statement which reflects a higher amount due wasgenerated on July 3, 2015 and mailed before the account was updated. Theaccount is currently due for the July 1, 2015 payment in the amount of $766.74.In addition, our records confirm we have received authorization from yourattorney to disclose account information.

Revdex.com:
I have reviewed the response made by the business in reference to complaint ID [redacted], and have determined that the response would not resolve my complaint.  For your reference, details of the offer I reviewed appear below.
Regards,
[redacted]

In reviewing your credit report, it was determined that one additional credit inquiry was pulled during the refinance process with Stonegate Mortgage.  The other inquiry from 7/24/2015 mentioned in the complaint was actually pulled by another mortgage company while you were shopping for your...

new mortgage.  At this time, I have initiated the process to have the one additional hard credit inquiry from Stonegate Mortgage removed from your credit history.  I am committed to follow this through and will update you when I have confirmation this has been completed.