Negotiate with lender

[Steve M.]

Good evening,

I purchased a home during a HOA sheriff Foreclosure, after redemption period I was issued a Sheriff Deed. It had liens on it (child support, district court, hoa, which I was able to get them released) and it had a mortgage from 09/2006 And deed of trust said for 247,200. The mortgage is now being serviced by Ocwen but they will not talk to me about payoff. I called them everyday, faxed them my sheriff deed multiple times but they will not help. The old owner on the note did a quitclaim deed in 2010 and could not be located and she is off title but loan remains in her name. After many attempts I was told by Ocwen the payoff is 377k. I asked for details but they will not help. Any suggestions on bringing Ocwen or trustee US bank trustee to the table to get a payoff or demand to pay price indicated on deed if trust?? Thank you in advance!!

[Dion DePaoli]

Responding to @Wayne Brooks's ping.

Use the fax number or email you have and type of a letter to include with the Sheriff's Deed requesting a payoff for the senior lien.  They have a maximum of 30 days to respond.  If they fail to respond file a complaint with the Consumer Financial Protection Bureau.  Call and make sure the fax or email is received and keep record of time sent and confirmation of receipt.  

Calling into the servicer typically leads to headaches and often times you will end up on the phone with someone less familiar with the legality of your request.  So as far as they understand it, even though it is grossly incorrect, you don't have a right to that information.  However, legally any party with an interest in the property, which yours is by way of Sheriff Deed, has a right to redeem the property from any liens.  That is different and separate from inquiring into the borrower's account.  

Legally they have to issue a formal written payoff statement which includes the payoff amount through any requested date usually 30 days out.  (they will typically give a per diem interest to use to calculate to payoff date requested.  It can not just be verbal.  Like I said, your request needs to be formal as well, not just a phone call.  

If they fail to comply the CFPB will follow up with them and you shouldn't need an attorney.