Seterus Mortgage Complaint

Seterus Mortgage department,

Conventional fixed mortgage Loan modification,collection,foreclosure New York

On or about -/-/-, the borrower defaulted on his first lien mortgage loan, which loan is serviced by Seterus. Seterus commenced a foreclosure against the borrower on -/-/-. On -/-/-, the borrower and Seterus entered into a permanent loan modification under the - Standard Loan Modification program. After the borrower 's loan had been permanently modified, Seterus charged $340.00 of legal expenses to his account on -/-/-, and another $300.00 of legal expenses on -/-/-. These legal fees appeared on the borrower 's mortgage statement dated -/-/-. Seterus is barred from charging these $640.00 of legal fees to the borrower. Under the - Servicing Guide, Section -, [ t ] he servicer must include the applicable attorney fee as part of the amount required to reinstate the mortgage loan '' and


it may not charge these fees to the borrower. See - Servicing Guide, Section - ( providing that [ i ] f the servicer fails to include as part of the amount required to reinstate or pay off the mortgage loan any legal fees and costs that were incurred in connection with the foreclosure proceedings, or is prohibited from charging the borrower for certain costs under applicable law, it must reinstate or pay off the loan without collection of such legal fees and costs from the borrower '' ).