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Huntington woman alleges mortgage company continued to harass her after she paid loan off in full

WEST VIRGINIA RECORD

Tuesday, December 24, 2024

Huntington woman alleges mortgage company continued to harass her after she paid loan off in full

Federal Court
Mort4

HUNTINGTON – A Huntington woman is suing PHH Mortgage after she claims it used illegal and abusive servicing practices while servicing her home mortgage loan.

Samantha S. Thompson claims the defendant began using illegal practices when her husband began experiencing the onset of Alzheimer's disease and she fell behind on her monthly mortgage payment, according to a complaint filed in Cabell Circuit Court.

Thompson and her husband purchased the Huntington home in 1997 and her husband was primarily in charge of the family's finances, but when he began experiencing the onset of Alzheimer's disease, he failed to pay some of their bills, including the mortgage, the suit states. PHH began calling Thompson several times per day, visited her home and left messages and door hangers on the door, according to the suit.

Thompson claims she submitted an application for a loan modification on Dec. 7, 2018, and a letter was sent to her on Dec. 10, 2018, that stated the application was complete. The following day, she alleges she received another letter saying the application was incomplete and that the company had not received "the outstanding items from you and your deadline to provide them has passed."

PHH offered Thompson a trial modification plan on Dec. 12, 2018, and she made each of the trial payments as required by the plan, however, despite her making payments in compliance with the trial modification plan agreement, PHH continued to place collection calls to her and threaten her with foreclosure if she did not make lump-sum payments to catch up on the loan, according to the suit.

Thompson claims she received a letter on March 4 that stated she had not paid November 2018 payment and PHH requested her to call and make payment arrangements. She claims she received another letter on March 19 that said she was behind on her payments and that the defendant had a right to invoke foreclosure.

In order to stop the harassing phone calls from PHH, Thompson sold the home and paid off the loan in full on April 29, according to the suit. However, despite being provided with the payoff amount in full, PHH refused to apply the payoff to her mortgage loan and failed to release the deed of trust.

Thompson alleges PHH continued to harass her about the home through August, threatening foreclosure on a home she no longer owned and had sent them the funds in full to satisfy the loan.

The defendant allegedly caused Thompson stress and anxiety and harm to her credit as a result of its conduct.

Thompson is seeking compensatory and punitive damages. She is represented by Sarah K. Brown, Bren J. Pomponio and Daniel F. Hedges of Mountain State Justice.

Cabell Circuit Court case number 19-C-488

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