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According to the company website, the company is a mortgage servicing company providing services including payment counseling, assisting consumers who are delinquent on payments or facing foreclosure, loan modifications, and the Home Affordable Modification Program.
This business is not BBB accredited.
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Reason for Rating
BBB rating is based on 16 factors. Get the details about the factors considered.
Based on BBB files, this business has a BBB Rating of No Rating. The reason is as follows:
The business is in the process of responding to previously closed complaints.
closed with BBB in last 3 years |
closed in last 12 months
Total Closed Complaints
Problems with Product/Service
Total Closed Complaints
Additional Complaint Information
Complaints processed on this company by the BBB primarily concern Credit/Billing, Service, and Customer Service issues. Specifically, consumers repeatedly make the following complaints about RCS: forced escrow payments, non-payment of property taxes, poor record keeping, erroneous fees assessed, failure to honor prior lender’s loan modification agreements, poor customer service, inability to get documents to the proper department for processing, delays in obtaining loan payoff information, and harassing collection calls.
A more detailed explanation of complaints follows.
Complainants report having a home mortgage with another lender and then having that mortgage sold to Residential Credit Solutions (RCS) for servicing. Consumers report almost immediate problems once RCS assumes the loan. These problems include forced escrow accounts despite consumers providing documentation that insurance and taxes have already been paid. Consumers also allege fees and charges being added erroneously when the company assumes the loan. In response, the company states that modifications were denied because the required documents were not received, refunding or waiving fees when they were assessed in error but without explaining why the error was made.
Complainants report problems with the company paying property taxes despite the money being in escrow, reporting payments late or incorrectly, and problems with loan modifications. In response the company pays the taxes and any penalty fees, blames online phone payment limitations and systematic posting errors for the issues consumers experience, and admitting errors causing documents to be loaded for incorrect loans. For loan modification problems, the company states that it was unable to assist consumers due to net present value results, but that it will attempt to resolve the issue via short sale or deed in lieu of foreclosure.
Complainants allege the company fails to honor contracts made with the original mortgage company despite consumers providing requested documentation or modifying a loan to a payment exceeding the original loan payment amount. In response, the company claims that gross income is sufficient to support the higher payment or that the consumer failed to supply documents to support their claims and the investor again denied the request to lower payments.
Customer Service Issues:
Complainants allege they are unable to speak to supervisors to resolve complaints, telephone messages go unanswered and unreturned, representatives fail to resolve issues in a timely fashion, documents are lost multiple times or do not reach the correct department, customers do not receive loan payoff information in a timely manner, and customers receive frequent harassing collection calls even during payment grace periods. In response, the company states that foreclosures will be cancelled if the consumer successfully completes the modification plan.
The BBB has noted an increasing volume of complaints being received on this company. The company is scheduled to meet with the BBB in April 2011 to discuss the pattern and volume of their complaints.
Complaint Process |
File a Complaint against Residential Credit Solutions, Inc.
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| View Complaints Summary by Type Pie Chart on Residential Credit Solutions, Inc.
Complaint Type Pie Chart: Overview
BBB file opened:
February 16, 2010
Business started locally:
Business incorporated: 12/04/2006 in DE
Type of Entity
Mr. Dennis Stowe, CEO
Ms. Christy Allen, Resolution Specialist
Ms. Kim Brouse, VP Loan Admin
Customer Contact: Ms. Kim Brouse, VP Loan Admin
Principal: Mr. Dennis Stowe, CEO
MORTGAGE FORCLOSURE ASSISTANCE
Alternate Business Names
Residential Credit Solutions Trust, Inc.