Specialized Situation
Fraud, Servicing Errors & Disputes
Misapplied payments, escrow errors, unauthorized fees, lost documents, and dual tracking are common and often correctable. Separately, homeowners in foreclosure are actively targeted by equity-theft schemes. Both require a documented paper trail.
When the servicer is wrong, or someone is targeting your equity
What you need to know
- A notice of error under federal servicing rules generally obligates the servicer to investigate and respond within defined timeframes.
- Dual tracking — advancing a foreclosure while a complete loss mitigation application is pending — is restricted under California and federal law.
- Lost-document claims are best defeated by proof of submission: transmission confirmations, certified mail receipts, and portal screenshots.
- Never transfer title to anyone who promises to stop your foreclosure. Deed-transfer schemes are the most damaging fraud in this space.
- Advance-fee loan modification services are unlawful in California in most circumstances. Verify every license before paying anyone.
- Filing a regulatory complaint creates a record but does not automatically stop a trustee sale.