Are you concerned about RightPath Servicing and wondering about their complaints and reviews? Did you recently have your mortgage loan transferred to Right Path and want to know if you are in good hands?
Unfortunately, while the jury may still be out, things aren’t looking good.
RightPath Servicing is the latest mortgage servicing “brand” of Nationstar, LLC, a troubled mortgage servicing company.
The Nationstar family of companies, including their most recent dba, “Mr. Cooper” has a long history of consumer violations and government settlements. In total, since 2000, the Nationstar companies have had to settle with regulators 18 times, with financial settlements totaling over $156 million.
RELATED ARTICLE: If you are working on a loan modification with RightPath Servicing, read this guide to submitting loan modification documents.
RightPath Servicing Complaints
If you are having a problem with RightPath Servicing, and want to file a formal complaint, or request a Qualified Written Request, you can send the description of your issue to:
Attn: Customer Relations
PO Box 619098
Dallas, TX 75261
In addition, if you live in Texas, New Jersey or New York, follow the instructions found on the RightPath legal complaints page.
Nationstar’s 11 settlements since 2020 total $77 million
Nationstar Mortgage, LLC, the original company, founded in 1994 as Nova Credit Corporation, has a very troubled past. Since 2000, they have been repeatedly investigated by local, state and federal agencies for their mortgage servicing violations.
Beginning in 2008, they were sanctioned by both the Arizona and Kentucky Department of Financial Institutions for consumer violations. That was followed up by sanctions in 2016 in Washington State and in 2017 in Rhode Island.
In 2019 Nationstar purchased Seterus, Inc., another mortgage servicer with a litany of problems with regulators.
Seterus, Inc. sanctioned for mortgage and labor abuse violations
Seterus was originally a mortgage servicing platform created by IBM. Seterus, while owned by IBM, was fined three times, in 2013, 2014, and 2019 for over $400,000. Their violations included consumer protection violations, labor relations violations, and mortgage abuses.
Given Nationstar’s and Seterus’s problems, it wasn’t surprising to anyone in the mortgage industry when they rebranded as Mr. Cooper in 2017.
Unfortunately, Mr. Cooper, like Nationstar, continued the pattern of run-ins with state Attorney Generals, the Department of Justice and the CFPB.
Mr. Cooper complaints lead to millions in fines
Nationstar’s troubles didn’t end with the Mr. Cooper rebrand.
In 2017, Mr. Cooper settled with the CA DFPI for $9,118,784 for violations of consumer protections. Then, in 2018 Mr. Cooper settled with the Maryland Attorney General for $760,000. Finally, in 2020, Mr. Cooper settled with the CFPB and all of the state Attorney Generals for over $86,000,000 for consumer violations during the pandemic.
Most recently, in 2020, during the pandemic, Nationstar dba Mr. Cooper, agreed to a $91 million settlement for mishandling foreclosures and borrowers’ payments. The settlement was seen as a warning to mortgage loan servicers against preying on borrowers during the pandemic.
The CFPB complaint stated that Nationstar failed to identify requests for loan modifications, and foreclosed on homeowners while they were in a loan modification review. In addition, it was alleged that the improperly increased borrowers’ payments, misrepresented when homeowners could cancel their mortgage insurance premiums, and failed to forward real estate tax payments from escrow accounts in a timely manner.
Given this massive settlement, it is not surprising to learn that Nationstar Mortgage dba Mr. Cooper is now doing business as RightPath Servicing.
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It’s great that you are reading about RightPath’s loss mitigation options. If you are a Washington State homeowner, the next step would be to schedule a free, mortgage relief consultation with me.
Please give me a call today at (425) 654-1674 to discuss your situation.