The Consumer Financial Protection Bureau recently initiated a new way for consumers to report complaints about mortgage lenders. The hotline serves as an extension to the bureau's already existing help lines for credit-related disputes.
The hotline went live on December 1, but sources believe it is of no consequence if homeowners haven't heard of it. It is expected that as word gets out, the phone lines will be full of disgruntled homeowners and buyers reporting mortgage issues. Many in the housing market believe that the hotline and services provided by the bureau would fall short of being able to serve the growing amount of people looking for mortgage assistance.
Borrowers who call the hotline submit detailed complaints, including account numbers and the name of their lender. The bureau then sends the report to the said mortgage servicer, who has a chance to review and resolve the matter. The lender then sends reports of their actions, if there are any, back to the bureau that serves as the middleman in the dispute.This is being modeled after the bureau's successful credit card complaint service.