CFPB Gets Plurality of Complaints About Mortgages
The Consumer Financial Protection Bureau has a hotline for complaints, as well as a process to lodge complaints at their website. They have begun to release those complaint reports, protecting the identity of the consumer but providing an understanding of where the trouble in the financial system lies with respect to those consumers. Here’s a giant surprise: the plurality of the complaints are on mortgage issues.
CFPB data shows the bureau received 55,300 consumer complaints from July 21, 2011, through June 30.
Of those complaints, 43% involved mortgage issues. Credit cards ranked second in terms of complaint volume, representing 34% of all first-year calls. Student loans represented only 4% of all calls to the CFPB, while bank accounts and service issues drove 15% of the agency’s complaint traffic.
Even more interesting is what areas the mortgage complaints covered:
Of the mortgage complaints reported to the CFPB, 54% involved borrowers who had problems with their loan modifications, a debt collection or foreclosure.
Twenty-five percent of the complaints came from borrowers who had problems related to payments, escrow accounts and loan servicing. Eight percent of the mortgage traffic involved issues when applying for a loan, followed by 4% who had trouble when signing mortgage agreements and 2% who had issues when receiving a credit offer. The remaining 7% of the complaints involved other issues.
Copy of the report below…