Ocwen simply cheapen their business. 70% of Ocwen’s employees are in India…
(Bloomberg) — Ocwen Financial Corp., which agreed with regulators in December to improve its mortgage servicing, sent Nathan Fitzgerald a notice saying his loan was in default. If he didn’t send a $2,266 check immediately, Ocwen said, it would foreclose on him.
The warning in January shocked Fitzgerald, who said he never missed a payment on his three-bedroom home near Napa, California, and sent Ocwen bank records to prove it.
“This is a nightmare,” said Fitzgerald, 53, owner of a real estate and investment firm. “I have spent endless hours on the phone trying to get this fixed, and I’ve gotten nowhere.”
Complaints against Ocwen from borrowers continue to pour in to the Consumer Financial Protection Bureau, showing the magnitude of the firm’s challenges following its December settlement with regulators. After the departure of founder and Chairman William Erbey last month, Ocwen is preparing to sell part of its servicing business to simplify operations. It also needs to overhaul its compliance process and technology to regain the confidence of investors, said Douglas Harter, an analyst at Credit Suisse AG.
“One of the first tasks after Erbey’s departure is making sure they have the right infrastructure in place to catch these mistakes,” Harter said. “They are going to have a long road in rebuilding their reputation with regulators, investors and borrowers.”
Through a spokesman, David Millar at Sard Verbinnen & Co., Ocwen said it is aware of Fitzgerald’s complaint.