Complaint / Review
Ocwen Federal Bank
FSB False Charge tacked on to bill and reported as 30 days past due without notice. Ripoff

I have a certain concern and don't know if I should pursue the issue in small claims. Can you give me a little bit of advice to see if I have anything to stand on?

Here is basically what happened:

In July of yes 2 years ago, I made a mortgage payment to my lender in the amount 1256.39. This is my regular mortgage amount. Well unfortunately I made a mistake on the check. I wrote out in the box 1256.39 but in the long hand portion only wrote out One Thousand Fifty Six and 39/100 instead of One Thousand Two Hundred Fifty Six and 39/100. Numerically I was ok but long had I did not add the Two Hundred in there.

Here is where it gets fishy. I remember having to work the issue out with my bank and basically the mortgage company got their money and brought me current. The issue went away for almost 2 years, yes 2 years later. I have statements all the way up to Feb showing 0 dollar previous balance.

Well in Feb they received my automatically withdrawn payment of 1256.39 (I pay using ACH auto payment). Without my knowledge the 200 past due surfaced from July because of a recording error on their part. They took 200.00 from my Feb payment and applied it to July 200.00 supposed shortfall. Without me knowing I went into 30 days 200.00 past due as of March and they reported me to the credit agencies. I got a certified letter in March and the letter notified me of me being 200.00 past due.

I was clueless as to how that was being that my bank account showed 1256.39 being taken out in Feb. They explained to me that it was their 2 year recording error that popped up. I paid the 200.00 at that time to bring everything current and am now fighting to get my 200.00 back. The only reason I paid it is to keep from having foreclosure troubles and more late notices posted to the credit agencies.

2 years is a long time and I don't even know if I can come up with documentation except for statements showing 0 dollar previous balances. I am not even with that bank anymore. As far as I can remember it was taken care of. How can they empower a 2 year mistake on their part and hold me accountable for it. I am now I the hole 200 dollars, have a 30 day late ding on my credit report, and am getting no help at all accept them admitting it was their recording error.

I want to take them to small claims but need to know if it is legitimate enough. Do I have rights in this?