Veristone Mortgage, LLC CFPB Complaints

2000 Latest Complaints

Date Received	Timely Response	Product	Issue	State / Zip	Submitted Via	Tags
04/18/2020	No	Debt collection Other debt	Took or threatened to take negative or legal action Seized or attempted to seize your property	CO 80525	Web	Older American
This is what I believe to be construction finance fraud by a private " hard money lender ''. The lender is based in XXXX State where it is registered as an LLC. It reportedly does business in all 50 states, including XXXX where it is also registered as an LLC in good standing and where this scam occurred. In XX/XX/2019 I contracted with Veristone Capital LLC to provide construction financing for a single family residence near XXXX, XXXX which I determined to sell. The agreement involved their providing construction funds in the amount of {$450000.00}. My contribution to the project was {$170000.00}. Construction began in XX/XX/2019. Very early on I began to experience difficulty in getting construction funds from them. At one point the excavator/concrete contractor abandoned the job due to funds not being provided and threatened to place a lien on the property. This abandonment ended only after I kept after them to pay the contractor, which they eventually did. Fast forward 2-3 months to when the framing contractor started and also was not paid as promised, threatened to file a lien, abandoned the job for over a month and a half, until I could finally get the lender to pay up. This damaged my working relationship with both contractors. Both contractors told me they had conversations with the lender and both stated they were lied to by the lender. Concrete and framing were both completed, or nearly so by the end of 2019 when the lender again began to slow pay and eventually stopped altogether. by this time lender 's investment totaled approximately {$270000.00}, leaving the project approximately {$190000.00} short. Although the house should have been completed in 9 months we have recently passed the one year mark and the note is due. Insofar as I was not provided the funds to complete the project, I have been unable to finish and sell. My expected profits upon a completed project should have been {$220000.00} to {$270000.00}. There is much email communication from me which memorializes the difficulties I had in getting funds from them and my belief that they never had the funds to begin with. My strongest belief is that they did not have the funds to lend but it is also possible that their intent was to provide only enough funding until they could step in and foreclose because the money lent could not be repaid. Either way, they breached the contract to lend and thereby created a situation to set me up for foreclosure. Although I have a great many emails, I'm attaching some of the more recent to lend support to this complaint. the name of the XXXX based senior sales representative is XXXX XXXX. My main source of contact after the agreement was entered into is XXXX XXXX, Customer Service Representitive.
08/20/2020	Yes	Debt collection Mortgage debt	Took or threatened to take negative or legal action Seized or attempted to seize your property	CO 80525	Web	Older American
This complaint is related to, and an extension of, a previous complaint filed against Veristone Capital ( CFPB complaint ID XXXX ). To summarize, I took out a construction loan from Veristone Capital ( VC ). VC stopped funding the loan prior to construction completion and filed foreclosure proceedings once the note matured. This note was apparently acquired by XXXX, XXXX, in Trust for XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX. XXXX appears on the notice of foreclosure as the current holder of evidence of debt. I received no notice of the sale of the note. As best as I can tell, XXXX is working in concert with the VC fraudsters. It was my contention in the previous complaint that VC never had the funds to lend in the transaction or intentionally sabotaged the transaction to create a foreclosure opportunity ( which had now been picked up by XXXX ). ___________________ In the course of the foreclosure process, XXXX has violated CRS 38-38-102.5 ( Colorado 's notice statute ) ; CRS 38-38-103.1 ( Colorado 's single point of contact statute ) ; and CRS 38-38-103.2 ( Colorado 's dual tracking statute ). XXXX XXXX, XXXX and XXXX XXXX XXXX XXXX XXXX, XXXX is/are no strangers to litigation concerning foreclosure actions. The SEC recently issued a Cease and Desist Order against XXXX XXXX based on various foreclosure shenanigans. It is believed that XXXX and XXXX XXXX or essentially the same organization. XXXX There is likely a prior working relationship between VC and XXXX to the point of suggesting complicity between the two organizations to defraud consumers through the foreclosure process. Both VC and XXXX should be required to turn over all records and communications between the two relative to this transaction.
12/03/2020	Yes	Mortgage Other type of mortgage	Trouble during payment process	WA 98671	Web
I secured a real estate construction loan with the lender, Veristone Capital, LLC to finish my renovation of my personal residence. They told me that I had to say it as not my personal residence in order for me to get the loan. I agreed then that I would complete the renovation with the funds and sell the home. However, they have been withholding my draw request funds and making it difficult to complete my project and get the home on the market. This is causing me to pay high daily interest and more and more fees as well as I have now lost critical market time. They charged me over {$10000.00} in loan origination and junk fees as well as an interest rate of 12 %. Now they are trying to string out my loan in order to keep the interest only payments of over {$2000.00} a month coming into their company. I have spoken and emailed the following individuals countless times and they contradict what they tell me each time ; XXXX XXXX, XXXX XXXX, XXXX XXXX, XXXX XXXX, XXXX XXXX, Accounting & Draws Department countless times over the last few months as they started to drastically shorting me on my draw request reimbursements and now owe me over {$6000.00}.
02/11/2016	No	Mortgage Other mortgage	Loan modification,collection,foreclosure	WA 98391	Web
I will be attaching a transaction history, XXXX and GFE of the Veristone Capital LLC loan. In a nutshell this is clearly predatory lending, and a violation of many lending laws. These guys promised me they could refinance me out of their " terrible '' loan within a few months. Not only could they not refinance me, they never intended to, and they never even determined my ability to pay their loan or future loans - no tax returns or assets were provided. It is a hostile takeover of the home. I have a pending XXXX complaint. XXXX is conducting a " On-Site '' inspection end of this month or beginning of next month.
06/23/2021	Yes	Mortgage Conventional home mortgage	Struggling to pay mortgage	OR 97060	Web	Older American, Servicemember

11/24/2020	Yes	Mortgage Conventional home mortgage	Trouble during payment process	OR 97030	Web	Older American, Servicemember