Mr. Cooper, Nationstar Mortgage Class Action Lawsuit Overview:
- Why: The plaintiff takes issue with Nationstar’s alleged history of making unauthorized withdrawals from customers’ bank accounts.
- Who: A Nationstar customer is suing the mortgage servicer, also known as Mr. Cooper.
- Where: The class action lawsuit is pending in Texas federal court.
Mr. Cooper, also known as Nationstar Mortgage, is facing a class action lawsuit lodged by a North Carolina resident for allegedly making several unauthorized withdrawals from her bank account and failing to adequately investigate or fix the issue.
The lead plaintiff is Martha Keen Stovall, whose mortgage payments are serviced by Mr. Cooper. On three separate occasions in 2017, 2020, and 2021, Nationstar Mortgage made unauthorized and improper payments from Stovall’s bank account.
Stovall seeks to represent three nationwide classes and three North Carolina subclasses. These include individuals whose residential mortgage loan servicing rights were held by Nationstar and covers Nationstar’s unauthorized electronic fund transfers in April 2021, duplicate electronic funds transfers, and improper payment processing.
The complaint alleges that Mr. Cooper improperly withdrew money from nearly half a million people in the United States. Mr. Cooper’s negligence led to significant overdraft fees for customers, left borrowers with reduced (or zero) purchasing power, and emotional distress, anxiety, and worry.
The class action lawsuit accuses Mr. Cooper, also known as Nationstar, of negligence and violating several lending and banking laws by “repeatedly” and “unlawfully” collecting “tens of thousands of unauthorized mortgage loan payments.” The complaint also briefly accuses Nationstar of unfairly making money off of these unauthorized withdrawals by accruing interest on them.
Mr. Cooper, Nationstar Has History of Unauthorized Payments, Claims Class Action
Stovall first experienced a payments issue with Mr. Cooper in March 2017 when the company took an unauthorized payment from Stovall’s account in addition to her usual monthly payment. This payment was later returned to Stovall.
In November 2020, Mr. Cooper made two withdrawals from Stovall’s account — one for her November payment and one credited towards her December payment, which was not due for another month. Stovall contacted Nationstar to correct the error and to ensure it didn’t happen again, both of which Nationstar “failed to do,” according to the complaint.
In April 2021, Nationstar took three unauthorized payments from Stovall’s bank account after already taking her monthly mortgage payment for April. The company later reversed these payments and sent a letter to Stovall stating that the company had “launched a full investigation to get to the bottom” of the payments issue.
In total, around $2,066 was taken from Stovall’s account without her authorization. She seeks actual, statutory, and punitive damages, injunctive relief, and litigation expenses.
Do you have a mortgage serviced by Nationstar or Mr. Cooper? Have you experienced similar payment errors from your mortgage servicer? Tell us about it in the comments section below!
The plaintiff is represented by John D. Blythin and Jesse Fruchter of Ademi LLP.
The Nationstar Unauthorized Withdrawals Class Action Lawsuit is Stovall v. Nationstar Mortgage LLC d/b/a Mr. Cooper, Case No. 3:21-cv-02735-X, in the U.S. District Court for the Northern District of Texas Dallas Division.
Don’t Miss Out!
Check out our list of Class Action Lawsuits and Class Action Settlements you may qualify to join!
Read About More Class Action Lawsuits & Class Action Settlements:
190 thoughts onMr. Cooper, Nationstar Faces Class Action Over Thousands of Unauthorized Mortgage Payments
Hello, Good day everyone I and my girlfriend recently have moved out of our apartment that we lived in Texas and moved to Michigan. They had assessed us final charges for utilities and apparently damages that had done to the apartment. I also have 2,400 dollar bill sent to our collections, car loans charge-off and this just took a huge hit on me and my girlfriend’s credit report. While seeking for solution I came in contact with HACKNET CREDIT SPECIALIST through my very closed neighbor and he did what I didn’t expect all negative reports, utilities all gone out including all items in collection I and my girlfriend are now debts free and my score increased to 795 excellent. All thanks to Hacknet and his teams. Please do well to contact him via HACKNET567 /@/ GMAIL /./ COM. Please tell him I referred you to him and remain bless.
I rarely leave a review, but Hacknet Credit Specialist and his team fully deserve it. I had a late payment posted on my credit from Credit One bank after 5 months of my account being closed with them and the balance being fully paid off. I contacted their customer service, wrote them letters and e-mails, and for months struggled to get my credit fix. I engaged HackNet and his team to fix this issue and to my amazement they were able to get this issue resolved with Credit One in less than two weeks including my Amex credit card all the late payment resolved. His company and his team are by far the best in fixing credit and I will certainly highly recommend them to all of my colleagues and friends. I really love the fact that he invests his resources to maintain customer relationships for a long time. You can get in touch with him via email Hacknet567 /at/ gmail /dot/ com
NationStar and MrPOOPER use and abuse your payments. Over the years, I have paid from my bank to MrPOOPER. I have included additonal funds that were applied to “”principal””. I recently increased my payment to more then twice the monthly payment, and MrPOOPER started applying the additional funds to future monthly payments. WRONG !!! I had to contact State Banking Regulators and file a complaint. It made MRPOOPER reapply funds properly… BUT, MRPOOPER used the excuse they were using the DEED of TRUST, Section 2, Application of Payments or Proceeds, to apply LARGER payment to “”amounts due under this Security Agreement””. IE, the next 2 monthly payments amount due, instead of apply the funds to principal…. ALSO, the future payments, next two months, were deducted by the amortization table: here they did NOT reduce the interest payment, even though the monthly payment was made early. MRPOOPER is not worth the SHEETZ his name implies.. Looking for Lawyer that is willing to take on MRPOOPER/NationStar…. Help me Mr. WIZARD……..
On December 4, 2023, Mr. Cooper (Nationstar LLC) unlawfully withdrew three mortgage payments from our bank account totaling $3271.98, totally depleting our account. On Dec. 1, 2023 we have a receipt from Mr. Cooper accepting $1090.66 as payment for Dec, 2023 mortgage payment. We got our bank involved and they were very helpful. We were transferred so many times and to so many people that were so sorry, but none would ever return our $2,181.32 , so that we could pay our other bills for the month. The final top supervisor, made an appointment to settle it all, because they knew and admitted they were wrong, at 9:00 am the next morning after almost a month, they returned the money. Little did we know the refund and a $55.00 late fee came from our escrow account. We found that out after we received news that our loan was being transferred to Mr. Cooper. What a surprise! What a scam. They are getting away with stealing our money, robbing us of Christmas. We had to borrow money from a family member to stay current on bills, and to avoid any late fees and penalties! Good riddance Mr. Cooper (powered by service mac, Nationstar, LLC) Scammers in the highest degree, from the top down! They need jail time and we need to be compensated for losses, actual, and punitive damage! Not to mention my wife’s anxiety level!
I have been with Nationstar before it was Mr cooper on at least two or three home loans. two home loans I believe were in California and the 3rd/current loan is in the state of Hawaii. I have definitely used the pay by phone option many times. I don’t know if I was forced to pay a fee or now but now now that this lawsuit is coming out it’s forcing me to wonder how many other fees I’ve been assessed falsely and wrongfully.
I am fighting with them because They have been incredibly deceptive to me with their policies for forbearance on a home loan that I did originally in Hawaii at the rate of 2.785% back in April 2021.
They told me no in certain terms that I could get a deferral at the end of the program for the 12 months that I skipped the payments. Now they are trying to entrap me into some sort of agreement to do a flex modification loan, which does not make any sense. That would also force me to lose my 2.875% mortgage rate which I told them every single time I spoke with them would be an a possibility because I would not be able to afford to pay the loan.
My Hawaii home loan is federally backed by Freddie Mac and Fannie Mae. I’ve never missed a payment in 30 years. My credit is 712.
Also on top of that when my house in Hawaii For which I was on forbearance at the time, flooded they kept a $10,000 check from me for weeks on end. They were supposed to release the funds to me after I Need the repairs and had the inspector come in who was their representative not mine.
Their withholding That $10,000 check that was rightfully mine based on money that I was forced to front in order to do the repairs first and then to collect after inspection was also another reason why I was unable to pay my mortgage. I had to run around in circles and get on the phone several times in order to get money that was rightfully mine. They had claimed that they “didn’t see that the inspection was passed in late May.” I did not get the check till July. There are standards are horrific. I would like to press a class action lawsuit for breach, negligence, and other forms of fraud.
I received a letter of Data breach
They been shreding money order we sent over 3 months since it did not cover what we owe them. $8500 worth of money order that will now cost me $50 each to put a stop pay and 30 day to get the replacement check. In the meantime we get a notice from MR Cooper that they started foreclosure procedure on our home on 3.7.2024.
Please contact me. I have Mr. Cooper .
I used a phone number I received from my mortgage (Mr. Cooper) to make a payment on line. I was late on my payment due because
Mr Cooper overdrew a payment from my bank account causing it to be emptied due to what I was told was due to a Gish in their system. I was then advised to send the payment over night to who I was told was an Atty Roy Hunter who office is located at 6505 Market St Suite 103 , Upper Darby PA 19082 my tracking number is EI630662857US. I sent the money order and on 7/14 I contacted the Mr. Cooper and was told that payment was not received and that the Individual I was dealing with was not their agent. I have filed an Report with my Sheriff Case #50230013209 ) Officer (7037771021) Loudoun County Virginia. The overnight package I sent has been received an no further info. Today I did some research and found the address I was given is a UPS office in which Roy Hunter where he receives mail. I can not think of any think else. Please help me I need my Social Security money returned due to the fact I an on a fixed income. I contacted all the government agencies and companies who said they held victims of fraud and recieved no help. Some even told me I was wrong about Mr. Cooper when I gave them the companies Fraud information. If you can help me I would truly appreciate it. Also The Sheriff office did nothing and returned the information I had given them to do a search and it was the information I had given them from the research I had done.
I have been destroyed by nationstar Mr cooper way ro much to text they should of been shut down years ago I owed 10.000 pay 2016 insteD I owe over 70.000 escrow always missing payments stolen foreclosure over 5.00 and another for 1.00 dollar fees are fraud