here's what probably happened. your original creditor sold the debt to Ditech for cents on dollar and wrote off the balance which has no effect on Ditech's ability to collect from you. If Ditech did in fact issue you a 1099-C in 2016, I would agree they should not be docking your refund. The IRS will probably say it ain't our problem. your only recourse would be to consult a lawyer.
TurboTax cannot help you with that. TurboTax provides software for you to prepare your tax return. TT cannot help with anything involving your past debts or creditors, or offsets imposed by the IRS. Sorry.
Maybe--maybe--a Tax Advocate could help--I do not know if they get involved with such matters.