Consumer complaint received 2023-12-28
Company: Shellpoint Partners, LLC
State: MD
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process
Sub-issue: Trying to communicate with the company to fix an issue while managing or servicing your loan

Complaint:
On XX/XX/XXXX, my mortgage payment from Shellpoint ( a division of NewRez ) went up from {$2000.00} to {$4400.00}. There has been no notice or justification as to why the sudden and significant increase in my mortgage payment. I called the company during business hours on XX/XX/XXXXXXXX  and spoke with XXXX XXXX XXXX. She informed me that I was in an adjustable-rate mortgage and that I was sent a letter in XXXX advising me of such. When I mentioned that I did not see any such letter and I do not believe that I am in an adjustable rate, she advised that the letter was sent regular mail on XX/XX/XXXXXXXX  with Changes on XX/XX/XXXX. She also mentioned the terms of the adjustable rate changed from XXXX index to XXXX index and that we would have received notification on that in XX/XX/XXXX. Again, I mentioned that we have received neither notification and she stated it was sent regular mail. I advised XXXX XXXX that we purchased our home in XXXX  with an adjustable rate and subsequently modified our mortgage several years later after the mortgage meltdown and financial difficulties. My understanding was that we were in a permeant fixed rate. She read to me that she saw the Purchase with XXXX in XXXX  and transfer to XXXX in XXXX. She also read all our mortgage rates XXXX  5.25 %, XXXX  5.25 %, XXXX  3.5 % ( XXXX ), XXXX  3.35 % ( XXXX ) and XXXX  4 % ( XXXX ) with no further changes since. We agreed that could have been around the time of our modification after bankruptcy in XXXX. XXXX XXXX advised that we should open up a case and make a regular payment to avoid collection activities. I asked if she would provide anything in writing and she stated that she would not. She opened a Complaint Case # XXXX and Research Case # XXXX and stated that I would be contacted in 2-5 business days and would hear from someone by Friday, XX/XX/XXXX. I opted not to make a payment at that time. 

When no one contacted me at all, I reached back out to Shellpoint on XX/XX/XXXX, I explained my situation to the agent, name was " XXXX ''. She agreed to accept the regular payment of {$2000.00} over the phone and provided a confirmation number. She then transferred me to a supervisor, XXXX XXXX XXXX. He informed me that both cases had been closed and that I was misinformed, and no one would have reached out to me. He was confused looking at our loan and agreed that some additional research would be needed. He confirmed that the regular payment would suffice to hold off any collection attempts but refused to put anything in writing either. In our discussion, he did mention that he saw a modification in XX/XX/XXXXXXXX  at 4 % and that it should have ended ( " reduction end '' ) in XX/XX/XXXX. He also stated that he did not see any other action until XX/XX/XXXX. XXXX XXXX advised that he needed to locate the original document and would be back in touch. He emailed me his contact information and stated that we should reconnect. I explained to XXXX XXXX that this was troubling and I do not believe that we are in an adjustable rate and have never been informed as such to dispute it either. He brought up the XXXX again and I informed him that I was completely unaware and never notified of anything to date. I also had an issue last year when their online system went down and I could not make a payment, after missing 1 payment, a certified " Notice of Intent to Foreclose '' was sent to myself, the state of Maryland and our tenant, causing them alarm. I said that I did not want that to happen again and he assured me that it would not. I also mentioned to him that had we ever been notified, we would have looked to refinance during historic interest rate lows ( I looked it up, from XX/XX/XXXXXXXX  to XXXX, Investment Property Fixed Interest Rates were 3.125 % - 3.375 % ). 

I did not hear back from XXXX XXXX and on XX/XX/XXXX received a certified " Notice of Intent to Foreclose '' with an unapplied balance of {$2000.00} and asking for full payments to be made by XX/XX/XXXXXXXX   or we would be foreclosed on. My tenants have also received a letter and are spooked and are considering leaving now. I emailed ( XXXX ) and called ( XXXX ) XXXX XXXX on XX/XX/XXXX. I emailed and called him again on XX/XX/XXXX. After not hearing back, I again emailed XXXX XXXX today, XX/XX/XXXXXXXX  and advised that I would be reporting to the CFPB. 

First and foremost, I do not believe we are in an adjustable-rate mortgage and not sure how they have come to this conclusion. Secondly, there has been no communication from Shellpoint advising that they believed I was in an adjustable-rate mortgage until I logged in to make my XXXX payment. Had there been any notification either earlier this year or in XXXX, when he said it should have adjusted, we would have had plenty of time to research and remedy before the payment more than doubled. Additionally, we had excellent credit and plenty of equity and could have refinanced or even sold our home in XXXX or XXXX when rates were low and homes were selling in 2 days. Now, we are faced with foreclosure, a tenant that is nervous to stick around, high rates, no ability to sell or refinance and an aggressive lender who has no issue sending certified mail when it suits them has no record of mailing us when we deserve any type of notification. We are troubled, stressed, distraught, losing sleep and scared that our home will be taken after we worked so hard to rebuild our credit and paid on a mortgage for a decade while it was underwater in equity only to have the lender try to steal it away for us now that it has value.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation