Consumer complaint received 2022-04-28
Company: Specialized Loan Servicing Holdings LLC
State: IN
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
I have a XXXXXXXX XXXX account with ( SLS ) Specialized Loan Servicing. I am in the process of getting a home equity loan and requested the payoff balance. Upon receiving the payoff balance I realized that there was an error & SLS is reporting an incorrect balance for my mortgage payoff quote. 

Error : My home loan was originally serviced by XXXX XXXX XXXXXXXX who transferred my mortgage to SLS in XXXX. Prior to my mortgage loan being transferred to SLS, XXXX XXXX XXXXXXXX granted a full forgiveness of my remaining principal balance of {$36000.00} and any fees and accrued interest. This forgiveness was a result of the Department of Justice and State Attorneys General global settlement with major servicers, including XXXX XXXX XXXX XXXXXXXX. 
XXXX XXXX XXXX sent me a certified letter on XX/XX/XXXX notifying me of the forgiveness settlement. Additionally, I am also in receipt of the Release of Mortgage document which is recorded in the XXXX XXXX XXXX XXXX XXXXXXXX SLS is including this balance of $ XXXX in my payoff- which it should not be because XXXX XXXX XXXXXXXX granted the forgiveness prior to the Mortgage transfer from XXXX to SLS. 

XX/XX/XXXX : I sent Specialized Loan Servicing a certified ( Notice of Error ) letter via USPS and also faxed the documents to ensure receipt. In addition to the notice of error, I included a copy of the original notification of the forgiveness of my principal balance from XXXX XXXX XXXXXXXX and a copy of the Release of Mortgage. 

XX/XX/XXXX : I placed a call to SLS to confirm that they received my documents. The representative confirmed that they received my FAXED documents but advised that they have not been reviewed as of yet. 

XX/XX/XXXX : I received a letter via mail from SLS stating that they received my documents but they were mailed to the incorrect address. They advised me to resend my documents via mail to the SAME ADDRESS that I originally mailed them to. I still have my USPS receipt showing proof that I sent them to the correct address to begin with. Had I not faxed my documents in addition to mailing them, I would have had to start the process all over again and spend another {$27.00} for overnight mail. This mistake on SLS 's part alarmed me so I immediately called them as I was now concerned that they were no longer handling my issue. The rep advised me to disregard the letter. She said that they were in receipt of the FAXED documents, however, she still was unable to provide a status update. This was extremely disappointing and also caused heightened concerns as to how and when my matter would be resolved. 

XX/XX/XXXX : I placed a follow-up call to see if there was a status update and the young lady placed me on hold for about XXXX minutes. She said that she wanted to ensure that someone was reviewing the matter and that a ticket was issued. She still was not able to provide an update and she even mentioned that sometimes it can take 30 days before the file is notated, which I feel is unacceptable. 

I still have not received any status updates on this matter and am not sure if it is even under review. I am in the process of applying for a Home Equity loan because I need to make some emergency home repairs. The lender will need my correct mortgage balance before I can proceed with applying for the loan. I am very concerned about the handling of this matter because they have already made an error with the documents I mailed and also haven't been able to provide any updates on the status. I would greatly appreciate any assistance that you guys could provide to move this process along, and also ensure that this matter is handled correctly and expediently.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation