Consumer complaint received 2022-11-18
Company: SELECT PORTFOLIO SERVICING, INC.
State: CA
Product: Credit reporting, credit repair services, or other personal consumer reports
Sub-product: Credit reporting
Issue: Incorrect information on your report
Sub-issue: Account information incorrect

Complaint:
SPS is the servicer on a first lien ( loan XXXX ) for a property located at : XXXX XXXX XXXX, XXXX XXXX, CA XXXX. A property which I lost through a foreclosure that was executed on XX/XX/2017 by XXXX who was the second lien holder. 

The reason why I was not making mortgage payments to the second lender is because I had hired a loan modification company to modify my first and second loans. This company said that first they would help me with the modification of the first loan and that after that was done, they would work on modifying the second loan. They processed the first loan modification and I was fine with the results, next this company asked me to pay them so they could start working on the modification for the second loan, that at that time XXXX was the owner of the loan. I paid them to start the process of the second loan modification, later they came back to me and said that XXXX was offering me to pay {$8000.00} and that XXXX was agreeing to close the loan and show it as settled for less than owed. I was happy with what I thought it was a real offer from XXXX and gave the {$8000.00} to this loan modification company to send the payment to XXXX ( per the loan modification company 's instructions ), they said that they had sent the payment to XXXX  ( but they didn't ) and that the loan was closed and that I no longer needed to make payments to XXXX  for the second loan, and that is what I did. But, later I started to receive mortgage bills for the second loan and I went back to the loan modification company and told XXXX XXXX who was the person in charge of my loan modification account, that I was receiving bills from XXXX and he said to disregard them that XXXX had not updated their systems that it would take a while for the loan to show as closed, and I believed him. Later I received notices from XXXX stating that they were the new owner of the second loan. I took the notices to XXXX XXXX and he said that there was a mistake and that he would take care of it, later I received FC notices from XXXX and I also took them to XXXX and he again said that the notices were a mistake and that he was handling the situation, later I went back to his office to check the status on the situation and the office was closed/out of business and he was not answering my phone calls. At the end I contacted XXXX and explained what had happened with the second loan but they didn't care about what I was saying to them and their only response was that I needed to pay over {$100000.00} to bring the account current or that they would FC and since I did not have the money to pay them them, they took my house and with the assistance of the county 's sheriff threw me, my wife, my kids and my disable mother in law to the street right before XXXX. 

Please refer to the link below for additional information on the loan modification scam that I was victim of. 

https : XXXX At the time of the foreclosure I was current with my mortgage payments on the first lien but I stopped making the mortgage payments because I had lost the house as a result of the foreclosure. 

Each month for the last 5 years SPS has been reporting me to the credit agencies because I am not making the mortgage payments on a house that I don't own. 

I have contacted SPS and XXXX numerous times to try to resolve this, but they have never listened to my complaints and continue to destroy my credit and my life. This situation is very stressful and is affecting my health, my family, and my financial situation. 

You are the only hope I have to resolve this matter and I respectfully request your assistance.

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