Consumer complaint received 2018-05-02
Company: Shellpoint Partners, LLC
State: PA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
I have a property that I had fallen behind on payments due to loosing my ability to work. That mortgage was turned over to Shellpoint mortgage servicing. I entered into a modification agreement with Shellpoint to prevent foreclosure. I also made them aware that the property was being repaired and prepared for sale. I spoke with a point of contact I the loss mitigation department about once a week. I notified that contact when we entered into sales contract around the 1st week of XX/XX/XXXX. I also asked them for a final payoff good through XX/XX/XXXX. Two weeks passed, and I did not receive anything from Shellpoint so I made the request again and the representative assured me it would be emailed this time to prevent any loss in the mail. The second request was also never received. About a week before closing I made a final request one last time and also called the closing company to let them know I did not know the final payoff. The closing company sent me a form which they also requested a payoff good through XX/XX/XXXX. The closing company received a payoff faxed from Shellpoint Mortgage Servicing on XX/XX/XXXX with a perdiem schedule. As planned on XX/XX/XXXX the property closed. On XX/XX/XXXX a payment in full was sent to Shellpoint for the total payoff plus 5 days perdiem. On XX/XX/XXXX I was contacted by Shellpoint on the phone notifying me that I was now another month behind and they would be moving forward with foreclosure. I informed the representative that I had made a payment in full on XX/XX/XXXX and was told no payment was received. I contacted the closing company ( XXXX XXXX XXXX ) and the confirmed the payment was received on XX/XX/XXXX. After I called back to Shellpoint with a copy of the routing # and confirmation I was told that the payment was short around 600.00 for additional fees that were not included in the payoff which was sent to the closing company. The closing company told me to have Shellpoint contact them and they would correct any discrepancy. On XX/XX/XXXX Shellpoint returned the funds to the closing company without my knowledge. A few days after that Shellpoint called to harass me again about the shortage and nonpayment and that is when i found out the funds had been returned. This time I called them back with the closing company on the phone and at this time the story changed again. the representative on the phone now said they had paid additional taxes on XX/XX/XXXX. The closing company also collected the tax money at the closing. The closing company contacted the tax authority to confirm if they had received 2 tax payments and the tax authority informed them they had not. The only tax money received was from the closing company. On XX/XX/XXXX I called back to Shellpoint with the closing company on the line and a copy of the paid tax bill. I was informed the only way to clear the loan was to pay nearly 900.00 in taxes and penalties or they would just keep adding up. Shellpoint also informed me and the closing company that it would take 6 to 8 weeks for them to confirm them to confirm the tax payment and during that time because they returned the payment interest would continue to accrue. The closing company agreed to fund today to stop any interest. As of XX/XX/XXXX no payment has been made to the tax authority. I should not have to pay for Shellpoints mistake.

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