Consumer complaint received 2020-10-29
Company: SELECT PORTFOLIO SERVICING, INC.
State: CA
Product: Debt collection
Sub-product: Mortgage debt
Issue: Attempts to collect debt not owed
Sub-issue: Debt was paid

Complaint:
This complaint is in regards to a payment that has not been properly credited with my new loan servicer. 

XX/XX/XXXX : I made my XXXX payment of {$350.00} to XXXX XXXX via my Bill Pay system with my credit union. 

XX/XX/XXXX : I received a letter ( dated XX/XX/XXXX ) from Select Portfolio Services ( SPS ) stating that my 2nd mortgage account was being transferred from XXXX XXXX to Select Portfolio effect XX/XX/XXXX. It further stated that XXXX would stop accepting payments from me after XX/XX/XXXX and that SPS would accept the payments starting XX/XX/XXXX. It also indicated that if I had already mailed a payment to my prior servicer and it is received after this date, it would be forwarded to SPS for processing. 

XX/XX/XXXX : The {$350.00} payment was paid to XXXX per my bank statement. 

Week of XX/XX/XXXX : I called SPS and explained the situation of my payment being made to my prior servicer in the midst of the transition. SPS advised me that it takes 4-6 weeks for the payment to get forwarded and processed. SPS assured me that this was not an issue and a notation would be made on my account. 

I received some non-payment calls from SPS and each time had to explain the situation to them. 

XX/XX/XXXX : Per the request of SPS so that they could look into my payment issue, I faxed my bank statement listing the {$350.00} payment to XXXX. I also noted that when checking my XXXX account online, it showed my {$350.00} as Unapplied Balance which meant that they had not applied the payment, probably because my loan was no longer with XXXX. 

I continued to receive phone calls and some letters regarding non-payment. 

XX/XX/XXXX : I spoke to XXXX ( Relationship Manager ) who told me that it takes up to 60 days for the funds to be transferred over and processed. XXXX claimed that they never got my fax documenting my payment to my prior servicer so I faxed all the paperwork again. I also sent the same requested documents via USPS Certified Mail. 

SPS continued to call about the non-payment and each time I would have to explain what was happening and they would tell me that they would note that in my account. 

I continued to check online my XXXX account and continued to see the {$350.00} Unapplied XXXX. 

XX/XX/XXXX : I spoke to XXXX at XXXX and inquired about my {$350.00} Unapplied Balance and inquired about the status of that payment being transferred to my new servicer, SPS. XXXX stated that she did not know why it had yet to be done but said that put an expedite on the funds transfer. 

XX/XX/XXXX : As of today, I am continuing to get phones calls, almost on a daily basis, from SPS regarding non-payment. I called XXXX and spoke to XXXX who informed me that my {$350.00} payment was sent to SPS on XX/XX/XXXX ( Check # XXXX, Batch ID # XXXX ). I am hoping that this is correct as I have gotten conflicting information in the past. 

Every time a SPS representative calls me, I have to explain the entire history to them and they simply tell me that they will make note of it on my account but apparently these notes are meaningless and not read by anybody as proven by their repeated phone calls to collect a debt. The representatives defense of it being an automated call is inexcusable.

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