Consumer complaint received 2021-03-29
Company: SELECT PORTFOLIO SERVICING, INC.
State: DE
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
I was told by Select Portfolio Servicing , Inc ( SPS ) that in XX/XX/XXXX I clicked on their information banner for Covid-19 assistance. I supposedly filled out information stating I wanted information but I would be able to make my monthly payments. I made my XX/XX/XXXX on time. I was later told by Manager XXXX that I CALLED and requested forbearance and a letter was sent in XX/XX/XXXX stating I called. When I disputed this call I was then told the request was made online. 
XX/XX/XXXX, my statement showed a deferral of {$1200.00} on my account. I called SPS and explained I did not request a deferral and I wanted it removed. They said they would send a request to have it removed. I made my full XXXX payment on time, but my XXXX payment was never applied. It appears SPS reversed the deferral but then recorded an illegal short payment of {$1200.00}. They then recorded my full payment but that payment was held for 30 days and applied to my XXXX payment. Since that time each month they hold my on time payment for 30 days and apply it to the following month 's payment as if it were held in a suspense account. 
XXXX I contacted SPS again because I applied to refinance and the deferral was never removed as promised. I was told they made an error back in XX/XX/XXXX and sent the request to the wrong department and it was denied. I never received communication informing me of that denial. 
XX/XX/XXXX or XXXX, XXXX I contacted SPS again asking that the deferral be removed but this time spoke with a supervisor and I asked to be provided with a letter explaining the error to give to the refinance company so I would not have a problem with my refinance. I never received the letter as promised and the deferral was not removed. 
XX/XX/XXXX I contacted SPS and spoke with XXXX ( manager ) and she said the deferral removal was requested on XX/XX/XXXX but held until XX/XX/XXXX. She said she was sending an escalation to get it resolved. I explained I was scheduled to refinance the following week. 
XX/XX/XXXX, I contacted SPS and spoke with XXXX ( manager ) and was informed I would not be receiving any letter as promised, I would need a subpoena to get the supposed application/request for this deferral, I could not pay the deferral or resolve this unless I made a balloon payment for the entire mortgage, there was not lien or XXXX mortgage but most importantly there were no terms agreed to or spelled out to get out of this forbearance program. 
XX/XX/XXXX I contact SPS and speak to XXXX, I explain I was scheduled to close today but can not because of the deferral. She initially looks at my account and says I missed a payment back in XXXX. I explain to review my account because I never missed a payment. Even she was surprised I was put in forbearance/deferral when I never missed a payment. I asked her to note it on my account. 
XX/XX/XXXX I received a call from XXXX was stated they were trying to get my deferral reversal approved but I had to wait and he couldn't tell me how long. I explained again I was supposed to refinance the day before but could not until this was resolved. 
XX/XX/XXXX I found a letter on my account stating I applied for workout assistance and the deferral was being denied. At this point I call SPS and got no where and began contacting Delaware State agencies to get some help. I found this website.

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