Consumer complaint received 2022-03-31
Company: Specialized Loan Servicing Holdings LLC
State: MI
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
Specialized Loan Servicing LLC has taken an already difficult natural disaster related insurance claim and made it even more problematic. I spoke with three SLS representatives in different departments explaining in detail that the previous servicer could not endorse our claim checks due to a criminal investigation in which the servicer ultimately was barred from servicing the loan. The XXXX month delay has caused more damage and tremendous financial hardship as my wife and I covered all repair cost up until now. 

On XX/XX/XXXX XXXX XXXX in SLS claims department assured me due to the prior circumstances that occurred my claim would be processed and expedited in the sum of exactly {$40000.00} and the remaining funds {$2000.00}, would be released after SLS had an inspection done. Please note the claim amount to be released from escrow in the initial agreement with SLS is considered a monitored disbursement. 

Furthermore XXXX XXXX told me I did not need to include any receipts which show the cost my wife and paid out of pocket to make the home safe to enter after the natural disaster occurred. XXXX XXXX specified twice, all I needed to provide was the insurance adjusters worksheet. He gave me instructions on how to sign the checks over to SLS and mailing instructions. 

Several days later I received a check by mail for {$10000.00}. Concerned SLS had arbitrarily breached the agreement I called back to the claims department and XXXX answered. I explained to him what happened and that the deception was unacceptable as it could lead to further repair delays and my family and I have already been out of our home 6 months. 

He told me he remembered speaking with me and put me on a lengthy hold before returning and telling me my claim was entered into the computer wrong and that it has been corrected and the funds would be released from escrow. 

Several days passed and I did not receive the promised funds. I called back and spoke with a representative named XXXX XXXX, who was very rude. I explained to her the situation and she stated her records show my claim is being treated as an old claim and that funds have been denied. 

It was only after I explained to XXXX XXXX that I am well aware of my rights and I was covered during the time of the flood disaster as my insurance policy is backed by the XXXX XXXX XXXX XXXX XXXX she recanted her rhetoric. She stated the money is in escrow and that SLS has no problem reimbursing its costumers for out pocket cost.. 

I was then told to send the proof of receipts for the repairs done and my funds would be released immediately. XXXX XXXX apologized for XXXX and said he must have been new and made up something. I stated an apology will not cover SLS 's liability for the cost as more damages may occur to my home due to unnecessary delays being caused. 

I requested that XXXX XXXX have a supervisor contact me concerning this matter. She stated their names were XXXX and XXXX and that she could not give me their last names and neither contacted me. I did not get to speak with the supervisors nor did they call me back at a later date as I was told. 


On XX/XX/XXXX I spoke with a representative in the lost draft department named XXXX. She said my receipts are on file and that they were approved to release an additional {$1200.00}. This communication is further evidence of a pattern of SLS arbitrarily choosing disbursement amounts that violate the initial agreement and will do very little in helping us repair our property in a timely fashion. 
It should be noted the first $ XXXX was sent out prior to SLS requesting receipts for the repairs we paid for out of pocket, as it was agreed the claim would be expedited due to the 6 month delay prior to SLS becoming the servicer in XX/XX/XXXX. 

The {$1200.00} was not part of the reimbursement agreement established with SLS on XX/XX/XXXX. SLS has continued to conflated this matter through procedural negligence and false statements. SLS attempt to combine the remaining balance of our repair cost with the $ XXXX that was disbursed prior to SLS requesting proof of our personal repair cost is problematic and highlights a pattern of on inconsistency. 

After the call with XXXX was disconnected while I was waiting on hold, I called back to the loss draft department and spoke with a representative named XXXX XXXX. She stated that the receipt I sent SLS for {>= $1,000,000} did not specify that it was paid in full. I stated I don't understand, it is a service receipt not an an invoice. 

I contacted the contractor and resolved the matter and forwarded it to SLS. A week later on XX/XX/XXXX, I spoke with XXXX XXXX in the loss draft department. XXXX XXXX stated that SLS was still having a problem understanding if a balance was owed or if I paid the amount stated on the receipt. 

On XX/XX/XXXX I spoke with XXXX XXXX in the lost draft department. She stated SLS did receive the signed and updated receipt required for their records but they will now need to schedule an appointment for an inspection. I agreed but clarified repairs required by the adjuster have not been preformed, as our personal funds were depleted repairing what we could while waiting on disbursement of our insurance claim funds. 


XXXX XXXX stated the inspector would be coming for a basic check of the condition of the property as SLS has not seen the property since becoming the servicer. She said SLS would disburse possibly more than the {$18000.00} once the inspection is done but no less. I told her I have no problem with the inspection as my concern is that further delays on repairs will cause more damage. 

On XX/XX/XXXX, I received a voicemail from a woman named XXXX who said she was calling to schedule an inspection. XXXX XXXX left a phone number XXXX XXXX ext XXXX. This number was a XXXX wireless cell phone which was disconnected. Furthermore she left a phone number for the company XXXX which is suppose to preform an inspection. Said company has not returned my calls despite me leaving voice mails in different departments XXXX times. ( XXXX ) On XX/XX/XXXX a man named XXXX from an undisclosed company said he was contacting me on behalf of SLS to schedule an appointment for XXXX. I explained to him XXXX left a disconnected phone number with an extension and that XXXX does not answer. He stated he would email them because they usually respond fast, try contacting them again and wait a day, and if I didn't hear anything back call him on the XX/XX/XXXX because, this is not ok. 

I called XXXX XXXX on XX/XX/XXXX he did not answer I left him a detailed voicemail stating once again I was not contacted by XXXX nor did they answer when I called them. XXXX XXXX called on XX/XX/XXXX and left me a message stating that he is trying to reach out to the inspection company again and that he actually put an extremely high XXXX on the email to call me or text me. XXXX XXXX said he received an update showing that XXXX called me on XX/XX/XXXX. 

XXXX XXXX stated wait another day and call him back as he would attempt to reach out to them. On Friday XX/XX/XXXX, XXXX from XXXX contacted me and stated she just spoke with her inspector named XXXX and to give him a call. I immediately called XXXX XXXX at XXXX and scheduled the inspection for XXXX XXXX XXXX XXXXXX/XX/XXXX, XXXX XXXX XXXX walked through the home and took pictures of the floors and the roof and gutter which has been repaired. He also took pictures up stairs and stated to me it is dry confirming no more water was entering the home from the wind damage to the roof as our receipts verify we also had the half the roof and gutter system repaired and replaced. 

XXXX XXXX stated he had been watching my home for a year prior at the request of the inspection company XXXX and that he seen my sons bike on the porch and the kitchen light was on several times he even observeed my grandson I cutting the grass. He stated that he told his superior at XXXX that the home is occupied multiple times and as recently as a months ago ( XXXX ). If XXXX XXXX statement is true it indicates SLS like the previous servicer is aware that the home is XXXX and not abandoned and is still intentionally attempting to withhold claim funds needed to finish repairs in hopes of compouding finacial hardship in order to foreclose on our home. 

Please note when the inspection was preformed by XXXX XXXX did not take pictures of the area associated with the second part of the insurance claim located in the basement and it accounts in part for the sum total of funds being held in escrow for repairs at this time. It also provides more evidence that repairs were initially started as I informed SLS.

SLS was made aware several times of the repair delays the criminal investigation of the previous servicer caused and they were barred from endorsing the insurance claim checks. I reiterated the above fact because our property suffered additional damage because of repair delays and my wife and I have covered the repair cost the best of our ability. Please note specific consideration and terms was discussed and agreed to via phone call with SLS. My wife and I have cooperated with every SLS request despite the pattern of misrepresentation its personnel. 

On XX/XX/XXXX an SLS representative named XXXX told me SLS received the inspection photos at XXXX am and that they would contact me in XXXX business days. SLS has not contacted me as of XX/XX/XXXX. 

On XX/XX/XXXX I spoke a SLS Representative name XXXX she stated SLS was waiting to hear back from the inspector and that they would try to get the direct contact information for the inspector to expedite. I explained to her the representative XXXX stated the results came in at XXXX on XX/XX/XXXX and that I have the inspectors direct contact number in front of me. 

I requested that XXXX get a XXXX who would be able to give me a straight answer before I filed a complaint. She left me on hold for a considerable amount of time before telling me no XXXX were available and that she would have someone contact me later on today. I have no faith in SLS 's upper management to address this matter as they have repeatedly not returned my calls.

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