Consumer complaint received 2019-10-14
Company: Specialized Loan Servicing Holdings LLC
State: NY
Product: Mortgage
Sub-product: Home equity loan or line of credit (HELOC)
Issue: Trouble during payment process

Complaint:
My name is XXXX XXXX and I currently have a home equity line of credit with SLS. In XXXX I lost my job and fell 2 months behind on my payments in XXXX. After several discussions with personnel at SLS I understood that if I added additional money to my monthly payments that money would be held in an unapplied funds account until such a time that a full payment could be made. I started adding additional money over and above my monthly payments and soon realized the money wasn't being held in an unapplied funds account. I immediately started calling SLS to straighten everything out. Attached you will find notes of who I spoke to, dates and times. You'll also see that on multiple occasions commitments were made to straighten everything out.After 4 years and a formal complete I was told that SLS wouldn't apply any additional funds over the mortgage payments to the 2 back payments. I was also told that from that point on if I called my in payment monthly and specified the additional funds were to be held in unapplied funds they would then be held until a full payment could be made. On XX/XX/XXXX I made a payment of {$700.00}. XXXX for the mortgage payment and {$100.00} to be added to the unapplied funds account. Confirmed by XXXX of the Customer Service Team. On XX/XX/XXXX I spoke to XXXX paid {$610.00} and {$100.00} and {$12.00} Fee to pay over the phone. {$200.00} will remain in unapplied funds ( from XX/XX/XXXX & XX/XX/XXXX ) {$720.00}. Confirmation # XXXX. On XX/XX/XXXX I checked my account and noticed the money was missing from unapplied funds. After many calls I was told several times a supervisor would call back. I never received a call from a supervisor. I did start receiving endless collection calls. Today I checked my SLS account and noticed my unapplied funds account is negative over {$500.00}. My payment of {$720.00} is listed as {$500.00}. Please see attached notes. The annotation takes a few seconds to open so please be patient. Attached is a personal call log documenting much of my communication with SLS with dates and times. I've also attached a spreadsheet showing all payments made to SLS. There is a column showing how much I put into unapplied funds monthly since XXXX when I missed 2 payments. Each month instead of holding the money until a full payment could be made the money would be applied to unpaid principal which left my account perpetually 2 months behind. 

XXXX XXXX XXXX XXXX ) XXXX Also, see below last signed on XX/XX/XXXX XXXX Next Payment Due : XX/XX/XXXX Payment Amount : {$1600.00} XXXX XXXX XXXX PRINCIPAL & INT PAYMENT : {$590.00} CURRENT ESCROW PAYMENT : {$0.00} TOTAL PAST DUE : {$1500.00} TOTAL AMOUNT DUE : {$2100.00} UNAPPLIED : ( {$500.00} ) TOTAL PAYMENT AMOUNT : {$1600.00} LAST PAYMENT RECEIVED : XX/XX/XXXX LAST PAYMENT AMOUNT : PAYMENTS MAXIMUM CREDIT LIMIT : {$100000.00} ACCOUNT BALANCE : {$58000.00} AVAILABLE BALANCE : {$0.00} GO PAPERLESS : AUTOMATIC PAYMENTS : INELIGIBLE Please note, additional loan details are viewable by clicking the Loan Details tab at the top of this screen. 
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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