Consumer complaint received 2019-04-14
Company: Specialized Loan Servicing Holdings LLC
State: MD
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
In the latter part of XX/XX/XXXX, I was notified by my current mortgage holder XXXX XXXX, that my loan was being transferred to Specialized Loan Servicing and beginning in XX/XX/XXXX i would start making payments ( which include homeowners and real estate taxes ) to them. Soon after taking over my loan, I was sent a notice dated XX/XX/XXXX stating my account had an escrow shortage of {$1100.00}, and that they would be raising my mortgage payment from XXXX to XXXX. I called in to SLS and expressed by disbelief and displeasure at this notice and asked for an explanation of how this was possible considering the amount taken out of my payment for escrow. Based on the information found on my monthly payment notice, i am paying {$230.00} per month for escrow, and have been since at least XX/XX/XXXX ( XXXX XXXX records stop there ), so in 12 months this would total {$2700.00}. My real estate taxes are {$1700.00} a year and my home owners insurance is {$810.00} a year for a total of {$2600.00} annually. So mathematically, I would have a SURPLUS of {$190.00}. Apparently SLS and perhaps XXXX XXXX, require a 2 month buffer, so add two payments of {$230.00} for a total of {$460.00}, subtract the surplus of {$190.00} and the balanced owed would be {$270.00} NOT {$1100.00}. Also, I have asked for my escrow payment to be removed from my mortgage as I would rather pay it since XXXX XXXX or SLS can't be trusted for accurate accounting. SLS informed me, that when I had agreed to a loan modification by XXXX XXXX, the agreement contained language which prevented me from withdrawing the escrow out of the payment. If this was indeed the case, I wasn't aware of it, and by any means, this agreement would've been with XXXX XXXX, not SLS. SLS is essentially resorting to extortion, by forcing me to pay an increased payment which should be an illegal practice, when the information clearly shows they are mismanaging my account payments. Also, after my loan modification, I believe my payment was approximately {$620.00} per month, and XXXX XXXX had already increased my payment for a supposedly escrow shortage after the modification, raising it to {$640.00}. So once again, the accounting doesn't add up for any shortage period. I paid the funds into by account. Please look into this matter, as we are certainly aware, XXXX XXXX is not above breaking the law and taking advantage of their customers. If mortgage companies can force escrow increases for each of their customers, imagine how much extra money is being brought in to the company and making it more profitable on the backs of the public. Apparently SLS is of the same ilk as XXXX XXXX. There are also a matter of late fees which were owed to XXXX XXXX, and SLS are stating i now owe these fees to them, which I find ludicrous. XXXX XXXX gave up the opportunity to recoup those when they sold my loan. Also, I have gone through a separation from my wife, making me a single parent with the compete responsibility of paying all bills. As my credit was hurt during this event, I can not find someone to offer a refinance so I can be rid of SLS. I will also be reporting this to the State Attorney 's office of Md. I appreciate your time looking at this matter. 
Sincerely XXXX XXXX

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