Consumer complaint received 2018-09-20
Company: SELECT PORTFOLIO SERVICING, INC.
State: CA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Struggling to pay mortgage

Complaint:
I have been trying since XX/XX/XXXX to have my lender acknowledge that I have made my modification payment and to receive the XXXX that I am entitled to for the year XX/XX/XXXX. I was told that I was not credited for the payment becuase the payment was returned which is not true, the payment in question forXX/XX/XXXX was the first modification payment which was due in certified funds. Whether the servicer was keeping the payment in suspense or not is unknown because the payment history they sent clearly shows there were payments received and not returned for XX/XX/XXXX and XX/XX/XXXX. Yet the correspondence received shows a XX/XX/XXXX payment which was returned which was correct as I stopped payment when a forced placed insurance policy was added to my account which was also illegal as I had homeowners insurance and provided several times to the Servicer. Under IRS tax code I must receive a XXXX in the year the interest payment was made, It took 120 days from my initial inquiry for a response and during that time my mortgage was refered for foreclosure .I contacted the servicer in XX/XX/XXXX as I was in a trial modification and I wanted any payments made credited that had not been credited toward the modification that started on XX/XX/XXXX. If there was a reason that they could not be then it should not take 120 days to notify me and I still don't have an adequate answer as the letter I received conflicts with the payment history they sent me. Not only was I in an appeal period during the the referral to foreclosure, I notified the Trustee and the Servicer that they could not schedule an illegal foreclosure sale as it is against California State Law to use a Notice of default that is more than 365 days old without a sale date, however no one at the Servicer or Trustee will respond to my inquiries. My main concern is I did not get credit for the payment and SPS is using this a reason to foreclose and not extend a permanant modification. Had they responded in the timeline required for a Qualified Written Request this referral for foreclosure could have been avoided. In addition they sent me a letter to send a payment in, I did so within the requested time frame and they sent me a letter saying they were sending my payment back with the letter and they did not send the payment back that I had made. SPS does not respond to inquiries in a timely manner, they have left me in limbo several times without the consideration of responding to my concerns. It seems that it is common sense that a person in a modification does not have lots of extra money to not care if they receive a XXXX or have payments not credited. The relationship manger assigned to me has not returned a single phone call and then after they filed a Notice of Sale the Relationship manger was changed and that person has not responded to any inquiries. I want an adequate response and I need to an answer as to why my modification was withdrawn but the payments were not credited or returned from either of the 2 trail modifications. I want the modification but I want to be credited accurately and I want the foreclosure proceeding to be halted as it is illegal just based on California Law.

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