Consumer complaint received 2021-09-08
Company: SELECT PORTFOLIO SERVICING, INC.
State: CA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
This is about dispute with my mortgage company Select Portfolio Servicing , Inc . 
XXXX XXXX XXXX XXXX XXXX XXXX, UT XXXX, Tel : XXXX. The account number is # XXXX. Throughout this ordeal I have kept SPS regularly informed and emailed and efaxed them all the related documentation.In short it is about XXXX County 's offer, due to the pandemic, to postpone payment of property tax for 90 days without penalty, a problem on their end when their computers anyway charged the penalties, a series of instructions not to pay the penalties, and SPS 's decision to anyway pay the penalty ( which I had anyway already paid ) and begin to impound or escrow property tax to punish me. 

1. I own a home located at XXXX XXXX XXXX XXXX, XXXX CA XXXX. 
2. I have the property tax due in XXXX and XXXX of every year and I pay in a timely manner. 
3. I do not remember ever being required to escrow insurance or property tax. 
4. In XX/XX/XXXX the State of California issued rules to " shelter in place. '' There was chaos everywhere because of COVID. 
5. Exhibit 1- XXXX County told us we could pay our property tax bill due XX/XX/XXXX ninety days late without penalty. 
6. Exhibit XXXX XX/XX/XXXX - My request to take advantage of the 90-day moratorium was approved by XXXX County.

7. Exhibit 3- Despite this, XXXX County reported my property taxes delinquent and a penalty of {$1700.00} was assessed. I spoke with my County Supervisor and was told not to worry. I would not owe the penalty assessed because my request to defer payment for 90 days without penalty had been pre-approved in writing. Everyone in XXXX County was having the same problem.

8. Exhibit 4 - on XX/XX/XXXX - I paid the property tax bill of {$17000.00} which had been due on XX/XX/XXXX. 
9. Exhibit 5 XXXX - XXXX County asked all homeowners not to " be alarmed if we receive a notice and see penalties. " It does not mean we have rejected your request.

10. Exhibit 6 XX/XX/XXXX - Official email from XXXX County that it may take up to 90 days to make all necessary account updates.

11. Exhibit 7 - XX/XX/XXXX At the request of my County Supervisor XXXX XXXX, Public Service Division, XXXX County Treasurer and Tax Collector again confirmed in writing I did not owe the late penalty.

12. Exhibit 8 - XX/XX/XXXX - Under extreme pressure from SPS, although I have been told by XXXX County not to pay the penalty, I pay the penalty of {$2100.00}.

13. Exhibit 9 - XX/XX/XXXX Mr. XXXX again confirms I paid the penalty and interest to avoid issues arising from your mortgage company who were unwilling to wait for the property tax office to cancel the penalty.

14. Exhibit # 10 XX/XX/XXXX 7 days after I paid the penalty and informed SPS , SPS informs me they have also advanced funds on behalf of the delinquent taxes due to the urgency surrounding those tax payments. Because I paid and they paid, the account now has a positive credit.

15. Exhibit # 11 XX/XX/XXXX SPS informs me they have again received copies of correspondence related to the fact that XXXX County accepts full responsibility and that I have anyway paid.

16. Exhibit # 12 XX/XX/XXXX Despite the fact that SPS knows that I paid the penalty, that XXXX County said I should not pay, they inform me they are impounding property tax going forward.

17. Exhibit # 13 XX/XX/XXXX SPS will review my request and get back to me in 30 days.

18. Exhibit # 14 XX/XX/XXXX Mr. XXXX writes yet another letter confirming that they will be refunding SPS and me the full amount paid by each of us.

19. Exhibit # 15 XX/XX/XXXX Despite the above, on the Customer Dashboard related to my mortgage, there are six boxes. Box 6 ( bottom left ) is labeled escrow-taxes. It states that the current escrow balance is $ XXXX, that the new monthly escrow will be {$2900.00}, the next installment is due on XX/XX/XXXX and installments have been paid in Semiannual unequal intervals or amounts. 

Thank you for helping me resolve this.

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