Consumer complaint received 2019-10-01
Company: Specialized Loan Servicing Holdings LLC
State: KY
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
XX/XX/2019, mortgage was transferred from XXXX XXXX XXXX XXXX to Specialized Loan Servicing. Per XXXX XXXX, mortgage was paid up and next payment would be due with SLS on XX/XX/19. On XX/XX/19 & XX/XX/19 payments of {$370.00} were made ( two half payments ) on SLSa website to cover the XX/XX/19 payment. SLS called on XX/XX/XXXX looking for the XX/XX/19 payment. When I explained that the 2 payments were for the XXXX payment, I was initially told that those 2 payments would have been for XXXX. When I explained I was current to XXXX, I was then told the payments were applied to principal instead of the payment. Got the issue straightened out then. Could not enroll in the bi-weekly payment plan because SLS requires a payment in advance when XXXX XXXX did not. Was told my account was noted that I would continue to manually pay 2 payments leading up to the due date for the next month. Was told that since the account was noted that it would be possible that the payments would apply correctly if a rep went into the account to look for payment. If not, I could call in and get a Cash Correction and the funds would be applied correctly. I did this every month without issue, verifying that my payments were applied correctly and that my mortgage was current. I called SLS on XX/XX/XXXX to make sure my XX/XX/19 and XX/XX/19 payments were applied to the amount due on XX/XX/19. Spoke with a rep named XXXX out of the XXXX office who didnt seem to grasp the concept of how my mortgage was paid, I had to call back on XX/XX/19 and spoke to XXXX who told me that my account had been screwed up pretty bad by a previous rep. She told me that she would put in a request for a Cash Correction to get the XXXX XXXX payments applied to the bill due on XX/XX/19. Was told this would take care of the issue and I would not incur any late fees. As of today, my account still shows late. I spoke with a rep name XXXX who tried to state that going way back to my XXXX payments that those were actually for XXXX ... my loan wasnt even transferred to SLS until XXXX. She tried to tell me per that explanation that Ive technically been late since then ... even though my mortgage has been current and I have not been applied any late fees at all until now when my XXXX payments for the XX/XX/19 bill were not applied correctly. Let it also be noted that I get a lot of misinformation from SLS. I have been told that Cash Corrections take 3-5 business days for the account to reflect. XXXX told me it could take 15 days. Was also told by XXXX that all Cash Corrections get a call back from a supervisor ... XXXX said that was not the case. Was also told by all the other reps that when I make partial payments ahead to cover the next months payment ( example, {$370.00} on XX/XX/XXXX and {$370.00} on XX/XX/XXXX go to the cover the {$740.00} due on XX/XX/XXXX ... and so on for every month after that.. ) that it actually goes to the principle ... as extra towards the balance until a Cash Correction can be made to reverse those out to go towards the payment. XXXX states today that when I make the partial payments that they go towards that months payment ( example, the payments I made XX/XX/19 and XX/XX/19 would have gone towards what was due on XXXX ) and not the principle. There again, I am getting different information. Was met with nothing but excuses, inquiries as to why I split up my payments and just a general poor attitude. It appears that the issue lies with the XXXX and XX/XX/XXXX payments not being applied to take care of the XX/XX/19 amount due. The general feeling from XXXX was that it was a lot of trouble for SLS to go in and do Cash Corrections and get the funds applied correctly..and that no matter what I would still have to call in to get the changes made every month. I was told by XXXX that SLS is a Mortgaging Service and not a bank and that how I made payments with XXXX XXXX May not be the same as with SLS. Instead of digging into the issue, all XXXX wanted to do was pointy fingers at me and blame me for the situation. ALL PAYMENTS I HAVE MADE HAVE BEEN FOR THE MONTHLY PAYMENTS ONLY AND NOT TO PRINCIPLE. ALL FUNDS THAT HAVE BEEN APPLIED TO SLS SHOULD REFLECT THAT!!!

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