Consumer complaint received 2022-06-22
Company: SELECT PORTFOLIO SERVICING, INC.
State: GA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
I had a new loan close on XX/XX/XXXX with XXXX XXXX XXXX. The loan was transferred to Select Portfolio Servicing immediately with notice that the terms of the loan would remain the same and that payments should be made to SPS. The original terms of my loan have a higher interest rate because I chose to WAIVE escrow for Hazard Insurance and Property Taxes. The only insurance that was included in loan and required to be escrowed was Flood Insurance for {$2700.00}. At closing all Hazard Insurance, Flood Insurance and Property Taxes had been paid in full prior to closing with receipt and Flood Insurance that was required in escrow was collected for an additional 3 months. The payments of principal/interest and Flood Insurance escrow XXXX {$220.00} ) totaled {$4700.00}. On XX/XX/XXXX we received a letter from SPS requesting we notify our insurance and have Loss Payee changed to reflect SPS. We again complied and a copy of this information was uploaded to their portal. I spoke to insurance department XX/XX/XXXX and they acknowledged they had the corrected Loss Payee and nothing further needed. Then on XX/XX/XXXX we receive an Escrow Analysis for upcoming year XX/XX/XXXX thru XX/XX/XXXX that included ALL insurance and taxes in escrow ( Hazard, Flood, and Property Tax ). I immediately called and spoke to SPS and they said only way to remove it was to put it in writing ( mind you they legally could not change the terms of the loan and yet they did ) and that they would send me a form to complete and fill out. I signed the Escrow Account Closure Request on XX/XX/XXXX and uploaded that to SPS portal, along with a copy of the closing documents that showed the Escrow Waiver. SPS acknowledged receipt of said documents on XX/XX/XXXX. I called again XX/XX/XXXX to check the status and was told it was being removed and that I would receive a letter indicating such. To date, nothing has been done. I received billing statement for XX/XX/XXXX that included escrow for all hazard, flood and property tax for an increase of {$1000.00} per month to the mortgage. I called and spoke to XXXX on XX/XX/XXXX and she acknowledged they had 30 days to remove ( which would have been XX/XX/XXXX and already passed ) and then went on to say it was showing the matter to be completed no later than XX/XX/XXXX. On XX/XX/XXXX I again checked on their portal to see if any changes had been made and noted the payment had been lowered from {$5700.00} to {$4800.00}, but had not been lowered to the original amount of {$4700.00}, a difference of {$130.00} higher per month. I immediately called SPS and spoke to representative that said there was nothing she could do and that the escrow department did not have a number, nor was I able to speak with them directly, regarding this continued error. She said the difference of {$130.00} was because of a " shortage in escrow '' and said that I could find that on the escrow analysis of XX/XX/XXXX. I reminded her that the escrow analysis was based off of ALL Hazard, Flood and Taxes when the error was made and that if escrow of Hazard and Taxes were removed properly, there is not a shortage. She again stated nothing she could do. She did advise she would reach out to her supervisor and put me on hold. I waited over 30 minutes before she disconnected me and never returned the call. In closing, the escrow payment continues to be incorrect, I can not get a human being that is able to logically critically think and correct their mistake. Short of filing a suit, getting their attention has been difficult and what they are presently doing is illegal. Your help with this matter is most appreciated.

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