Consumer complaint received 2016-12-20
Company: SELECT PORTFOLIO SERVICING, INC.
State: GA
Product: Mortgage
Sub-product: Conventional adjustable mortgage (ARM)
Issue: Loan servicing, payments, escrow account

Complaint:
XXXX XXXX, XXXX XXXX XXXX XXXX XXXX, XXXX XXXX XXXX XXXX, Director Headquarters address Consumer Financial Protection Bureau XXXX XXXX XXXX XXXX XXXX XXXX XXXXXXXXXXXX XXXXXXXXXXXX XXXXXXXXXXXX Dear XXXX XXXX ; RE : SPS : XXXX XXXX SPS refund excessive property taxes from XXXX to XXXX estimated has {$81000.00} plus interest by XXXX XXXX, XXXX. I would like for SPS to assume the responsibility of collecting the over paid taxes fro XXXX XXXX Findings After numerous attempts to sale XXXX XXXX XXXX XXXX, XXXX real estate experts have informed me that the failure to sale my property for over two years is due to uneconomic and excessive real estate escrow by SPS and XXXX XXXX 's failure to adjust property taxes. 

Background I spoke to an SPS Ombudsman professional today. The representive implied that the over payment of taxes from XXXX was not SPS responsibility. 

XXXX, at the closing of the home purchase the real estate agent XXXX XXXX of XXXX XXXX nor XXXX, the mortgage lender did not inform me that the monthly real estate taxes exceeded mortgage Principal and Interest. There is failure to disclose At the time of purchased XXXX XXXX XXXX XXXX XXXX XXXX appraised my home for {>= $1,000,000}. I purchased the home for {>= $1,000,000}. Non Market Assessment During the Great Recession ( XXXX ) I requested a mortgage Modification from XXXX Mortgage. After the modification I realized that my monthly principal and interest was less than my P & I. 

I contacted the XXXX XXXX XXXX XXXX and appealed the taxes during this period with no significant change. The servicing right form my mortgage was transferred to SPS during this period. 

Over the next years from XXXX to today I have corresponded to SPS, XXXX XXXX and CFPB. ( Failure to manage servicing and not being responsive to market decline ). 

In managing risk SPS was not prudent in challenging an obvious uneconomic structure of a mortgage. The Property Taxes exceed annual Principal and Interest payments. 

The excessive taxes where the cause of the credit risk and the need to modification. 

Loss mitigation could have been solved my simply address the tax assessment. 

SPS and XXXX XXXX continue to escrow and pay taxes has on XXXX real estate prices after an average 30 % market correction. In fact XXXX XXXX increase the assessment. This would imply that market prices very declined during the Great Recession and market prices continued to increase. 

The XXXX and SPS modifications were reckless an negligence. In fact, my mortgage P & I and taxes were higher after modification than before. 

First, I questioned the economics of my mortgage in numerous well-documented correspondences to, XXXX XXXX, CFPB and SPS. 

The major concern was why the principle and interest less that the taxes. 
SPS never provide a technical explanation or analysis. 





XXXX Number Location Address XXXX XXXX Assessments XXXX XXXX XXXX XXXX XXXX XXXX {$650000.00} XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX CLUB CIR XXXX XXXX XXXX XXXX XXXX CT XXXX XXXX XXXX XXXX XXXX XXXX {>= $1,000,000} I will give SPS the rights to pursue the tax over payment to XXXX XXXX. I need my cash by XXXX XXXX, XXXX in order to relocated. 

Please respond as soon as possible sine I am being removed from the home and need funds to resettle. 



Sincerely, XXXX XXXX

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