Consumer complaint received 2015-03-23
Company: SELECT PORTFOLIO SERVICING, INC.
State: CA
Product: Mortgage
Sub-product: Conventional adjustable mortgage (ARM)
Issue: Loan modification,collection,foreclosure

Complaint:
Borrower : XXXX XXXX. Address : XXXX XXXX XXXX XXXX XXXX, CA XXXX. Loan # : XXXX. Servicer : Select Portfolio Services. Foreclosure Date : XXXX/XXXX/XXXX at XXXX. Bankruptcy Ch XXXX filed on XXXX/XXXX/XXXX at XXXX. 
XXXX/XXXX/XXXX : XXXX was approved for a Trial Modification under HAMP/MHA by XXXX XXXX. She made 2 trial payments to XXXX. XXXX/XXXX/XXXX : Loan was transferred to Select Portfolio Servicing. She completed the trial payments and after months & months of waiting/calling for updates and demanding answers and requesting escalations the Final Modification documents were drafted on XXXX/XXXX/XXXX. It took them 7 plus months to finalize a modification. In the mean time XXXX who is XXXX year old was being visited by XXXX Real Estate agents from XXXX XXXX XXXX who coerced her into signing a Listing Agreement to sale the home. XXXX/XXXX/XXXX : A XXXX XXXX XXXX agent called SP Servicing and cancelled XXXX 's loan modification on the same day it had been approved, Unbeknownst to XXXX. XXXX/XXXX/XXXX : XXXX and her authorize 3rd party call SP Servicing to get details of the Final Modification so she could sign the documents and mail back. She is told the modification was cancelled and home was in process of Short Sale. She realized she was being defrauded by the agents and cancels the short sale process and demands her modification be validated. She plead with SP Servicing and explained she did n't request the cancellation of her modification for which she had been struggling to get approved for months. They refused to help. She reapplied, but her brother & niece moved out and she no longer had their contributed income to include in her modification application so the review was closed out. She then had no other option, but to sale her home. She listed with a new agent. The previous agent and previous buyer sued stating they had a Right of First Refusal to purchase the property at previous accorded price and with the same agents. This prevented her from closing on the offer she had currently accepted. She hires an attorney to combat these 3rd parties claiming interest in her property. Select Portfolio is aware of her legal battle and on XXXX/XXXX/XXXX XXXX XXXX from SP Servicing confirmed the account would be placed on a forbearance status to allow XXXX to clear the legal issues which would n't be long so she could close escrow and result with a much bigger gain then in a foreclosure. The sale would pay off all liens on the property and afford her with some money to live off of. XXXX/XXXX/XXXX : XXXX XXXX, Supervisor, agreed to postpone the sale date scheduled for XXXX/XXXX/XXXX, but did not and XXXX Filed BK Ch XXXX. After many other calls with SP Servicing, her 3rd party was told they would postpone additional sale dates, and work with the homeowner, but did not and foreclosed on the property on XXXX/XXXX/XXXX after she had filed for Ch XXXX bankruptcy before the sale. On XXXX/XXXX/XXXX, a supervisor from SP Servicing said the sale would be rescinded and it has not yet. The new buyer wants the rescission to be ASAP if it is going to be rescinded to her money is not tied up. Please help this XXXX year old woman get the sale rescinded so she can in turn sale her home to the buyer who is in contract for that sale would leave her with money to live off of in a high rent area in XXXX XXXX. Besides the mishandling of home retention options by SP Servicing was poor with disregard of a XXXX in need.

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