Consumer complaint received 2016-09-07
Company: SELECT PORTFOLIO SERVICING, INC.
State: CA
Product: Mortgage
Sub-product: Conventional fixed mortgage
Issue: Loan servicing, payments, escrow account

Complaint:
Dear Representative, As indicated below, my credit score recently took a XXXX point hit due to a false report by Select Portfolio Servicing, a Utah-based mortgage company. SPS failed to complete a simple autodraft, which none of my other mortgage companies had any problem completing after I suffered identity theft due to a stolen cell phone. SPS had no problem drafting payment in XXXX 2016 but in XXXX of 2016, when I was was out of the country on a fellowship working on refugee issues, they failed to draft my XXXX mortgage payment. I did n't make it back to my home of record until early XXXX and did not receive any notice that any problem existed until XXXX XXXX, 2016. 

SPS failed to advise me of the issue with the autodraft until the following month. The day I learned of the issue I called them and paid by phone on the same day ( which was less than 30 days after the regular payment date for the mortgage ). During the call, the SPS representative assured me there would be no adverse impact on my credit score and no reports would go out to agencies. 

A few weeks ago, I logged into my XXXX website, which offers credit score monitoring, and noticed my credit score had dropped nearly XXXX points. I called immediately and learned the sole cause of this was the false report by SPS ; which the SPS representative assured me would not happen when I made the payment by phone on XXXX XXXX, 2016. I want my credit score returned immediately to its prior level of XXXX to XXXX. Fair is fair. 

This was SPS 's error. I can accept that they made a mistake but there is no justification for deceit. Particularly against a person who has not missed a payment on the mortgage for this property since I bought it over a decade ago. I made payments every month on my property, without fail, while people around me were declaring bankruptcy. I do n't do that. 

Now, because some slimy person stole my phone and accessed the former autodraft account for my mortgages, I had to change autodraft accounts. SPS was notified of the new payment account at the same time my other mortgage companies ( XXXX XXXX and XXXX ) were. Yet only SPS failed to update the autodraft account in a timely manner. 

Moreover, SPS failed not notify me of the problem in a timely manner, took my payment by phone the same day I was notified within 25 days of the due date, assured me there was no issue and no adverse reports would go out to any credit agency, and then betrayed my trust and made a false report which damaged my credit score, financial credibility, and reputation. When I asked them to remedy the issue, they were rude, inflexible, and immune to logic. 

Never mind I 've never missed a payment in the decade I 've owned the property. Never mind the fact that they failed to complete the autodraft after having no problem drafting the payment the previous month and indicating that the draft would occur. Never mind the fact that I was out of the country and had no notice of the issue. Never mind that the day I learned of the issue, I made payment by phone and was assured there would be no report to credit reporting agencies. Never mind that as payment was not late until the XXXX according to their own representative, and I made payment by phone on the XXXX of the following month, the payment was in no way 30 days late. 

Never mind the fact that the only reason I had to change autodraft accounts many months earlier was because my cell phone was stolen and banking information was compromised. SPS, to whom my mortgage was sold, and with whom I never had privity of contract, took joy in trying to unjustly destroy my credit. That is simply unconscionable. I 've given them the opportunity to make it right. Instead they have been completely unreasonable.

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