Consumer complaint received 2016-08-29
Company: SELECT PORTFOLIO SERVICING, INC.
State: FL
Product: Mortgage
Sub-product: Conventional fixed mortgage
Issue: Loan modification,collection,foreclosure

Complaint:
I am filing a complaint on behalf of my sister XXXX XXXX for which I have power of attorney to do so. This complaint is against her lender SPS and their lawyer XXXX XXXX for violating the New Jersey Fair Foreclosure Act and the Consumer Fraud Act. The law states the following and this was n't done : Notice of Intention to Foreclose Prior to filing a complaint in foreclosure, the mortgage lender must send the homeowner, via registered or certified mail, return receipt requested, a Notice of Intention to Foreclose. This is one of the most important protections that the Fair Foreclosure Act gives to homeowners. The lender must send the notice 30 days before filing a complaint. The notice notifies you that you are behind in your mortgage payments and gives you 30 days to cure the default. 
They violated the Fair Foreclosure Act because they filed a complaint to foreclose ( XXXX ) in court on XXXX/XXXX/2016 without sending a registered certified letter to her stating the intent to foreclosure or the actual summons to foreclose. The only way we found out that they had filed the foreclosure complaint is from a foreclosure defense lawyer that contacted her stating that they could help with the foreclosure. I told him how could that be because we never received any certified letters or summons from the lawyer to let us know. When I contacted the foreclosure unit they stated that it was only showing the complaint had been filed but did n't show that it was sent out certified or delivered. I contacted the law firm several times for them to explain why this happened, but they never confirmed that the compliant was sent out certified, only asked how did I know it was filed. I have been telling SPS for the last 3 years if they have the legal documents to foreclose why has it gone for 9 years without it been foreclosed. If they could file the complaint to foreclose legally why not do so, so her defense attorney can file answer to the complaint requesting legal documents. 
They are still violating the Consumer Fraud Act because it states : The act, use, or employment by any person of any unconscionable commercial practice, deception, fraud, false pretense, false promise, misrepresentation, or the knowing, concealment, suppression or omission of any material fact with intent that others rely upon such concealment, suppression or omission, in connection with the sale or advertisement of any merchandise or real estate, or with the subsequent performance of such person as aforesaid, whether or not any person has in fact been misled, deceived, or damaged thereby... 
A court may find that the lender violated the New Jersey Consumer Fraud Act and that your mortgage is not valid if you were the victim of predatory lending. 
Her mortgage was originated by a predatory lender, that preyed on them in they time of a crisis with her husband on his death bed. This Lender ( XXXX XXXX XXXX ) came to them under false pretenses and made false promises that they were going to reduce her mortgage down by {$500.00}, but instead increased it by {$500.00} ; she did't find out about the increase until she got her first statement. This lender added her husband name and income to the loan even though they knew he was on his death bed. He died the day after the application was signed. This lender set my sister up to default on her house, because no way could she pay a {$2400.00} mortgage note with a now income of {$2800.00}. It states that is a you are a victim of predatory lending that the mortgage is n't valid. This lender was indicted in {$11.00} XXXX in mortgage fraud. Now there are several lenders ( XXXX ) trustees ( XXXX, XXXX ) trying to claiming ownership to this same mortgage that is a fraud without even having legal documents as proof of ownership.

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