Consumer complaint received 2022-07-06
Company: SELECT PORTFOLIO SERVICING, INC.
State: CA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
I hold a mortgage with XXXX Bank. My servicing was moved to SPServicing in XX/XX/XXXX with little notice. I was told SPServicing was simply servicing my loan payments. 

Starting in XX/XX/XXXX, I made monthly payments via SPServicing website ( rigidly built ). 

In XX/XX/XXXX, I tried making two payments via my bank but was forced to use an arcane method that took days, because SPS was not listed as a recipient in my bank 's Bill Pay. It appeared to have gone through from my Bank 's side. 

In late XXXX, I started seeing past due amounts in my monthly statements. I tried phoning various SPS customer relation managers who would take my information but never get back to me. So I traced what happened through my bank and learned SPServicing had not accepted two monthly payments. 

In XX/XX/XXXX, specifically on the XXXX, I made a payment of {$15000.00} to catch up the XXXX payments and make the current month payment. The past due amount was still growing and I had no customer service to help me out. 

In early XXXX, XXXX, I found a customer dashboard on the SPS site. It showed {$3300.00} was placed in an un-applied payment category. I also showed {$24000.00} was held in a what SPS calls a " current escrow account. '' Note, I do not hold insurance or pay taxes to SPS, and SPS did not show this escrow on my monthly statement. 

On XX/XX/XXXX, I phoned SPServicing in XXXX XXXX XXXX, UT. I spoke with a XXXX who saw the issue, and stated SPS Cashiering would move {$27000.00} of escrow and un-applied payments into my regular monthly payments category. XXXX verified that would catch me up as of XX/XX/XXXX. 

On XX/XX/XXXX, I spoke with my ( then ) assigned Relationship Manager - XXXX XXXX. I asked he verify a date funds would be transferred. He said XX/XX/XXXX. Both the call with XXXX and with XXXX were on recorded lines. 

After XX/XX/XXXX passed, I tried calling XXXX XXXX but he never responded. I wrote him an email at XXXX, asking for an update. I only received a post letter dated XX/XX/XXXX stating SPS will research the issue. 

In XX/XX/XXXX, SPS started mailing me letters about a trial loan modification, as if I was having trouble making payments. I did not accept that. They never responded to my request about why SPS Cashiering had not made the transfer of {$27000.00}. 

On XX/XX/XXXX, I wrote XXXX XXXX an email, this time demanding the issue be rectified. I also wrote I was prepared to pay off the loan by the end of XXXX, but again, XXXX XXXX never responded. All I received was a post letter in XX/XX/XXXX with more generic information and contacts, who never respond. This is fraud. 

Through 6 months in XXXX, I've made monthly payments for the regular amount owed using the SPS website. I kept checking my dashboard for the Cashiering transfer but it never has happened. In the meantime I've received bogus extortion letters about yet a 2nd Trial Loan Modification, a Demand Notice to pay {$30000.00}, and the threat of Foreclosure is it wasn't done by XX/XX/XXXX. 

Also in late XXXX or the first days of XXXX, SPS took away my access to make any payments through its website. All of this outright fraud has been time consuming and stressful, so I am left with no choice but to issue a formal complaint to CFPB.

Company public response: Company believes complaint is the result of an isolated error
Company response to consumer: Closed with explanation