Consumer complaint received 2016-07-21
Product: Mortgage — Conventional adjustable mortgage (ARM)
Issue: Loan servicing, payments, escrow account — 
Company: SELECT PORTFOLIO SERVICING, INC. (MS)

My situation began with XXXX in XXXX when I began a loan modification just before I left the XXXX to work in the XXXX XXXX. Over the next three years XXXX kept delaying the process by constantly requesting more and more paperwork, different forms, saying the program had changed so they needed all new paper work. While at their instructions I did not make any payments until they gave me a modification offer. This process drug out for about 3 years until in XXXX when I was given an offer that I considered ludicrous. It was NO modification at all. So at that time opted for a short sale. By XXXX XXXX I had an agent who had a buyer for the short sale. XXXX had paid my step son about {$2500.00} " cash for keys '' because he was living in the house while I was XXXX. I thought it was a done deal. I learned several months later that XXXX had cancelled the sale in XXXX then foreclosed and sold the property at auction in the " dark of night '' without any notification to myself or my agent. I later learned that it was sold to XXXX bank for {$110000.00} on XXXX XXXX, XXXX. XXXX bank is a partner/cousin of XXXX. Sounds like a pretty shady deal to me. I spoke to the foreclosure attorneys who are listed on the court document and they assured me that the foreclosure was completed. The foreclosure was done as a service to " XXXX XXXX '' another XXXX company who I understand has been under investigation. So again I thought the property was gone and since I was working XXXX there was nothing I could do about it and just let it go. 
I returned home to the XXXX at the end of XXXX and was looking for a new place to live. Upon checking my credit I learned that the loan had not been removed at the time of the foreclosure but remained as a big negative mark on my credit file. I also found my house pictured on a real-estate site with the caption " not for sale ''. Why was it shown on a real-estate site but not for sale? I contacted the agent listed and was told that they were given the listing by XXXX but the bank kept refusing all offers for the property. More research I came to find out that a company called SPS was now handling the loan. Come to find out that in XXXX at the same time XXXX was having XXXX XXXX foreclose on the property they had also transferred servicing of the loan to SPS as a delinquent loan, NOT a foreclosed loan. SPS knew NOTHING about the foreclosure. When XXXX foreclosed on the property they simply abandon it, " washed their hands of it '' then turned it over the XXXX. There was NO oversite or care to the property, allowing damage and vandalism to occur. When I contacted SPS, I was asked if I wanted to begin a loan modification. They apparently had NO record that XXXX had put me through the process 5 years earlier. They were also unaware that I was not living in the house and had been XXXX until XXXX. They told me that the property was indeed mine and I could be living in it. So after consulting a couple of law firms and the XXXX general we moved back in in XXXX, and began again the modification process with SPS. Over the next couple of years I learned what a serious mess this has become. For the first couple years SPS refused to accept the fact that the property had been foreclosed on and that issue needs to be corrected at the XXXX level. The damage that the bank allowed needs to be repaired as well as my credit that has been ruined by the banks actions needs to be corrected. 
They have me in a position of not being able to not having the ability to live safely and securely in my home and not being able to buy another home. This is the main saga of the XXXX that I have been subjected to over the past few years. There are more details that I will fill you in on. The primary companies involved are ; XXXX XXXX XXXX XXXX Bank