Consumer complaint received 2023-07-25
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: Selene Holdings LLC (VA)

I am filing this complaint against XXXX XXXX and Selene Finance XXXX. 

My mortgage loan was transferred from XXXX XXXX to Selene Finance in XX/XX/XXXX. Prior to transfer of my mortgage, my account was current with XXXX XXXX. When my loan was transferred 10 months of payments to XXXX XXXX " disappeared '' and/or were misapplied by XXXX XXXX and XXXX not port correctly to Selene Finance XXXX 

XXXX XXXX mortgage continued to assert to me that all my information was correctly ported over to Selene Finance. Selene Finance refused to talk to me because I was in a XXXX  XXXX bankruptcy. However, behind the scenes they " ingested '' {$10000.00} worth of mortgage payments, applied them to my account, and then " reversed '' them from m account. Despite months of my pleading to XXXX and XXXX XXXX, Selene Finance took me to XXXX  XXXX Court to request a stay from relief so they could foreclose on my property at XXXX XXXX XXXX. 

I am attaching documentation showing my monthly payments to XXXX XXXX including paying escrow shortages between XX/XX/XXXX and XX/XX/XXXX. Between fall of XXXX and XX/XX/XXXX, I was in a XXXX XXXX federally-sponsored XXXX forbearance of my mortgage. 

Assessed Fees : When XXXX withdrew the motion for stay from relief, their attorneys stated that I needed to pay fees for the filing. You pushed back, they then withdrew, and you told me XXXX also withdrew the demand I pay fees. Then a few weeks later on XX/XX/XXXX, XXXX went ahead and charged me those fees. 

XXXX is not compliant with XXXX XXXX which prohibits mortgage servicers -- that's XXXX -- from assessing fees against mortgagees -- that's me -- to correct errors on the part of the mortgage servicer -- in this case XXXX. 

12 CFR Part 1024 Real Estate Settlement Procedures Act ( Regulation X ), specifically 1024.35 states " For purposes of Error resolution procedures defines unreasonable basis 1024.35 ( b ) ( 5 ), a servicer lacks a reasonable basis to impose fees that are not bona fide, such as : '' i. A late fee for a payment that was not late ; ii. A charge imposed by a service provider for a service that was not actually rendered ; iii. A default property management fee for borrowers that are not in a delinquency status that would justify the charge ; or XXXX. A charge for force-placed insurance in a circumstance not permitted by XXXX. 
i. A late fee for a payment that was not late ; ii. A charge imposed by a service provider for a service that was not actually rendered ; iii. A default property management fee for borrowers that are not in a delinquency status that would justify the charge ; or XXXX. A charge for force-placed insurance in a circumstance not permitted by XXXX XXXX Error resolution procedures and scope to include- ( 1 ) Failure to accept a payment that conforms to the servicer 's written requirements for the borrower to follow in making payments.

( 2 ) Failure to apply an accepted payment to principal, interest, escrow, or other charges under the terms of the mortgage loan and applicable law.

( 3 ) Failure to credit a payment to a borrower 's mortgage loan account as of the date of receipt in violation of 12 CFR 1026.36 ( c ) ( 1 ).

( 4 ) Failure to pay taxes, insurance premiums, or other charges, including charges that the borrower and servicer have voluntarily agreed that the servicer should collect and pay, in a timely manner as required by 1024.34 ( a ), or to refund an escrow account balance as required by 1024.34 ( b ).

5 ) Imposition of a fee or charge that the servicer lacks a reasonable basis to impose upon the borrower. 
( 11 ) Any other error relating to the servicing of a borrower 's mortgage loan.

( 9 ) Making the first notice or filing required by applicable law for any judicial or non-judicial foreclosure process in violation of 1024.41 ( f ) or ( j ).

( 10 ) Moving for foreclosure judgment or order of sale, or conducting a foreclosure sale in violation of 1024.41 ( g ) or ( j ). 

XXXX was notified of their errors by me starting in XX/XX/XXXX. Not only were errors NOT corrected, XXXX didn't respond to any error resolution inquiry I submitted within the XXXX period mandated by legislation, even after you told XXXX via XXXX I was handling the mortgage. Nothing, 8 months later and nothing.