Consumer complaint received 2023-03-12
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — 
Company: Shellpoint Partners, LLC (SC)

Below you will find an overview of the history Year XXXX : Loan was transferred to New Rez / Shellpoint Mortgage in XX/XX/XXXX. 
Payment amount was {$760.00} Balance as of XX/XX/XXXX {$58000.00} Payments to New Rez ( XX/XX/XXXX XX/XX/XXXX ) XX/XX/XXXX entered into a temporary forbearance for a period of 3 months Balance as of XX/XX/XXXX - {$56000.00} ( ref letter dated XX/XX/XXXX from Shellpoint Mortgage Servicing ) Payment to Shellpoint Mtg ( as of XX/XX/XXXX stmt ) {$800.00} ( escrow only ) XX/XX/XXXX forbearance extended to 6 months XX/XX/XXXX forbearance extended to 9 months *continually receiving letters stating Federal Law requires notification every 180 days that loan is more than 45 days past due Year XXXX - XXXX : XX/XX/XXXX - forbearance extended to 12 months XX/XX/XXXX Forbearance plan ended. I was advised Shellpoint had no other options to assist in circumstances although the hardship was not resolved. I was advised via letter of the four options the company offered ( deferment, Loan Modification, Replayment plan and reinstatement ). Upon speaking with a customer service rep directly I was told the only options available to me was the Loan modification or reinstatement which at the time required a payment of {$17000.00}. 
XXXX Received letter from Shellpoint dated XX/XX/XXXX stating the following : AVOID XXXX XXXX by XX/XX/XXXX. Statement directly from the letter, Step 1 In order for us to delay referring your mortgage to foreclosure or suspend foreclosure proceedings if your loan has been referred to foreclosure. You must make your first Trial Period Plan payment by XX/XX/XXXX, which is earlier than the scheduled due described below ( in the letter ) and we will stop the foreclosure process. 
Trial Period Plan Payments listed in letter # 1 Due by XX/XX/XXXX in the amount of {$780.00} # 2 Due by XX/XX/XXXX in the amount of {$780.00} # 3 Due by XX/XX/XXXX in the amount {$780.00} I was advised that I could either make the trial payments and enter into a loan modification upon successful completion of the trial payments or pay the full amount due. If not, the company would proceed with foreclosure procedures. Given I could not pay the full amount I agreed to the trial payments and subsequent loan modification. During the 90 day trial period I was not provided any additional information regarding the modification. I did make all required payments. At the end of the 90 day trial I was sent the loan modification agreement. I was immediately concerned about the term and how the payment was increasing and wanted to look into refinancing with another company. It is important to note the day I believe I spoke with a rep regarding concerns over the agreement and timeframe for me to review/submit the modification agreement i had a personal family tragedy and mentally and emotionally I was in a bad state of mind, thus I was delayed in reviewing and sending the modification document back. I remained in contact with Shellpoint throughout to request additional time to review and I continued making payments each month. My concerns were that I did not believe the modification agreement offered was not fair and acceptable and was putting me a adverse situation from where i started when this was suppose to be positive assistance offering due to COVID from the federal government to me for the following reasons : 1- The term was being extended to 40 years although there was approx. 15 years remaining on the current mortgage 2- The balance went from {$56000.00} to {$65000.00} Due to the time between receipt and my review and the pressure by Shellpoint to accept the modification or pay the full balance to avoid possible foreclosure, in XX/XX/XXXX, I signed and retuned the agreement with the intention to refinance the mortgage with a different company for more fair terms and conditions. When the modification was processed and I reviewed the transactions on the Shellpoint website I could not clearly interpret ( 1 ) where and how the payments I had made were processed, ( 2 ) if I was given proper credit for the payment at the time paid to ensure interest was calculated fairly and ( 3 ) how the balance increased by {$8900.00}.

I reached out to Shellpoint and tried to get them to clearly explain the modification to me to my understanding. I was given vague responses, told I needed to talk to the modification department, but I could not be transferred to them directly, the rep would submit a request and someone from the areas would contact me. I was never contacted. I additionally submitted a request on the customer portal asking for information on the backdating of payments to ensure credit when the payments were made/received. 
In the meantime, I applied with another company to refinance the mortgage with cash out to cover some damage and needed repairs at the house. A rep from the company contacted me immediately to discuss the application and to obtain additional information. I was advised I was not approved for the mortgage because of recent delinquency on my credit report. When I inquired with the credit bureau I found that Shellpoint was reporting my account as over 180 days past due. This status was reported on or around XX/XX/XXXX, after I have made the 3 trial payments, maintain payments throughout my personal situation and signed and submitted the modification documents. I had to open a XXXX  credit card and drain my savings account to make the repairs to the house. Going forward, I have maintained all monthly payments on the account. In XX/XX/XXXX, I received a call from a company stating they were calling to set an appt for an over the phone notary appointment to sign my loan modification. I had no idea what they were referencing, but when I went to make my XXXX mortgage payment, I could not do so on the website or app the payment option was blocked and it showed my next payment due date as XX/XX/XXXX and the regular payment amount due was {$28000.00}. I tried calling Shellpoint but could not get anyone so I sent a message on the app through the contact us option. When I finally spoke to someone, I was advised a new modification agreement was sent to me and needed to be signed. Obviously, I would be totally confused I received no call, no letter, no kind of notification thus no explanation as to WHY. I had just entered into a loan modification in XXXX so why are they doing another one to which the rep could not explain and advised I needed to contact my POC or the loan modification department. But she could not be transfer me, but she sent a message and someone would contact me. I did come to learn from a rep something which she said the rate but would not elaborate was wrong with the terms of my loan modification agreement that needed to be corrected and documents were sent in XXXX. Well I was traveling with my husband and had not received any documents, she advised she would have them mailed out again. When asked for additional information she too said I needed to talk to the loan modification department. I finally received the documents in XXXX and Ive since contacted them to address the issues as they are still attempting to force me into a 40 year mortgage term. I do not understand why without discussing any additional options with me it is fair or reasonable for Shellpoint to take away my freedom of choice and force me to take a mortgage with a remaining term of 15 years to 40 years. Upon my questions, I was again told the loan modification dept would have to address those concerns, the department XXXX cant be transferred to, given a direct number to call and I would have to wait for them to respond back. To date, XX/XX/XXXX I have never spoken to anyone from the loan modification department. 
Additionally, because they have blocked my account pending the receipt of the signed modification agreement I can not make payments. With the due date being the 1st, late charges accrue on the XXXX. I choose to make my payments on the XXXX of the month for tax purposes. In XXXX and XXXX I was unable to process my payments because of the block and I do not believe I should have late charges as a result as it is my right to make my payment on the XXXX. 

In conclusion, before I am forced again out of desperation resulting from Shellpoints lack of communication and clarity and facing threats of taking my property, I am reaching out to your organization for assistance in this matter. 



Update : Since writing the above draft I have had communication with Shellpoint. I received a call on XX/XX/XXXX. The rep advised the modification is to correct the interest rate. I was charged 6.375 % but because it was a Covid modification the rate should have been 2.875 % and the new agreement is needed to process the change. I questioned about the ability to decrease the terms from 40 years and the rep advised modifications require the 40 year term across the world and I had two options : ( 1 ) accept, sign and return the modification agreement at the terms shown by the due date ( 2 ) bring the account up to current by paying the balance of {$21000.00} ( {$31000.00} is total amount due minus {$9300.00} in unapplied payments ) or I assume Shellpoint will proceed with foreclosure. In telling her I was not aware of the due date, she confirmed via email the due date is XX/XX/XXXX.