Consumer complaint received 2021-02-13
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: Shellpoint Partners, LLC (AZ)

In XX/XX/XXXX we refinanced our mortgage. The account was immediately sold to NewRez/Shellpoint. We always set our payments on auto, and we asked to enroll in biweekly payments. The biweekly payments forms were submitted and the payments began deducting from our checking account. 

We were not paying close attention to our checking account ( our one contribution to this situation ) but we had the impression that more payments were being made than usual ( because we were on biweekly. ) In XX/XX/XXXX, however, we discovered that NewRez had been deducting our biweekly payments, and each time there was a second checking account debit with a name we didnt recognize. At first we thought it was the name of a loan officer or something like that, but when we logged onto the NewRez website, we discovered that they had been paying another customers bi-weekly mortgage payments from our checking account ( in addition to our payments. ) We called NewRez on XX/XX/XXXX and they expressed shock, apologized profusely, and asked for documentation. That same day we uploaded to them redacted copies of our XXXX through XXXX checking statements, clearly showing over {$11000.00} in charges marked with the name of another customer. They promised to process a refund immediately. Instead, they processed another payment for the other customer the next day. 

We heard nothing ( except an auto-generated thank you from the document upload page ) so we called them again on XX/XX/XXXX. The agent appeared to have no idea about their huge error and we had to start over at the top to explain it. Once again, we were given sincere apologies, and a promise that the funds would be returned immediately. Instead, they processed yet another payment for the other customers mortgage on XXXX XXXX. By now, they had taken a total of {$12000.00} from our checking account for another customers mortgage. We contacted XXXX XXXX and initiated a claim for fraud. They placed a stop payment order on the checking account that was supposedly limited to stopping payments with the other customers name on them ( so our payments would remain timely. ) On XXXX XXXX, apparently XXXX XXXX rejected our mortgage payment, even though they were told to only reject debits bearing the other customers name. We got a letter from NewRez collections department, telling us that the second XXXX biweekly payment was late and we needed to correct this by XXXX XXXX, which they wrote that we could do by using their automated systems. We tried their website. We tried their phone system. None of their system allow one to make a biweekly ( half the normal amount due ) payment. We eventually reached one of their agents on XXXX XXXX, and we told him that it was important that he note that our payment was made during XXXX. In other words, we made our required two payments in XXXX in the correct amounts. 

NewRez, however, did not apply the biweekly payments we had made in XXXX. Despite the fact that their actions had necessitated us placing the stop payment, and despite their having stolen over {$12000.00} from us, and despite our having made the payment within the deadline their letter requested, NewRez marked the XXXX XXXX biweekly as an NSF, and charged us a {$25.00} late fee. Because the total of our two biweekly payments did not include an extra {$25.00}, they would not mark ( and still have not marked ) the XXXX payments as having been timely made. 

We had to ask for our case to be escalated at NewRez/Shellpoint, from an agent, to a supervisor, to a manager. Each individual expressed dismay about our terrible situation. Each of them promised to take action and gave specific dates on which they would have the problem fixed. Each of them failed to deliver on their promises. Each and every one of them failed to even contact us back by the dates they said they would do so. On XX/XX/XXXX, NewRez/Shellpoint processed a reverse EFT in the amount of {$12000.00}. I questioned that amount, but they insisted that it was properly calculated, and I assumed that it included interested, because they had been holding our money since XX/XX/XXXX. 

Because of all the above, we sought to leave this company. Our mortgage broker ( XXXX XXXX ) was shocked at our situation, especially after the owner of XXXX could not get an answer out of anyone at NewRez/Shellpoint ( despite the fact that his company had sent them a lot of business. ) We started a refi application with XXXX, and I went online and got a Formal Payoff Statement for XX/XX/XXXX, the date on which we would close the refi. That statement, however, was inaccurate. XXXX contacted NewRez to ask why they had not applied the payments that they had taken from our checking account on XXXX XXXX and XXXX XXXX, and they were given confusing answers that alleged that we were somehow over-refunded ( even though this was the first we had heard of it. ) NewRez also insisted that our XXXX mortgage payment was delinquent. XXXX pointed out that the records show that they received the XXXX payments, but NewRez/Shellpoint still has not provided an accurate payoff, and may have reported a delinquency on our credit. We have had to postpone our refi closing.