Consumer complaint received 2021-03-16
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: BSI Financial Holdings, Inc. (CA)

This complaint is against BSI Financial Services, a home loan servicer my home loan was recently transferred to from my loan originator, XXXX XXXX. We are not submitting a complaint against XXXX XXXX, only against BSI Financial Services. The summary point ( further explained below ) is that BSI Financial Services served me with a letter of default on my home in the amount of {$6300.00}, either in error or maliciously, after blatantly disregarding the information surrounding my home loan. Furthermore, in the act of boarding my loan into their system, they not only delayed my ability to pay but displayed false information ( potentially violating consumer privacy laws ). 

In chronological order : We ( my wife and I ) refinanced our home through XXXX XXXX in XXXX of XXXX. Things were generally very smooth. We knew they were an originator, not a long term servicer, and we expected to be transferred. We paid our bills to XXXX during that time ( as shown from the screenshot from our bank with XXXX ) and our account was in the clear. 

In XXXX, we received notice from XXXX ( not BSI ) that our loan would be transferred starting XX/XX/XXXX. However, we were unable to login to BSI 's system, as they did not provide us with information to login to our account. It took over a week from XX/XX/XXXX - the first time we saw an error page logging in - to XXXX, after our official start date, when we finally were able to login. Within that time, we paid our XXXX payment to XXXX, as is allowed to us by the 60-day RESPA grace period. 

Upon logging in on XXXX, we noticed several errors : 1 ) We were already behind by two months on payments and had been assessed a late fee. 2 ) The name on the loan was of another person, a Ms. [ REDACTED ] : it is unclear if this was simply a 'test name ' used by software developers or the name of another legitimate home owner, thus potentially exposing her information to us inappropriately ( and raising the question about how our own information was displayed ). 

We worked with XXXX and made several calls to BSI, confirming with XXXX that our balance was paid, that they had transferred everything to BSI, and that from XXXX 's perspective, we were doing everything correctly. BSI continued to state that they had not received information from XXXX and to wait until they could confirm our information with XXXX 

On the morning of XX/XX/XXXX, we received the attached default letter, stating ( falsely ) that we were 30 days behind on our payments, despite clear and incontrovertible evidence to the contrary. We called to confirm this with BSI and they said that yes, our account was in default. We called back to XXXX ( with a Mr. [ REDACTED ], who was very helpful ) who confirmed for us that we had made every payment on time, that the XXXX team had squared all of that away with BSI, and that they had even closed our case as BSI had confirmed that we were in the clear, while simultaneously serving us with a notice of default. 

Therefore, either through negligence or a malicious act, BSI Financial Services sent us a notice of default disregarding our payments to XXXX the communications with XXXX, and after only having allowed us into the system for ~10 days, and well within 1 month of our loan being boarded. As well, they falsely included the XXXX payment, which they have no entitlement to given that our loan was transferred on XX/XX/XXXX, as grounds for our 'default ' status.