Consumer complaint received 2020-12-27
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: Shellpoint Partners, LLC (GA)

In XX/XX/XXXX Shellpoint Mortgage Servicing took over my mobile home loan from Ditech Financial LLC because Ditech filed for bankruptcy in XX/XX/XXXX. Since the transfer to Shellpoint I have continued to dispute a {$310.00} insurance charge that Ditech placed on my account in XX/XX/XXXX. 

I had been in an ongoing dispute with Ditech Financial about this charge. Ditech claimed the {$310.00} charge was for a two-month lapse in insurance. On XX/XX/XXXX XXXX purchased a force-placed insurance policy for {$110000.00} of coverage for a premium of {$1900.00} and billed it to my account. PROBLEM # 1 is that my loan balance with Ditech at the time was only {$28000.00} ( XXXX XXXX billing statements enclosed ). Ditechs force-placed insurance policy ( copy enclosed ) states that lender-placed insurance IS ONLY TO THE LENDER FOR THE LOAN BALANCE. My loan balance was not {$110000.00}. Ditech had no right to purchase a policy for {$110000.00} of coverage which made the premium much higher than if they had purchased a policy based on my actual loan balance, the premium would have been much lower. PROBLEM # 2 is that Ditech purchased the force-placed policy 3 days after I had already purchased and submitted proof to them of my own insurance policy through XXXX  XXXX XXXX on XX/XX/XXXX. The first notification I received from Ditech that they had purchased the force-placed insurance was in a letter I got in the mail on XX/XX/XXXX ( copy enclosed dated XX/XX/XXXX ). Since I had already submitted proof of insurance on XX/XX/XXXX there was no reason for Ditech to purchase another policy, especially one for {$110000.00} of coverage. When Ditech cancelled the force-placed insurance they only removed {$1600.00} from my account leaving {$310.00} charged to my account. Ditechs explanation for this was that XXXX XXXX XXXX Company did not reimburse them for the months of XX/XX/XXXX through XX/XX/XXXX thus they passed the charge on to my account. Since the force-placed policy wasnt purchased until XX/XX/XXXX I questioned how is it possible for XXXX XXXX XXXX to charge for months that are prior to the policy purchase date. Nevertheless I informed Ditech that it is not my fault or problem that XXXX XXXX XXXX didnt reimburse them the full amount and if they felt they were entitled to the remaining {$310.00} they needed to get it back from XXXX XXXX XXXX. I refused to pay it because Ditech should have never taken out the policy in the first place and furthermore the charge is proportioned on an inflated {$110000.00} coverage amount. My original loan for the mobile home was only {$38000.00} ( purchased in XXXX ). Every insurance policy that has ever been placed on the mobile home whether it was through Ditechs insurance agencies or other outside agencies has always been insured for the principal balance only. The mobile home has never been insured for more than the principal balance. So I failed to understand how Ditech could arbitrarily have force-placed a policy for {$110000.00} of coverage when I had never even been in debt to them for anywhere near that amount. Ditech claimed they had on file a policy showing I had previously insured the mobile home for the {$110000.00} amount. I told them that was absolutely ludicrous! I requested they send me a copy as proof of their claim however I never received a copy ( because no such policy exist ). Enclosed are copies of some of the numerous letters I sent to Ditech Financial trying to resolve this issue. 

Shellpoint Mortgage Servicing continues to bill me for the {$310.00} charge. Since they took over the loan in XX/XX/XXXX I have repeatedly sent them emails ( some copies enclosed ) explaining the dispute issue and requesting they remove the charge. I received several responses from them that I found to be unsatisfactory so I continued to dispute the charge. On XX/XX/XXXX I received a letter by email ( copy enclosed dated XX/XX/XXXX ) from Shellpoint stating that they were in the process of removing the {$310.00} fee from my account and to allow 30-60 days for it to be done. When I received my XXXX, XXXX, and XXXX billing statements the charge was still on my account. More than 60 days had past. On XX/XX/XXXX I emailed Shellpoint complaining the charge had not been removed. On XX/XX/XXXX I received a letter ( copy enclosed dated XX/XX/XXXX ) in the mail from Shellpoint now stating their refusal to remove the charge from my account and that I would be reported as having a past due amount to the Consumer Reporting Agencies. That has been my last contact with Shellpoint thus far. 

It is beyond my comprehension how companies are allowed to operate using such unscrupulous business practices. All of my loan payments to Ditech and to Shellpoint have been made on-time. I feel like Shellpoint is trying to force me to pay what I believe is an unfair and unjustified fee by taking this action to negatively effect my credit history and credit rating. Absolutely outrageous! I am seeking assistance from Consumer Financial Protection Bureau in getting a fair and reasonable solution to my dilemma with Shellpoint Mortgage Servicing and Ditech Financial LLC.