Consumer complaint received 2017-04-01
Product: Mortgage — Conventional fixed mortgage
Issue: Loan modification,collection,foreclosure — 
Company: SELECT PORTFOLIO SERVICING, INC. (CA)

My issue is with my mortgage lender SPS Servicing. I originally had a loan with XXXX. In XX/XX/XXXX, I received a loan modification and a {$140000.00} settlement with XXXX shortly thereafter SPS took over my loan. My property tax and homeowners insurance were to be impounded as part of the terms of my loan modification. XXXX paid my homeowners insurance annual payment in XX/XX/XXXX prior to the loan transferring over to SPS. In XX/XX/XXXX I received a letter from SPS stating my home is a condo and therefore my homeowners association was paying my homeowners insurance. I contacted SPS to explain my HOA does not pay my insurance and that my house is not technically a condo, it is a zero lot line detached home. They informed me I was responsible for the insurance so I started paying XXXX myself monthly for my homeowners insurance. At no time did my mortgage decrease by the amount that was originally paid out to my insurance company. The loan modification agreement was not being upheld by SPS. I tried numerous times to dispute this claim but SPS just kept coming back saying my HOA was responsible for the insurance. I was in a chapter XXXX in XXXX and it was discharged in XXXX, after my chapter XXXX was discharged SPS came up with charges that I was unaware of, such as increasing my mortgage payments due to a escrow shortage, and more recently fees for SPS driving by my home to make sure I was living in my home. I disputed these charges with SPS as well and really have not gotten a clear answer to why I have to pay an escrow shortage. After speaking to several customer service agents I was told many different things. One stating the escrow shortage was carried over from XXXX when my loan was taken over. This is not correct, in my loan modification agreement it states any and all amount due such as property tax, insurance, late fees etc.. would be at a XXXX balance. Another dispute I have with SPS is the fact that when SPS did receive my loan the amount that went to my chapter XXXX was then at a XXXX balance however my bankruptcy trustee continued to make payments to SPS, in the total amount of about {$1900.00}, when I questioned where was this money applied to SPS stated it was applied to my principle balance. I never asked for that to be applied to my principle balance, I would of thought it would of went towards any delinquent amounts I incurred. I fell into a hardship during the period of XXXX when I was responsible for paying bankruptcy payments totaling {$780.00} a month, and also paying attorney fees for my divorce. I missed mortgage payments and was assuming the {$1900.00} that was paid by my trustee would be applied to that and the now {$1400.00} I had paid out to pay my homeowners insurance, that should of been included in my monthly mortgage payments, would be applied to the delinquent amount due. SPS is stating I owe {$11000.00} and they keep sending me foreclosure notices and I keep disputing the above. I understand I fell short on payments and am trying to find a solution in paying back what is owed. I do not want to pay anything back until my disputes are resolved. SPS has harassed me and been extremely rude and they have agents that clearly do not know what they are talking about. I was assigned a case manager to whom I can never speak with, instead I speak to agents who tell me all different things in regards to my disputes. They tried to get me into a repayment program however the amount I would have to pay each month was almost tripled, I can not afford that type of repayment program. I have paid my mortgage as well as a bit more in a timely matter since my bankruptcy was discharged in XXXX. I have a loan balance of approximately XXXX and a high 5.25 % interest rate. The value of my home is approximately {$550000.00}.