Consumer complaint received 2018-03-03
Product: Mortgage — Other type of mortgage
Issue: Trouble during payment process — 
Company: Specialized Loan Servicing Holdings LLC (CA)

I started a HAMP Modification. In XX/XX/XXXX, I was told I was approved for the trial period. In 52.5 years, I have NEVER been late or missed ANY payments EVER especially mortgage payments thus there are no fines, fees or finance charges other than regular principle and interest payments on a fixed rate fully amortized loan involved!!! I have also never had an Escrow account on any of my loans. My P & I payments were {$2900.00} for the last 16 years, and my HAMP trial period payments were calculated to be {$2500.00}. My trial payments were to be XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX. When I called, XX/XX/XXXX to setup my trial payments, I was told since my XX/XX/XXXX payment was more than the trial amount, it counted as my first trial payment to be received on or before XX/XX/XXXX. Not believing this to be true, per the trial modification agreement received, I set up the 3 trial payments, per the documentation received, so as not to jeopardize the modification. Monies were to be taken from my account automatically per the trial plan. When I called in to inquire about the process, after receiving paperwork stating that my new Escrow amount was to be {$3300.00}, I was told that unless I make my full old Loan payment with the new ESCROWED payment, which was now actually {$4000.00}, instead of the {$3300.00}, per the escrow analysis statement date XX/XX/XXXX, I would be reported as delinquent in my mortgage to the credit bureaus. I kept calling SLS to find out how much I owed, so as not to be reported as late, and again, was ALWAYS told different answers. I have written them countless letters and even had them review their telephone recordings from all the times I called in to hear exactly what I was advised and told to do and how much to send in. 
I not only made my 3 trial payments, but I also made payments for my regular mortgage, however, ESCROW monies were now attached to my OLD Loan as well, because that is how the modification is setup! When I again called to inquire WHY I am making 2 P & I Payments, 2 Tax Escrow Payments, 2 Insurance Escrow Payments, and 2 escrow shortage payments monthly, and a separate Escrow shortage check I was snottily told by an SLS representative, look if you dont pay OLD loan PI and Escrowed T & I youll be reported as late. So, I took out a loan and made whatever payments SLS told me I needed to make as not to lose the modification. When I received the Final Loan Mod paperwork XX/XX/XXXX ( before the 3rd trial payment was taken out of my account ), I called and was told I had one more payment to make. When I informed them I am looking at the final Loan Mod paperwork to sign and fax back, but have questions about HOW I could sign something that is in error, I was told nothing could be done at this point, like the accounting of funds sent in and a refund of excess escrow monies, until the final loan modification was completed, and only after I receive the Final HAMP Loan Modification Documentation. When I inquired about this {$7500.00} escrow shortage, I was re-assured all would be fixed after the final wet signature was received, and the 3 trial payments were made. Ive called and written SLS dozens and dozens of times, and I always get the same response. NOTHING IS WRONG! Weve looked and everything is correct. They will NOT give me a straightforward accounting of funds received and WHERE those funds went and why they just dont add up, just pages of codes with reversals and amounts going into and out of different categories. They send me an escrow analysis statements of what my new payments will be and a mortgage statement showing what the amount should be, which are both out of sync, then charge me a late fee and put monies into a suspense account, not applying it to my mortgage and escrow properly, and then ding my credit, after I send them what they said needed to be paid. Over {$2500.00} is missing from Escrow, there is an incorrect loan amount listed ( ie. It is also in arrears 1 month already, and the balance keeps growing ) and the monthly payment amount is incorrect. I continue making these incorrect contractual payments after sending SLS monies based on their escrow analysis and initial mortgage statements received where they then tell me that is not the correct amount and they do not believe I received an Escrow analysis. So, I send them all documents received and they get back to me over 30 days later most of the time. Of course, the numbers change after each monthly payment, so I am forced to review my account all over again each time I prepare new documents and send them to wait to hear nothing is wrong. 
My XX/XX/XXXX mortgage statement still shows an incorrect loan balance, an incorrect amount in Escrow, and monies are held in suspense wrongfully, and I get canned responses from SLS each time I email or mail them. Once again, different departments contact me. One sends me an application to start the process all over again by requesting a new Loan modification, and the another sends me mortgage statements with reversals and incorrect amounts listed on the statement. 
To make a long story short, below is my payment history, since the beginning of XX/XX/XXXX. ( The XX/XX/XXXX mortgage payment was made on XX/XX/XXXX, hence is not listed below. ) I almost could follow this, but get extremely lost as they also have many reversals. 
Funds Sent Date Monthly Interest Principle Taxes and Monthly Excess Running Balance Running Balance Ending Loan Balance Sent In Sent In Total Sent Insurance Sent In Excess/Month After T & I Paid {$350000.00} {$3000.00} XX/XX/XXXX {$3000.00} {$1700.00} {$1200.00} {$0.00} {$0.00} {$0.00} {$350000.00} {$3000.00} XX/XX/XXXX {$3000.00} {$1700.00} {$1200.00} {$0.00} {$0.00} {$0.00} {$350000.00} {$3000.00} XX/XX/XXXX {$3000.00} {$1700.00} {$1200.00} {$0.00} {$0.00} {$0.00} {$350000.00} {$2500.00} XX/XX/XXXX {$4000.00} XX/XX/XXXX {$2100.00} XX/XX/XXXX {$8700.00} {$1700.00} {$1200.00} {$700.00} {$5700.00} {$5700.00} {$5000.00} {$350000.00} {$2500.00} XX/XX/XXXX {$1500.00} XX/XX/XXXX {$4000.00} {$1700.00} {$1200.00} {$1000.00} {$6100.00} {$6100.00} {$350000.00} {$0.00} XX/XX/XXXX {$0.00} {$0.00} {$350.00} {$0.00} {$5700.00} {$5700.00} {$350000.00} XXXX OFF BY - {$350.00} {$350000.00} {$1600.00} XX/XX/XXXX {$1600.00} {$1100.00} {$310.00} {$210.00} {$5900.00} {$5900.00} {$350000.00} {$2300.00} XX/XX/XXXX {$2300.00} {$1100.00} {$310.00} {$2900.00} {$950.00} {$6900.00} {$4000.00} {$350000.00} {$2300.00} XX/XX/XXXX {$2300.00} {$1100.00} {$320.00} {$950.00} {$4900.00} {$4900.00} {$350000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1100.00} {$320.00} {$1000.00} {$6000.00} {$6000.00} {$350000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1100.00} {$320.00} {$4300.00} {$1000.00} {$7000.00} {$2600.00} {$350000.00} {$33000.00} {$33000.00} {$14000.00} {$8200.00} {$7900.00} XXXX XXXX {$25000.00} {$14000.00} {$7800.00} {$1000.00} Difference {$7900.00} - {$600.00} {$320.00} {$6900.00} Hmmmm! Interesting Differe+ {$51.00} - {$51.00} = {$7900.00} {$30000.00} XX/XX/XXXX PITI Paid Exactly What I ( XXXX ) paid for T & I {$2600.00} S/B In ESCROW XX/XX/XXXX My XX/XX/XXXX mortgage statement shows I have a Loan Balance of {$350000.00}, and I owe {$1600.00}, so I send that into SLS. SLS puts that into suspense. XX/XX/XXXX Escrow analysis received shows a new monthly payment at {$2300.00} starting XX/XX/XXXX. When I speak to a supervisor about the XX/XX/XXXX Suspense payment, he states he doesnt see an Escrow analysis that I should send it to him, and I send SLS {$2300.00} on XX/XX/XXXX and XX/XX/XXXX, per the escrow analysis I received, but they put that in suspense once again. After calling again, I am told I have to send in contractual payments of {$2400.00}, so I do, and they still put that in suspense. In a letter dated XX/XX/XXXX they state I asked to have my XX/XX/XXXX payment reversed on XX/XX/XXXX, yet they do not state they received my XX/XX/XXXX payment, in the amount of {$1600.00} per the 1st Modified Loan statement received. In this letter they say my contractual payments went from {$2500.00} down to {$2400.00}, as there were sufficient funds there, ( YEAH! YA THINK!! ) yet on XX/XX/XXXX they state to send in {$2300.00}, per the escrow analysis statement. I really dont know how many more errors are in their correspondences. 
After my XX/XX/XXXX payment was processed, on or about XX/XX/XXXX, I expected to see a mortgage statement showing a balance in Escrow of {$2600.00}, and a Loan Balance of {$350000.00} with the corrected monthly payment amount of whatever it should be after being corrected. Instead, I see a loan balance of {$350000.00} and {$970.00} in Escrow with a payment due of {$3500.00} and {$1400.00} in suspense. Late fines were assessed a couple of months, but were graciously removed once, as a 1 time courtesy I also expected to see mortgage interest in the amount of {$14000.00}, per XXXX   Holdings Incs Tax Year End XX/XX/XXXX Statement. 
{$33000.00} Total Pmts Made in XX/XX/XXXX {$14000.00} Interest ( XX/XX/XXXX-XX/XX/XXXX, as per outlined above ) {$8200.00} Principle {$7900.00} Taxes & Insurance ->  {$700.00} + {$2900.00} + {$4300.00} ============== {$2600.00} Should be in Escrow as of XX/XX/XXXX and the Mortgage Balance should be {$350000.00}, but this is not the case. 
If I look at things differently, per a ledger similar to the SLS Ledger, I  still show an Escrow balance of {$2600.00}, a loan balance of {$350000.00} with all funds applied, after all trial payments go into the Unapplied Funds Category then taken out prior to the Final Loan Modification. 
Transaction Effective Principle Interest Escrow Late Charge Unapplied Funds Transaction Transaction Balance Balance Paid Thru Unapplied Balance Date Date Amount Amount Amount Amount Amount Amount Type Principle Escrow Running Balance XX/XX/XXXX XX/XX/XXXX {$1200.00} {$1700.00} {$0.00} {$0.00} {$0.00} {$3000.00} AP {$350000.00} {$0.00} XX/XX/XXXX {$0.00} {$0.00} XX/XX/XXXX XX/XX/XXXX {$1200.00} {$1700.00} {$0.00} {$0.00} {$0.00} {$3000.00} XXXX   {$350000.00} {$0.00} XX/XX/XXXX {$0.00} {$0.00} XX/XX/XXXX XX/XX/XXXX {$0.00} {$0.00} {$0.00} {$0.00} {$3000.00} {$3000.00} XXXX {$350000.00} {$0.00} {$3000.00} {$0.00} XX/XX/XXXX XX/XX/XXXX {$0.00} {$0.00} {$0.00} {$0.00} {$2500.00} {$2500.00} XXXX {$350000.00} {$0.00} {$5500.00} {$0.00} XX/XX/XXXX XX/XX/XXXX {$0.00} {$0.00} {$0.00} {$0.00} - {$700.00} - {$700.00} XXXX {$350000.00} {$0.00} {$4800.00} {$0.00} XX/XX/XXXX XX/XX/XXXX {$1200.00} {$1700.00} {$1000.00} {$0.00} {$0.00} {$4000.00} XXXX   {$350000.00} {$1000.00} XX/XX/XXXX {$4800.00} {$0.00} XX/XX/XXXX XX/XX/XXXX {$0.00} {$0.00} {$2100.00} {$0.00} {$0.00} {$2100.00} XXXX   {$350000.00} {$3200.00} {$4800.00} {$0.00} XX/XX/XXXX XX/XX/XXXX {$0.00} {$0.00} {$0.00} {$0.00} {$2500.00} {$2500.00} XXXX {$350000.00} {$3200.00} {$7300.00} {$0.00} XX/XX/XXXX XX/XX/XXXX {$0.00} {$0.00} {$0.00} {$0.00} {$1500.00} {$1500.00} XXXX {$350000.00} {$3200.00} {$8800.00} {$0.00} XX/XX/XXXX XX/XX/XXXX {$1200.00} {$1700.00} {$0.00} {$0.00} - {$2900.00} - {$2900.00} XXXX   {$350000.00} {$3200.00} XX/XX/XXXX {$5800.00} - {$2900.00} XX/XX/XXXX XX/XX/XXXX {$1200.00} {$1700.00} {$0.00} {$0.00} - {$2900.00} - {$2900.00} XXXX {$350000.00} {$3200.00} XX/XX/XXXX {$2800.00} - {$2900.00} XX/XX/XXXX XX/XX/XXXX {$350.00} {$0.00} {$0.00} {$0.00} - {$350.00} - {$350.00} XXXX {$350000.00} {$3200.00} {$2500.00} - {$350.00} XX/XX/XXXX XX/XX/XXXX {$0.00} {$0.00} {$2500.00} {$0.00} - {$2500.00} - {$2500.00} XXXX   {$350000.00} {$5700.00} {$0.00} - {$2500.00} XX/XX/XXXXXX/XX/XXXX {$310.00} {$1100.00} {$210.00} {$0.00} {$0.00} {$1600.00} XXXX   {$350000.00} {$5900.00} XX/XX/XXXX {$0.00} {$0.00} XX/XX/XXXX {$310.00} {$1100.00} {$950.00} {$0.00} {$0.00} {$2300.00} XXXX {$350000.00} {$6900.00} XX/XX/XXXX {$0.00} {$0.00} XX/XX/XXXX {$0.00} {$0.00} - {$2900.00} {$0.00} {$0.00} - {$2900.00} XXXX {$350000.00} {$4000.00} XX/XX/XXXX {$0.00} {$0.00} XX/XX/XXXX {$320.00} {$1100.00} {$950.00} {$0.00} {$0.00} {$2300.00} XXXX {$350000.00} {$4900.00} XX/XX/XXXX {$0.00} {$0.00} XX/XX/XXXX {$320.00} {$1100.00} {$1000.00} {$0.00} {$0.00} {$2400.00} XXXX {$350000.00} {$6000.00} XX/XX/XXXX {$0.00} {$0.00} XX/XX/XXXX {$320.00} {$1100.00} {$1000.00} {$0.00} {$0.00} {$2400.00} XXXX {$350000.00} {$7000.00} XX/XX/XXXX {$0.00} {$0.00} XX/XX/XXXX {$0.00} {$0.00} - {$4300.00} {$0.00} {$0.00} - {$4300.00} XXXX {$350000.00} {$2600.00} {$0.00} {$0.00} {$8200.00} {$14000.00} {$2600.00} {$0.00} {$0.00} {$16000.00} XXXX XXXX Prin Paid Int Paid Esc Paid late Chrg unapplied funds Trans Amt {$7800.00} {$14000.00} {$1000.00} {$0.00} {$1400.00} {$25000.00} XXXX {$320.00} - {$600.00} {$1600.00} {$0.00} - {$1400.00} - {$8900.00} If I continue making the payments as contractually required, the scenario only gets compounded. In XX/XX/XXXX, after property Taxes are paid, Ill have a {$2500.00} Escrow Balance, and in XX/XX/XXXX, when Insurance is paid, Ill have an Escrow balance of {$4900.00}. Then after XX/XX/XXXXs taxes are paid, Ill have a {$3600.00} Escrow Balance. Shouldnt an Escrow cushion balance be like XX/XX/XXXX or XX/XX/XXXX of Taxes & Insurance?? 
Funds Sent Date Monthly Interest Principle Taxes and Monthly Excess Running Balance Running Balance Ending Loan Balance Sent In Sent In Total Sent Insurance Sent In Excess/Month After T & I Paid {$350000.00} {$3000.00} XX/XX/XXXX {$3000.00} {$1700.00} {$1200.00} {$0.00} {$0.00} {$0.00} {$350000.00} {$3000.00} XX/XX/XXXX {$3000.00} {$1700.00} {$1200.00} {$0.00} {$0.00} {$0.00} {$350000.00} {$3000.00} XX/XX/XXXX {$3000.00} {$1700.00} {$1200.00} {$0.00} {$0.00} {$0.00} {$350000.00} {$2500.00} XX/XX/XXXX {$4000.00} XX/XX/XXXX {$2100.00} XX/XX/XXXX {$8700.00} {$1700.00} {$1200.00} {$700.00} {$5700.00} {$5700.00} {$5000.00} {$350000.00} {$2500.00} XX/XX/XXXX {$1500.00} XX/XX/XXXX {$4000.00} {$1700.00} {$1200.00} {$1000.00} {$6100.00} {$6100.00} {$350000.00} {$0.00} XX/XX/XXXX {$0.00} {$0.00} {$350.00} {$0.00} {$5700.00} {$5700.00} {$350000.00} XX/XX/XXXX OFF BY - {$350.00} {$350000.00} {$1600.00} XX/XX/XXXX {$1600.00} {$1100.00} {$310.00} {$210.00} {$5900.00} {$5900.00} {$350000.00} {$2300.00} XX/XX/XXXX {$2300.00} {$1100.00} {$310.00} {$2900.00} {$950.00} {$6900.00} {$4000.00} {$350000.00} {$2300.00} XX/XX/XXXX {$2300.00} {$1100.00} {$320.00} {$950.00} {$4900.00} {$4900.00} {$350000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1100.00} {$320.00} {$1000.00} {$6000.00} {$6000.00} {$350000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1100.00} {$320.00} {$4300.00} {$1000.00} {$7000.00} {$2600.00} {$350000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1000.00} {$320.00} {$1000.00} {$3700.00} {$3700.00} {$350000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1000.00} {$320.00} {$1000.00} {$4800.00} {$4800.00} {$350000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1000.00} {$320.00} {$1000.00} {$5800.00} {$5800.00} {$350000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1000.00} {$320.00} {$4300.00} {$1000.00} {$6900.00} {$2500.00} {$350000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1000.00} {$320.00} {$1000.00} {$3500.00} {$3500.00} {$350000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1000.00} {$320.00} {$1000.00} {$4600.00} {$4600.00} {$340000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1000.00} {$320.00} {$1000.00} {$5600.00} {$5600.00} {$340000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1000.00} {$330.00} {$1000.00} {$6700.00} {$6700.00} {$340000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1000.00} {$330.00} {$2900.00} {$1000.00} {$7800.00} {$4900.00} {$340000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1000.00} {$330.00} {$1000.00} {$5900.00} {$5900.00} {$340000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1000.00} {$330.00} {$1000.00} {$7000.00} {$7000.00} {$340000.00} {$2400.00} XX/XX/XXXX {$2400.00} {$1000.00} {$330.00} {$4300.00} {$1000.00} {$8000.00} {$3600.00} {$340000.00} I am enclosing Mortgage Statements and Escrow Analysis statements I have received from SLS thus far, as well as most recent correspondence from SLS Stating that they responded five times within the last year, and that A copy of your most recent Escrow Analysis Disclosure Statement Dated XX/XX/XXXX has been enclosed for your Convenience. YES. IT STATES MONTHLY PAYMENT IS {$2300.00}. Mortgage Statement shows CONTRACTUAL PAYMENT of {$2400.00}. Thats a difference of $ XXXX/Month. WHICH ONE IS IT?? They cant figure it out correctly until the Escrow balance and loan balance is corrected pre-modification, based on payments received since XX/XX/XXXX, for the trial payments and the regular NOW ESCROWED payments. It seems there are MULTIPLE departments involved here and one doesnt know what the others are doing, or they want until payments are received and the numbers are different. Someone needs to be held accountable for the history of this account and correct all the issues and get all departments in sync. I made more payments than what was required of me ( $ XXXX OR is it $ XXXX OR was it supposed to be {$4000.00} ) and SLS should apply the payments correctly when they came in and to the correct Escrow account in a proper fashion and only then do an Escrow analysis. Payment amounts and their codes are being applied everywhere and are constantly changing depending on where the document originated. I would just really like to see where my monies went when they received them, and follow it succinctly. They can not seem to provide me this. 
I sent them, to a different address as requested, an escrow shortage amount of {$2100.00}. This amount appears over 12 times in XXXX accounting which I can ALMOST follow, but still cant. It looks like I sent in {$2100.00} three times, which I did not. The Final Loan Modification shows I still have an Escrow Shortage of {$7500.00}, after sending them a shortage amount of {$2100.00} at the SLS address specified! 
In the most recent letter from SLS ( XXXX ), SLS states that trial payments were applied XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX in the amount of {$2500.00} each ( x 3 ). If that is the case, where is the additional {$8200.00} ( {$15000.00} {$7500.00} ) sent in and how was each {$2500.00} applied to my Principle, Interest, Tax, Insurance and Escrow account? 
Could someone please help me get this corrected? I am at my wits end playing with numbers. WHO do I turn to? I can not get SLS to correct these errors by giving me a clean/ Succinct accounting of exactly where all this money went based on when it came in and where it was supposed to go. I just get PAGES of reversals to different categories I can not follow. They just keep assessing late fees, reporting me as late, sending me late notices and then telling me to disregard them as they were sent out in error, and telling me everything is correct. I was obligated to pay {$2500.00} for three months, which I did. I also paid my normal Mortgage Payment AND ESCROWED that too, yet the monies are NOT in Escrow. Is there ANOTHER account somewhere holding my {$7500.00}?? 
If each trial payment contains an Escrow Amount of {$1000.00} and I made 3 of those and 2 regular payment ones and I sent in 1 Escrow shortage check for {$2100.00}, then escrow should have had {$7400.00}. Subtract {$700.00} for the insurance payment and you are left with {$6700.00} in Escrow at the time of Loan Modification, with a balance of {$8300.00} sitting in unapplied funds for P & I to calculate the loan amount. 
All I want is a clean accounting of funds sent in, and how/where/when they were applied, because I cant make heads or tails out of all the reversals into and out of the different codes, that just dont seem to balance no matter how long and hard I look at the numbers. I followed it for a while, then it gets too convoluted. Hopefully you can assist. Thank You! 

What would be a fair resolution to this issue? 
Well forward this to the companies involved. Be specific so they know what resolution you are looking for. The company may or may not offer to resolve your complaint. 
Stop sending canned letters and actually look at my payment history and correspondence ( on a payment by payment - month by month basis, line by line ) before all reversals were made using multiple codes and amounts and apply the payments succinctly and CORRECTLY the first time around which will properly disperse monies into correct categories ( Principle, Interest, & Escrow ), correct my end of year tax statement, correct my loan balance, calculate Escrow amounts correctly, correct my monthly payment amount, correct the current escrow balance, remove the late from my credit report, remove the late fees assessed, put account back into clean status with HAMP, send me interest on the monies held for the last 9 months, send me my escrow refund check, and get me the job back I probably lost because of the lates on my credit report.