Consumer complaint received 2016-09-28
Product: Mortgage — Conventional fixed mortgage
Issue: Loan modification,collection,foreclosure — 
Company: SELECT PORTFOLIO SERVICING, INC. (TX)

My mortgage was bought out by Select Portfolio Servicing & for a while everything was fine. I lost my job and was able to get a modification with SPS. When I had storm damage which my homeowners insurance did n't cover as it was just below the 1 % deductible so I used my mortgage payment to fix some of the damages to the roof with my mortgage payment and I also I fell and broke elbow so I had medical expenses as well which I got behind on my mortgage payments. I called SPS and was told to apply for mortgage assistance as I just wanted to pay back my arrears in a payment plan so I was approved for to pay back at {$840.00} a month for a year. I was doing really well when XX/XX/XXXX, my air conditioner started leaking water into the unit and would n't drain. I called my homeowners insurance and it was n't covered since it was the coil and I would be responsible to repair it. I had barely got these news and I informed SPS about the situation explaining I could pay them a double payment XX/XX/XXXX when I received my student loan so that I could catch up my repayment plan and they said fine. On XX/XX/XXXX, the worst hail storm to hit XXXX XXXX and my home took a hit on the roof. I called my homeowners insurance and once again they denied my claim. I never got a reason why other than they would not fix my roof so I once again had to fix some of the roof so that I would n't have more damage to my home. I called SPS letting them know what happened and would send payment but it would be delayed as I had to make more repairs to the roof and they seemed understanding. I received a letter from SPS that my house was going into foreclosure. I immediately called them back and told them what happened. I asked ca n't I just send my mortgage payment and I will send more once I get my student loan? They would not accept my mortgage payment and would return it back to me. They informed me to apply for a modification. I told them I was happy with my mortgage payment but could n't they just apply the arrears to the end of my loan or let me restart my repayment plan? So I sent in the documents needed for modification, pay stubs, hardship letter, mortgage assistance, tax returns, budget, etc., only to be denied. They wanted {$5500.00} in order to get caught up and this amount included attorneys fees for putting my house in foreclosure! I told them I did n't have that kind of money but I could borrow from my student loan and give them half one semester and the other half the semester and they said No, they wanted the whole amount. I got with XXXX a non-profit that assists homeowners with their mortgage and they helped me in XX/XX/XXXX when I lost my job of 20 years and got my home modified with XXXX XXXX XXXX ( prior XXXX XXXX ) but I digress, they told me to fill out modification forms and they would submit to SPS. All of this was done and no response from SPS. SPS told me that XXXX needs to contact their relationship manager XXXX XXXX and XXXX told me they are supposed to contact them so I ca n't get them to communicate with each other. Once again, it was denied. When I spoke with SPS in XXXX, XXXX and asked why they denied the modification, they said it was due to income. How can that be when you approved a repayment plan at a higher amount of my mortgage on the same income submitted? They wanted me to work another job to get more income but I am going to school at night part-time to get a higher paying job. I asked them as I am borrowing student loan to also supplement my income as I ca n't work a second job while attending school could I put that down as income. He said yes and told me to reapply so I did as they asked, resent more documents again and it seems like I 'm getting the runaround. Yesterday that they denied my modification. XXXX provided a workable solution but they still said No! I do n't know what to do?