Consumer complaint received 2022-04-29
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — 
Company: Selene Holdings LLC (FL)

On XX/XX/XXXX, my loan servicer for well over a decade, XXXX XXXX, sold my mortgage to Selene Finance, LLC. This was NOT a new loan. My escrow balance, which has more than enough to cover the property taxes due, transferred along with all of the other items to Selene Finance. The payment of my taxes and insurance is part of my original mortgage agreement as evidenced by the existence of my escrow account. 

My property taxes were first due by XX/XX/XXXX ( post transfer date ) and the last due date was XX/XX/XXXX. Unfortunately, when I went to file my taxes and reviewed my 1098-R from Selene, the taxes showed as unpaid.

I contacted Selene on XX/XX/XXXX, XX/XX/XXXX, XX/XX/XXXX and today, XX/XX/XXXX XXXX in an effort to resolve my delinquent taxes and avoid a lien from my tax assessor against my property. 

XX/XX/XXXX - Despite explaining the situation 3x 's to two different representatives, I was asked why the tax bill was not paid at closing ( not a new loan ). I was told they were allowed 90 days for them to get the loans up and running. I pointed out that 90 days would have been up in late XXXX so why wasn't the bill paid. No response. I was then told to upload my tax bill ( I did so while the rep was on the phone and got confirmation that they had it ). I was told it would take ten ( 10 ) days to get paid and that was the " expedited '' process. I then asked for clarification that they ( as per federal law ) if they would be responsible the penalties and assessments that my tax assessor would now be putting into place. They would only advise that they would commence an internal investigation about what happened. They alternated between blaming XXXX XXXX and that the bill was not paid at closing, neither of which are true. This is squarely on Selene. I notified my tax assessor of the situation. Time spent : 2 hours. 

XX/XX/XXXX - I called back to see ( again ) if they would please expedite payment and again ask for clarification on penalties and fees. I was again told that the payment would take 10 days and that " it was the same for everybody '' and I was ( again ) stonewalled on the confirmation that they would pay the penalties and fees assessments. I asked to speak to a manager/supervisor - I was told that they don't take calls nor do they have an email address. Seriously? As a result, I sent a Notice of Error to the customer service email address in which they have 5 days to respond. Time spent : 1 hour plus. 

XX/XX/XXXX - This is the 10 day mark in which I was told this was paid. My account online still showed my same escrow balance so I called in again. This time I was told that it was pending approval of " the team '' and had been since XX/XX/XXXX. I asked how long this would take the team to pay. No response. Note : Notice of Error was not responded to by anyone at Selene Finance. I advised my tax assessor of the situation. Time spent : 1 hour plus. 

XX/XX/XXXX - My account online still showing same escrow balance and no payment to my tax assessor. I called in again. I was told that now the money was set to be taken out of my account as of XX/XX/XXXX. I was told again that they had 90 days from the date that they got the information set up in their system ( vs. the XX/XX/XXXX date of transfer ). I asked what date the set up was complete. I was advised XX/XX/XXXX. I then asked her to calculate the 90 days for me ( which would still be late XXXX ) and what month we are in now. I told her I found it impossible to believe that they did not have a report somewhere as part of their transfer that would show who's taxes were due and not paid. I also advised that they have breached their fiduciary duty and that I would filing with the CPFB and the XXXX. I did update my tax assessor of the XX/XX/XXXX date and my filing with CPFB and XXXX. No response to the Notice of Error has been received. Time spent : 1 hour.

In sum, Selene Finance has breached their fiduciary duty under : ( 12 C.F.R. 1024.17 ), in which they have the obligation to make the insurance and tax payments in a timely manner.

( 12 C.F.R. 1024.35 ) in that they failing are to cover the cost of any penalties imposed due to the late disbursement and failed to timely respond in 5 days to the Notice of Error. 

Note that this company has ratings as follows : XXXX  XXXX ; XXXX XXXX and XXXX XXXX. I am not the only consumer that is having issues with this servicer and this needs to be addressed at a much higher level.