Consumer complaint received 2025-11-14 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — Trying to communicate with the company to fix an issue related to modification, forbearance, short sale, deed-in-lieu, bankruptcy, or foreclosure
Company: Shellpoint Partners, LLC
State: FL

Complaint narrative:
I am filing a complaint about excessive, duplicative, and unearned foreclosure fees charged by Shellpoint Mortgage Servicing, along with improper application of payments that has caused financial harm and prevented me from reinstating my loan despite substantial payments. 

XXXX. Shellpoint charged more than {$12000.00} in foreclosure-related fees in XXXX months My monthly statements show escalating fees from XXXX 2025, including : Attorney Fees : {$1600.00} {$1600.00} {$1600.00} {$1900.00} Foreclosure Costs : multiple FC charges rising to {$3100.00} Filing Fees : charged twice for a total of {$2000.00} Property Inspections : {$30.00} per month ballooning into {$510.00} balance These totals exceed {$12000.00}. The foreclosure was only filed and served, with no hearings, no motions, no litigation. 

XXXX. I paid {$11000.00} toward the arrears and an additional {$5400.00} yet the reinstatement amount is not decreasing correctly I made : {$11000.00} down payment {$5400.00} additional payments However, Shellpoints statements show : Reinstatement amounts fluctuating inconsistently Large fees absorbing my payments instead of applying them to principal & interest No proper reflection of the payments I made No reduction of default as required under the mortgage contract and federal law XXXX. Shellpoint appears to be misapplying payments Federal law requires payments to be applied first to : Principal Interest Escrow Late charges Fees Instead, Shellpoint appears to be : Routing payments into fees first, not principal/interest Allowing charges to accumulate faster than I can pay Obscuring how payments were allocated Increasing the reinstatement amount despite substantial payments This violates 12 CFR 1026.36 ( c ) ( 1 ), RESPA, and Regulation X.

4. Shellpoint charged unearned and anticipatory fees There was no legal activity in the foreclosure case to justify : 4 months of repeated attorney flat fees Thousands in FC costs Multiple filing fee charges Inspections totaling {$510.00} Regulation X prohibits : duplicated default fees padded foreclosure fees unearned legal costs anticipatory/estimated fees costs not actually incurred XXXX. These servicing errors create material financial hardship Because Shellpoint is : inflating the reinstatement amount misapplying my payments adding unearned fees failing to properly credit the {$16000.00} Ive already paid I am unable to accurately reinstate the loan and avoid foreclosure. 

This is causing severe financial and emotional distress and undermines home retention efforts. 

What I want the CFPB to require : A full audit of my loan Proper application of the {$11000.00} + {$5400.00} I paid Itemized attorney invoices and proof of work performed Removal of all unearned, duplicative, or excessive fees Correction of the reinstatement amount Compliance with RESPA, Reg X, and TILA servicing rules Prevention of further improper charges Thank you for your assistance.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation