Consumer complaint received 2025-07-11 00:00:00
Product: Mortgage — Home equity loan or line of credit (HELOC)
Issue: Trouble during payment process — Trying to communicate with the company to fix an issue while managing or servicing your loan
Company: Shellpoint Partners, LLC
State: CA

Complaint narrative:
Shellpoint is either an inept company or, more likely, dishonest with illegal intent to deceive borrowers. Shellpoints business practices are intentionally deceptive, particularly with respect to borrowers who are elderly homeowners with significant equity. They prey on the elderly by practicing activities of deceit to gain an unfair advantage by sending monthly statements of inconsistent and unexplained balances for an interest only HELOC of XXXX stating payment due of {$4700.00} is due yet, the finance charge on the statement is for {$250.00}. Shellpoint received and cashed the payments of the previous months and intentionally mis-applied the amount onto an unpaid balance which increased every month therefore, creating confusion and intentionally lacked clear communication or explanation because their goal is to file fraudulent foreclosures on elderly borrowers. 

I filed my first complaint on Shellpoint with CFPB XXXX in XX/XX/XXXX. Shellpoint finally submitted their response dated XX/XX/XXXX. Interesting, Shellpoint starts off by stating, Please know that we take our customer service and consumer protection obligations seriously and have dedicated staff to identify and resolve your concerns. 

Upon researching the issue, we determined that an error occurred during the migration of the loan to Shellpoint. Initially, the loan was set up with a fully amortized payment calculation when it should have been set as interest-only. On XX/XX/XXXX, the loan was updated to reflect the correct interest-only payment structure, and the following payments were reapplied accordingly. 

All foreclosure and late fees were waived. On XX/XX/XXXX, Shellpoint submitted an update to the Consumer Reporting Agencies ( CRAs ) to update XX/XX/XXXX, XXXX, XXXX and XX/XX/XXXX to current. 

Amazingly, it took Shellpoint XXXX months to figure this out and to correct it?! While during those XXXX months, their error had a significant impact on my health from the uncertainty of losing my home! Their response is XXXX! My first complaint explains the nightmare of Shellpoint that began in XX/XX/XXXX. 

Shellpoint cashed my XX/XX/XXXX payment and mis-applied the amount to the increasing unpaid balance which I never received a clear explanation of the origination. Shellpoint returned my XXXX payment with a letter stating that the account is over 90 days past due. And the same with XXXX payment with the same letter, the account is over 90 days past due. 
Shellpoint cashed and mis-applied XXXX payment. 

On XX/XX/XXXX, I sent Shellpoint via Certified mail, which was received XX/XX/XXXX, the same checks for XXXX and XXXX, a check for XXXX payment and a check for {$180.00} for XXXX XXXX XXXX  Again, no clear explanation provided for this amount. 

On XX/XX/XXXX, I receive from Shellpoint a foreclosure proceedings notice dated XX/XX/XXXX, claiming I have not taken steps to resolve the delinquency, and have commenced foreclosure on the property. The notice is dated the same day Shellpoint received my payments and 28 days from their response to CFPB of their error dated XX/XX/XXXX. 

On XX/XX/XXXX, Shellpoint returned my checks with a letter dated XX/XX/XXXX. 

Shellpoint deserves to be investigated for their fraudulent foreclosure filings.

Company public response: Company believes it acted appropriately as authorized by contract or law
Company response to consumer: Closed with explanation