Consumer complaint received 2024-07-15 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Paying off the loan
Company: Shellpoint Partners, LLC
State: GA

Complaint narrative:
In XX/XX/XXXX, I attempted to pay off my mortgage held by Newrez LLC via wire transfers, following the provided wiring instructions. All three attempts on XX/XX/XXXX, XX/XX/XXXX, and XX/XX/XXXX resulted in the funds being returned with a {$40.00} deduction each time. Despite multiple calls to Newrez Customer Service seeking advice to rectify the problem, the wire transfers were unsuccessful. Upon realizing I had incurred a total of {$120.00} in fees that XXXX had silently deducted each time the funds were returned and having no clarity from Newrez regarding the problem, I discontinued the wire attempts. 

I tried several times to bring the problem to Newrezs attention, but Newrez neither satisfactorily acknowledged the problem nor investigated sufficiently to provide the answers to the questions I asked XXXX exactly was wrong with the wires and what was the fee for? ( Refer to XXXX ) As a result of Newrezs refusal to investigate the cause of the problem, I investigated it myself culminating in a CFPB complaint sent to XXXX requesting the reason the wires were returned and an explanation of the fees. XXXX findings match the reason for return that my bank suggested when the last wire attempt failed on XX/XX/XXXX The account number Newrez provided in the wiring instructions was not a valid account number. Comparing the format XXXX requires for successful payment against the actual wire details that were sent revealed that both match the format of the Newrez wiring instructions. ( Refer to XXXX ) All of the details from the attempted wires can be verified as correct or unrelated to the return reason except for the Newrez account number. That account number has been identified as the beneficiary account referenced in the return reason XXXX reported : Need Valid Beneficiary Account to Credit. I believe if Newrez investigated the reason wiring funds per the instructions that were provided was not possible, it would be found that the specified account number was incorrect. If not, then what was the problem? Everyone I talked to who was willing to help with my investigation attested that the wires were formatted correctly for the information provided. 

Regarding the fee, XXXX explained that " returned payments due to client error are assessed a standard {$40.00} Return of Funds fee. '' This is not a fee I would have encountered if Newrez had provided correct wiring instructions. Therefore, " client error '' is a direct result of Newrez 's errors in the wiring instructions and Newrez is ultimately responsible for the information they provided. 

The XX/XX/XXXX letter I received from the Newrez Compliance Department in response to my initial inquiry explained that " Newrez is not responsible for any fees that may be incurred when attempting to wire a payment from an outside source to cover your mortgage obligations. '' I believe that should mean Newrez is not responsible for fees one would reasonably expect to incur for a working process during the course of a normal transaction, e.g. a wire fee for a successful wire transfer. I argue that the fees I incurred were an exception because I incurred them due to a fault in the wiring instructions Newrez provided. The faulty instructions caused {$120.00} in XXXX Return of Funds fees plus additional unnecessary costs. I paid a {$25.00} wire fee and still had to pay for costs associated with sending a cashiers check and several days of interest accrued while Newrez denied any problems with the wiring process. It is inconceivable that wiring funds to pay off a mortgage should be such a difficult task and it wouldnt have been if correct instructions were available.

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