Consumer complaint received 2024-05-31 00:00:00
Product: Mortgage — Manufactured home loan
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: WI

Complaint narrative:
XX/XX/year> our house was severely damaged due to water damage. Our insurance company has cut checks for the damage. At this moment it is approximately $ XXXX pending another transaction. 

The mortgage company won't release the funds even though I have provided all paid invoices, contractor estimates, copies of cashiers checks to the general contractor, paid inspection that the mortgage company requires, material list, and more. 

I have now maxed out my line of credit and credit cards to pay for the damages that they are holding the funds from the insurance company. From what I understand in looking into this that this is a huge problem that several individuals endure. I am now paying additional interest for the XXXX that I have paid out of my pocket. Additionally, I have to pay an inspection fee even though I provide pictures of the project. 

Since there was water damage I had to gut the house down to the studs XXXX. They provided a total payment of under XXXX to date. We had to pass the mold inspection and then rebuild the house. The first inspection was done after the insulation and subfloors were put in. I was required by the XXXX to sign a blank document attesting to the the repairs that he wasn't allowed to show me. Then the report came back that the house was 20 % complete with out taking into consideration that the entire house was gutted to the studs. They promised manager review since XXXX. I finally got one and they approve XXXX K which doesn't even cover what I have already paid. That was after having to call weekly and requesting in an email for the management review to be completed which took 3 months. 

I am at my witts end with this process. I have never made a late payment. It has been 10 months since the house was livable. The house will not be completed until XXXX at the earliest. However, I do not have anymore money that I can front. They will not release funds until the house is at 50 % ( when they haven't even paid XXXX  % of the claim ) so what happens now? Why is the mortgage company able to hold funds that the insurance company has paid for. That money isn't theirs and it's to repair the house that they provided the loan. I am required to keep the loan current but there is no one regulating them? I have to call an XXXX number to the loss draft department for shellpoint ( new rez ) and speak to someone different everytime. The claim person doesn't respond or escalate an issue and only communicates via email. They require me to pay for the inspection for them to release the funds that my insurance paid and I paid the insurance company for the policy, not them. How do I resolve getting the funds released, the interest that I am paying for because of them, and my credit score affected because I had to use XXXX of my line of credit and now my credit is maxed out.

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