Consumer complaint received 2024-08-08 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: Shellpoint Partners, LLC
State: CA

Complaint narrative:
I attempted to make my monthly mortgage payment online in XXXX as I always do, but unfortunately I was unable to do so because Newrez had blocked the payment field where the normal payment amount in the amount of {$1900.00} would typically be entered. Instead Newrez had placed an inflated sum of {$2200.00} and I was unable to alter this fictitious amount ( see copy attached ).

In reviewing the statement closer, it appears Newrez had placed forced Hazard Insurance on this dwelling without my knowledge or consent ( no notifications of any kind, no mailing, no phone call, no email, no text message, was made by Newrez ). The reason for this is clearly due to their error. My homeowners insurance was paid months ago when due, and a copy of the certificate forwarded to Newrez ( see copy attached ).

I sent Newrez a letter in XXXX with this payment in explanation of why my payment amount should not have been changed by them, along with a copy of the insurance certificate as mentioned. This payment and information was mailed by Certified Mail directly to their " Error Resolution '' department located in XXXX, SC. They never responded in any manner, and did not apply my payment to my monthly obligation, but instead held it in a " suspense '' account. 

After receiving no communication from Newez in response to my letter, I contacted my XXXX XXXX XXXX XXXX and asked them to contact Newez, and resolve this issue. It took my agent two days to finally get a Newez representative on the phone to resolve this issue. At the conclusion of the call, my agent had provided yet another copy of the homeowners insurance policy and the assurance that the problem was resolved. 

Checking online days later, Newrez still had not corrected my online account, and instead added more late fees and additional " escrow '' charges. Once again I sent them another letter in XXXX with my correct payment amount with the letter explaining why my payment amount should not have been changed, along with another copy of the insurance certificate previously provided. This payment and information was mailed by Certified Mail directly to their " Error Resolution '' department located in XXXX XXXX. They never responded in any manner to this second letter, and did not apply my payment to my monthly obligation, but instead held it in a " suspense '' account. 

The following month, Newrez still had not corrected my online account, but instead added more late fees and additional " escrow '' charges. In reviewing my account online in greater detail, they were neither applying my payments to my monthly mortgage payments or their alleged escrow account, and were basically just holding thousands of dollars without applying it to anything. I sent them a third letter in XXXX with my correct payment in full, with the letter explaining why my payment amount should not have been changed, along with another copy of the insurance certificate previously provided. This payment and information was mailed by Certified Mail directly to their " Error Resolution '' department located in XXXX XXXX 

I have had a mortgage on this property for about XXXX years, and never made XXXX late payment. The loan has been serviced by a number of mortgage companies that continue to sell their performing portfolios to other service providers. I have never had any problems whatsoever with any previous companies, but soon after Newrez obtained this loan from XXXX, problems began. Newrez is the worst mortgage service provider I have ever had over XXXX years of borrowing from dozens of different institutions. Their " Customer Service '' is simply pathetic! If this issue does not get resolved within the next 30 days, I will secure legal counsel and pursue this company aggressively to seek damages, as well as demand the loan servicing be transferred to a competent service provider.

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