Consumer complaint received 2025-05-28 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: Shellpoint Partners, LLC
State: FL

Complaint narrative:
FORMAL COMPLAINT AGAINST SHELLPOINT MORTGAGE SERVICING NATURE OF COMPLAINT Shellpoint Mortgage Servicing is violating federal RESPA ( Real Estate Settlement Procedures Act ) regulations by : 1. Demanding excessive escrow payments beyond legally permitted amounts 2. Refusing to provide a detailed escrow analysis despite multiple requests 3. Claiming an unexplained escrow shortage that does not align with actual insurance increases DETAILED TIMELINE AND DOCUMENTATION * * Insurance Changes for XXXX : * * - XXXX Homeowners Insurance : {$3600.00} - XXXX Homeowners Insurance : {$5900.00} ( increase of {$2300.00} ) - XXXX Flood Insurance : {$650.00} ( new requirement ) - * * Total Annual Insurance Increase : {$2900.00} * * * * My Escrow Account Actions : * * - Existing 2-month reserve : {$1800.00} - Additional payment sent XX/XX/XXXX : {$1100.00} - * * Total Additional Funds Provided : {$2900.00} * * * * Shellpoint 's Response : * * - Despite the above payments, Shellpoint claims escrow shortage of : * * {$5700.00} * * - * * The Math Doesn't Add Up : * * How does a {$2900.00} insurance increase create a {$5700.00} shortage when I've already contributed {$2900.00} in additional funds? 

-- - COMMUNICATION ATTEMPTS I have made repeated requests for a detailed escrow analysis and on the following dates are response from Shellpoint : - * * XX/XX/XXXX * * - Shellpoint response inadequate - * * XX/XX/XXXX * * - Shellpoint response inadequate - * * XX/XX/XXXX * * - Shellpoint response inadequate * * As of today 's date, Shellpoint has still not provided a clear explanation of their calculations. * * SPECIFIC VIOLATIONS 1. RESPA Violation - Excessive Escrow Cushion Under 12 CFR 1024.17 ( c ), mortgage servicers can only require a maximum cushion of 1/6 of the total annual escrow disbursements ( equivalent to 2 months ). Shellpoint appears to be demanding reserves far exceeding this legal limit.

2. Failure to Provide Required Escrow Analysis Under RESPA 1024.17 ( i ), servicers must provide a detailed annual escrow analysis. Despite multiple requests, Shellpoint has failed to provide adequate documentation showing : - How the {$5700.00} shortage was calculated- A breakdown of all escrow account transactions - Justification for the excessive shortage claim 3. Lack of Transparency and Consumer Protection Shellpoint 's refusal to explain their calculations violates basic consumer protection principles and makes it impossible for me to verify the accuracy of their claims.

THE NUMBERS DON'T ADD UP * * Simple Calculation : * * - Annual insurance increase : {$2900.00} - Amount I should owe to catch up escrow : {$2900.00} - Amount I already paid toward escrow : {$2900.00} - * * Actual shortage should be : {$56.00} * * * * Shellpoint 's Claim vs. Reality : * * - Shellpoint claims shortage : {$5700.00} - Reasonable shortage : {$56.00} - * * Unexplained difference : {$5600.00} * * Date : * * XX/XX/XXXXXXXX XXXX

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