Consumer complaint received 2023-12-06 00:00:00
Product: Debt collection — Mortgage debt
Issue: False statements or representation — Attempted to collect wrong amount
Company: SELECT PORTFOLIO SERVICING, INC.
State: NV

Complaint narrative:
I HAVE BEEN AFFECTED BY XXXX XXXX, I lost income, I lost work, and was ill numerous times from after XX/XX/XXXX, to Current XX/XX/XXXX. I am a single mother of a son who was under the age of XXXX years old during XXXX XXXX. 

In XXXX, Select Portfolio Servicing HAD NEVER offered me a Forbearance plan even when we were in a foreclosure moratorium and even when many people had been placed and offered forbearance. In XXXX of XXXX, SPS Never offered me a forbearance even though I HAD BEEN AFFECTED BY XXXX XXXX like millions of Americans. 
For the rest of the year of XXXX, SPS never mentioned a forbearance plan to me and they NEVER SENT ANY COMMUNICATION BY MAIL OR TO MY ONLINE ACCOUNT DASHBOARD REGARDING A FORBEARANCE. I WAS NOT AWARE OF THE DETAILS OF THE FORECLOSURE MORATORIUM AND WAS CONFUSED JUST AS MILLIONS OF AMERICANS WERE. IN XXXX, XXXX, XXXX SPS HAD AND HAS NEVER OFFERED ME A FORBEARANCE OR SENT ANY COMMUNICATION INFORMING ME OF SUCH PLAN AND DETAILS. 

I HAVE SINCE FILLED OUT RMA 'S AND HARDSHIP LETTERS AND SPS HAS CONTINUALLY NOT OFFERED ME A FORBEARANCE PLAN WHICH I HAD AND STILL CURRENTLY DESPERATELY NEED. IN XXXX, XXXX, AND XXXX, SPS HAS SENT ME CORRESPONDENCE INFORMING ME OF BEING LATE ON PAYMENTS AS EARLY AS JUST 60 DAYS BEHIND, YET THEY NEVER OFFERED ME A FORBEARANCE DURING XXXX, XXXX, XXXX, XXXX. THEY SENT ME LETTERS THREATENING FORECLOSURE WITHOUT GIVING ME A FORBEARANCE AND OR THEY DID NOT WORK DILIGENTLY TO PREVENT FORECLOSURE BY WORKING OUT A PLAN THAT WOULD WORK FOR MY SITUATION. DURING A FORECLOSURE MORATORIUM AND EVEN AFTER THE EXTENSION OF THE FORBEARANCE RULES SPS NEVER GAVE ME A FORBEARANCE OR OFFERED IT WHEN I DOCUMENTED THAT I WAS AFFECTED FROM XXXX XXXX AND HAD A HARDSHIP. I CONTINUE TO APPLY FOR HELP WITH SPS YET THEY HAVE NOT OFFERED ME THE NEEDED FORBEARANCE. I HAVE NUMEROUS EMAILS, EMAILS IN WHICH I HAVE DISPUTED AMOUNTS OF THE DEBT LISTED ON MY LOAN STATEMENTS. 
SPS HAS AMOUNTS LISTED THAT THEY ARE TRYING TO COLLECT FROM ME IN WHICH I HAVE CLAIMED I DO NOT OWE. THEY HAVE AMOUNTS IN ADVANCED FEES AND OTHER FEES THAT THEY HAVE NOT DISCLOSED TO ME EVEN AFTER I HAVE VERBALLY DISPUTED AND DISPUTED IN WRITING. I BELIEVE THEY ARE TRYING TO COLLECT HOA FEES THAT THEY HAVE PAID THAT I NEVER OWED AND ATTORNEY FEES FOR THEIR OWN ATTORNEY THAT THEY ARE NOT LEGALLY ALLOWED TO COLLECT. The collection of fees that I have disputed and fees that SPS is not legally allowed to collect is a violation of the FDCPA, Fair Debt Collection Procedures Act. SPS as a debt collector under this law, is not allowed to collect any attorney fees or unreasonable collection fees and they are not allowed to GROW a debt or collect above what the periodic monthly payment is as stated in the loan documentation. I have asked SPS To post payments I made to my monthly contractual payment ONLY, but in recent statements from XXXX, XXXX, it shows that SPS POSTED payments incorrectly, posted to disputed amounts, and posted to amounts not legally allowed to collect. I HAVE TO DATE APPLIED AT LEAST 4 TIMES FOR MORTGAGE ASSISTANCE WITH SPS SINCE XXXX, AND SPS HAS NOT IN GOOD FAITH OR DILIGENTLY WORKED WITH ME. AS PER THE COVID XXXX FORCLOSURE MORATORIUM RULES, PROVISIONS OF THE MORTGAGE SERVICING LAWS, THE RULES AND PROVISIONS OF THE CFPB XXXX XXXX RULES, REGULATION X AND REGULATION Z, SPS HAS NOT COOPERATED FAIRLY WITH ME REGARDING MY HARDSHIP DUE TO XXXX XXXX. ( LOST INCOME, LOST JOB, FINANCIAL HARDSHIPS, INCREASED BILLS, INCREASED FAMILY COSTS ). SPS IS CURRENTLY TRYING TO FORECLOSUE ON ME UNFAIRLY, WITHOUT HELPING ME WORK OUT A PLAN. THE CFPB RULE SAYS THAT A LENDER OR SERVICER CAN NOT START FORECLOSURE UNTIL AFTER THE LOAN PAYMENTS ARE 120 DAYS PAST DUE AND ONLY AFTER DILIGENTLY WORKING WITH THE HOMEOWNER ON ANY LOAN PLAN OR EXTENSION DUE TO PROLONGED XXXX XXXX HARDSHIP. I AM NOT MORE THAN 120 DAYS PAST DUE AND SPS IS TRYING TO FORECLOSE ON AMOUNTS THAT THEY ALLEDGEDLY ADVANCED THAT I HAVE FORMALLY DISPUTED WITH THEM. 
I SENT TWO PAYMENTS IN THE MONTH OF XX/XX/XXXX. ONE PAYMENT I ASKED TO BE POSTED FOR XXXX AND THE OTHER TO POST TO XX/XX/XXXX, HOWEVER THEY ONLY POSTED ONE PAYMENT TO XXXX AND DID NOT POST THE XX/XX/XXXX AS I REQUESTED OF THEM. THEY HAVE TAKEN MY PAYMENTS AND HAVE POSTED THEM TO AMOUNTS THAT ARE NOT LEGAL AND NOT CONTRACTURAL. 

I have sent SPS a formal letter informing them that I PAID HOA fees directly to my HOA. If SPS or the bank paid money to my HOA in addition to what I paid, then the HOA has collected money illegally from both SPS AND MYSELF the homeowner. 
I recently discovered that my HOA collected money from me illegally as I never owed the money to them. I have disputed any amount of HOA fees SPS might have paid illegally and I do not owe. 

I am not ordered to pay attorney fees to SPS for any of my efforts to obtain Mortgage assistance from XXXX. I request SPS, the bank ( XXXX XXXX XXXX ), to adjust my mortgage loan account and balance to only show my contract payment amount from XXXX which DOES NOT INCLUDE hidden attorney fee amounts that are illegal per Nevada Law , illegal per FDCPA LAW, and attorney fees that I do not owe.

Any previous modifications from District Court Cases were awarded to me in my favor.

Cases that I initiated and that were completed in my favor does not make me liable for SPS 's attorney fees PER NEVADA LAW.

The Bureau is proposing amendments to Regulation X to assist mortgage borrowers affected by the XXXX emergency. As described in more detail in part II, the pandemic has had a devastating economic impact in the United States, making it difficult for some mortgage borrowers to stay current on their mortgage payments. To help struggling borrowers, various Federal and State protections have been established throughout the last 13 months. For example, the Coronavirus Aid, Relief, and Economic Security Act ( CARES Act ) 1, which was signed into law on XX/XX/XXXX, provides up to 360 days of forbearance for mortgage borrowers with federally backed mortgages2 who request forbearance from their servicer and attest to a financial hardship during the XXXX emergency.3 In addition, in XX/XX/XXXX, the Federal Housing Finance Agency ( FHFA ), Federal Housing Administration ( FHA ) , Department of Veterans Affairs ( VA ) , or Department of Agriculture ( USDA ) announced that they were expanding their forbearance programs beyond the minimum required by the CARES Act for a maximum of up to 1 The Coronavirus Aid, Relief, and Economic Security Act, Pub. L. 116-136, 134 Stat. 281 ( 2020 ) ( CARES Act ). 2 The CARES Act defines a federally backed mortgage loan as any loan which is secured by a first or subordinate lien on residential real property ( including individual units of condominiums and cooperatives ) designed principally for the occupancy of from one-to-four families that is insured by the Federal Housing Administration under title II of the National Housing Act ( 12 U.S.C. 1707et seq. ) ; insured under section 255 of the National Housing Act ( 12 U.S.C. 1715z20 ) ; guaranteed under section 184 or 184A of the Housing and Community Development Act of 1992 ( 12 U.S.C. 1715z13a, 1715z13b ); guaranteed or insured by the Department of Veterans Affairs; guaranteed or insured by the Department of Agriculture ; made by the Department of Agriculture ; or purchased or securitized by the Federal Home Loan Mortgage Corporation or the Federal National Mortgage Association. CARES Act section 4022 ( a ) ( 2 ), 134 Stat. 281, 490. 3 CARES Act, supra note 2, 4022, at 490-91.

3 18 months of forbearance for borrowers who requested additional forbearance by a date certain.4 Through its mortgage market monitoring, the Bureau understands that servicers of mortgage loans that are not federally backed may be offering similar forbearance programs to borrowers.

In addition, FHFA, FHA, USDA, and VA extended Federal foreclosure moratoria until XX/XX/XXXX. 5 The Bureau is concerned that a potentially unprecedented number of b Effective Date and Related Updates. The effective date of the Final Rule is XX/XX/XXXX, and as further detailed below ( and as anticipated ), it includes enhanced foreclosure protections to address the XXXX pandemic. According to the preamble, an earlier effective date was not possible as the Congressional Review does not allow a major rule ( which the Final Rule is deemed to be ) to become effective sooner than 60 days after publication in the Federal Register ( which occurred on XX/XX/XXXX ) .Temporary XXXX Foreclosure Safeguards. The Final Rule includes enhanced foreclosure protections that will be in place from the effective date through XX/XX/XXXX. During that time frame, servicers may not make the first notice or filing required for foreclosure, due to missed payments ( and the borrower being more than 120 days delinquent, in accordance with the existing rule ), unless one of three safeguards has been met : Complete Loss Mitigation Evaluation The borrower has submitted a complete loss mitigation application, the borrower has remained delinquent at all times since submitting the application, and that evaluation process has been exhausted pursuant to the existing criteria in 1024.41 ( f ) ( 2 ) ( i.e., appeal rights have been exhausted, the borrower rejects all loss mitigation options offered, or the borrower fails to perform under a loss mitigation option ) ; Abandoned Property The property securing the loan is abandoned, pursuant to the laws of the state or municipality in which it is located ; or Unresponsive Borrower The servicer has not received any communications from the borrower for at least 90 days prior to making the first notice or filing for foreclosure, and all of the following conditions are met : The servicer made good faith efforts to establish live contact with the borrower after each payment due date, pursuant to 1024.39 ( a ), during that 90-day period ; The servicer sent the written early intervention notice, required by 1024.39 ( b ), from 10 to 45 days before the servicer makes the first notice or filing for foreclosure ; The servicer sent all loss mitigation notices required by 1024.41, as applicable, during the 90-day period before the servicer makes the first notice or filing for foreclosure ; and The borrowers forbearance program, if applicable, ended at least 30 days before the servicer makes the first notice or filing for foreclosure.

We also note that the Final Rule adds language to the commentary detailing recordkeeping and other requirements in connection with these foreclosure safeguards. For example, the added commentary details what records must be maintained to adequately show the borrower was unresponsive, in accordance with that safeguard option.

These temporary safeguards are not required, in addition to the existing foreclosure protections, if : The foreclosure is commenced on or after XX/XX/XXXX ; The borrower was more than 120 days delinquent prior to XX/XX/XXXX ; or The applicable statute of limitations for the foreclosure action will expire before XX/XX/XXXX. 
Additional COVID-19 Streamlined Loan Modification Options. The Final Rule includes new exceptions to the general prohibition on offering a loss mitigation option, based on an incomplete loss mitigation application, without evaluating a complete loss mitigation application for all other available loss mitigation options. Now, in addition to short-term forbearances or repayment plans, or the COVID-related options provided for in the CFPBs Interim Final Rule from XXXX, XXXX, servicers may offer certain additional COVID-19-related loan modification options, based on an incomplete application, if the following criteria are met : The modification may not extend the loan term more than 40 years from the date the modification is effective ; The modification may not increase the borrowers monthly principal and interest payment beyond what was required prior to the modification ; If the modification provides for a deferral of amounts owed ( i.e., until the property is sold, or the loan is refinanced, or if applicable, FHA mortgage insurance terminates ) , interest can not accrue on those deferred amounts ; The modification is available to borrowers experiencing XXXXrelated hardships ; The modification must end any pre-existing delinquency upon acceptance, or upon final acceptance after completion of any applicable trial modification period ; and The servicer may not charge fees in connection with the loan modification, and must promptly waive certain existing fees the borrower owes, that were incurred on or after XX/XX/XXXX, such as late fees, penalties, or stop-payment fees. 
The Final Rule also clarifies that if the borrower fails to perform under a trial modification plan per the new exception, or requests further loss mitigation assistance, the servicer must immediately resume reasonable diligence efforts to help complete the loss mitigation application, and provide the borrower with an updated notice, as needed, conveying the information required to complete the application.

COVID-Related Early Intervention Live Contact. The Final Rule includes temporary COVID-19-related live contact requirements under the early intervention rule. Until XX/XX/XXXX, when complying with the existing early intervention live contact requirement in 1024.39 ( a ), servicers must convey the following information during that live contact : For borrowers not in a forbearance plan at the time of live contact, the servicer must : Inform the borrower that forbearance programs are available for borrowers experiencing a COVID-19-related hardship ; List and briefly describe to the borrower any such forbearance programs made available at that time and the actions the borrower must take to be evaluated for such forbearance programs, unless the borrower states that they are not interested in receiving information about such programs ; and Inform the borrower of at least one way the borrower can find contact information for homeownership counseling services, such as referencing the borrowers periodic statement.

For borrowers in a forbearance plan at the time of live contact, the servicer must : Inform the borrower of the date the borrowers current forbearance plan is scheduled to end ; List and briefly describe each of the types of forbearance extension, repayment options, and other loss mitigation options available to the borrower by the owner or assignee of the borrowers mortgage loan at the time of the live contact, and the actions the borrower must take to be evaluated for such loss mitigation options ; and Inform the borrower of at least one way that the borrower can find contact information for homeownership counseling services, such as referencing the borrowers periodic statement.

Reasonable Diligence for Borrowers in a COVID-19 Forbearance. The Final Rule adds language to the commentary of the regulation clarifying what reasonable diligence efforts are needed to help the borrower complete a loss mitigation application, if the borrower is in a COVID-19 forbearance program. In that scenario, the added commentary provides that the servicer has to contact the borrower, no later than 30 days prior to the scheduled end of the forbearance plan, to determine if the borrower wishes to complete the loss mitigation application and receive a full loss mitigation evaluation. If the borrower requests further assistance, the servicer has to exercise reasonable diligence to complete the application before the end of the forbearance period.

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