Consumer complaint received 2025-11-13 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — Foreclosure
Company: Shellpoint Partners, LLC
State: CA

Complaint narrative:
I am filing this complaint against Shellpoint Mortgage Servicing ( Shellpoint/NewRez LLC ) for ongoing bad faith servicing practices, including repeated RESPA violations XXXX unauthorized fee overcharges, dual tracking during loss mitigation negotiations, mishandling of post-bankruptcy obligations, and refusal to engage in good-faith loan modification discussions. These actions have caused me significant financial harm, including escalating arrears and the threat of wrongful foreclosure on my property at XXXX XXXX XXXX XXXX, XXXXXXXX XXXX XXXX. This is not an isolated incidentShellpoint has a well-documented pattern of similar misconduct, as evidenced by hundreds of CFPB complaints, low consumer ratings ( e.g., XXXX on XXXX from over XXXX reviews ), and ongoing class action lawsuits for fee overcharges and misleading statements. For instance, Shellpoint topped CFPB complaint volumes in multiple months, with borrowers reporting identical issues like improper inspection fees, suspense account abuses, and dual tracking. In XXXX alone, complaints on XXXX and XXXX  detail Shellpoint 's bad faith in holding insurance proceeds, delaying modifications, and adding junk fees post-disaster or bankruptcy. A XXXX class action settlement for {$500000.00} addressed misleading statements to forbearance borrowers, and recent XXXX suits ( e.g., XXXX v. NewRez ) allege systematic overcharges. My case fits this pattern, amplifying the need for CFPB enforcement. 
My mortgage ( principal {>= $1,000,000} at 3.75 % interest, maturity XXXX/XXXX/XXXX ) was transferred to Shellpoint after my XXXX  XXXX bankruptcy discharge in the Central District of XXXX. Despite the discharge of personal liability, Shellpoint continues sending statements demanding full acceleration ( {>= $1,000,000} as of XX/XX/XXXX ) and has ignored my repeated attempts to resolve via qualified written requests ( QWRs ) and loss mitigation. 
Key violations and timeline : Ignored QWRs ( RESPA Violations ) : Since XXXX, I have sent over XXXX certified QWRs requesting account corrections, fee itemizations, and loss mitigation options. Shellpoint has failed to acknowledge or respond substantively within the required XXXX business days under RESPA ( 12 CFR 1024.36 ), instead escalating fees and advancing foreclosure. For example, a QWR sent in XX/XX/XXXX regarding name mismatches ( e.g., " XXXX '' vs. " XXXX '' in notices ) and dual tracking went unanswered, mirroring complaints where Shellpoint stonewalls borrowers to force defaults. 
Unauthorized Fee Overcharges and Suspense Account Abuse : The attached XX/XX/XXXX, statement shows escalating junk fees, including {$5600.00} in legal fees ( {$690.00} attorney + {$4900.00} foreclosure costs ), {$1100.00} in other fees ( {$140.00} BPO/appraisal, {$270.00} inspection, {$310.00} recording, {$450.00} certified mail ), and a - {$31000.00} escrow deficit. New disbursements ( e.g., {$1800.00} + {$150.00} foreclosure costs and {$230.00} mail on XX/XX/XXXX ) were added without justification, despite my bankruptcy and ongoing negotiations. Shellpoint holds {$3700.00} in unapplied funds, refusing to credit them to principal, which inflates my reinstatement amount ( {$210000.00} ). These practices violate FDCPA 1692f ( prohibiting unfair collection ) and RESPA 2605 ( g ) ( escrow mishandling ), and echo class actions like the Maryland XXXX certification for improper inspection fees. Borrowers report Shellpoint padding fees during hardships, costing thousands unnecessarily. 
Dual Tracking and Bad Faith Negotiations ( HBOR Violations ) : While my attorney negotiates a loan modification ( target : $ XXXX payments with arrears deferred interest-free to maturity, XXXX % rate, XXXX term ), Shellpoint advances foreclosure with a XX/XX/XXXX, sale datedespite my equity ( ~ $ XXXX property value ) and documented hardship. This violates XXXXXXXX XXXX Homeowner BilXXXX of Rights ( HBOR, Civil Code 2923.55 ) prohibiting dual tracking during mod reviews. Their attorney, XXXX XXXX, has rejected reasonable proposals outright, contradicting Shellpoint 's own statement encouraging counseling/assistance. This bad faith is systemic : XXXX threads from XXXX call out Shellpoint for " stealing homes '' via delays and contradictions in mod processes. My ongoing lawsuit ( XXXX XXXX XXXX XXXX, XXXX XXXX ) alleges wrongful foreclosure, with a rejected demurrer highlighting their procedural errors.

Post-Bankruptcy Mishandling : The statement acknowledges my bankruptcy but demands full payment, ignoring discharge protections under 11 U.S.C. 524. Shellpoint 's actions risk violating the automatic stay and discharge injunction, as seen in complaints where they harass discharged borrowers. 
Prior CFPB Involvement : My previous complaint ( CFPB # XXXX ) yielded no resolution, with Shellpoint continuing the same abuses. This escalation shows their disregard for regulatory oversight. 

These practices have caused me stress, potential credit damage, and unnecessary costs ( e.g., attorney fees ). Shellpoint 's low ratings ( XXXX on XXXX, XXXX on XXXX ) and frequent XXXXCFPB filings confirm this is deliberate bad faith to profit from defaults

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