Consumer complaint received 2025-11-15 00:00:00
Product: Mortgage — FHA mortgage
Issue: Struggling to pay mortgage — An existing modification, forbearance plan, short sale, or other loss mitigation relief
Company: Selene Holdings LLC
State: FL

Complaint narrative:
To Whom It May Concern, I am filing a formal complaint against Selene Finance for violations of RESPA, CFPB Regulation X, and FHA loss-mitigation rules during a loan transfer from XXXX. 
I have note received an explanation why was I NOT approved of my original XXXX XXXX when the previous servicer XXXX  have already approved me and why they changed it without my consent? 

Summary of the Issue : XXXX approved an FHA Trial Payment Plan for me at {$2100.00} for XXXX, XXXX, and XX/XX/XXXX. 
I completed all payments on time and was told my mortgage would be extended from XXXX to XXXX  years to maintain affordability. 

My loan transferred to Selene during my second trial payment month.

Selene delayed the final modification until XXXX, then their agent falsely told me I must be delinquent for them to release the final modification. I was current in my account and never failed to make my monthly payment before I requested for assistance. 
They switched my FHA plan to a COVID-19 program, which I never requested They sent a letter claiming I refused documents when I called their company on asking why there was another program being offered. Spoke to an agent named XXXX on XX/XX/XXXX and was told to wait for the XXXX Partial claim form as it will be sent to me and disregard the COVID 19 forms. I have not received any such forms. On XX/XX/XXXX, Spoke to XXXX XXXX who was listed as my POC and he created a case that I was originally on XXXX and was current in my account when I requested for the TPP and following up on the explanation why my original XXXX was changed. He asked me to follow up by Friday of that week which I did and no updates yet. None of the agents can answer my questions. Then suddenly I am already receiving this rejection of the COVID19 offer when I called the company stating I am not rejecting anything but I need an explanation first before I sign legal documents. Then, another agent also told me in order for my original program to be re-opened, I need to complete a new application which I did but in a great hope that they will reconsider my original XXXX program. 

They have been sending some emails to me which I have not received. I always prefer actual documents to receive by mails ( black and white ) to be sent to me as I am always at work and have no time to read emails as much. I never requested for emails. 

They marked my mortgage now as default, despite full compliance. 

CFPB Violations : Selene violated : 12 CFR 1024.33 Failure to honor borrower status after transfer 12 CFR 1024.38 Failure to maintain reasonable servicing policies 12 CFR 1024.41 Loss-mitigation misrepresentation and dual-tracking 12 CFR 1024.36 Failure to respond adequately to a borrower information request Misleading statements prohibited under CFPB rules. 

Borrower : XXXX XXXXXXXX XXXX XXXX XXXX : XXXX XXXX XXXX XXXX XXXX, XXXX FL XXXX XXXX XXXXXXXX  Loan # : XXXX XXXX Selene Loan # : XXXX TPP Payment Amount : {$2100.00} TPP Months : XXXX, XXXX, XX/XX/XXXX BEFORE THE TPP XXXX XXXX I was current, no late payments, on a XXXX mortgage. 
I requested help because of medical hardship, NOT because of delinquency. 
You clearly stated you wanted an affordable payment, NOT a forbearance or delinquent status. 
APPROVED FHA TPP ( XXXX  ) XX/XX/XXXX XXXX approved me for an FHA Trial Payment Plan at {$2100.00}. 
Term : 3 months XXXX, XXXX, XX/XX/XXXX. 
I was verbally informed your loan would be extended from XXXX years to XXXX years to keep my payment affordable. 
I agreed and understood the terms. 
I COMPLETED THE TPP XX/XX/XXXX Trial Payment # 1 made XX/XX/XXXX Trial Payment # 2 made XX/XX/XXXX Trial Payment # 3 made You successfully completed the full FHA TPP. 

LOAN TRANSFER HAPPENS MID-PLAN XX/XX/XXXX During my XXXX trial month, the loan was transferred from XXXX to Selene Finance. 
Selene becomes my servicer while I am in an active FHA TPP. 
FHA rules require the new servicer to honor the exact TPP. 

SELENES DELAYS AND MISCONDUCT XXXX XXXX ( 5 months ), I repeatedly called Selene asking : Where is my final modification? I completed all trial payments. 
They gave no updates, no explanation, and repeatedly stalled. 
On XX/XX/XXXX Selene representatives gave me a conflicting information : You must be delinquent for us to release your final modification. 
You do not qualify for the FHA payment plan. 
Your TPP was changed to a COVID-19 program.

None of these statements are consistent with FHA rules. 

FALSE STATEMENTS AND FILE CLOSURE XX/XX/XXXX Selene sent me a letter claiming : I refused to submit documents, my modification was disapproved my account was being placed into default These statements are false, because : I never refused anything I completed the FHA TPP I called repeatedly asking for clarification I never requested a COVID program I WAS NOT delinquent This behavior violates : FHA Handbook 4000.1 servicer must honor TPP after transfer RESPA 1024.33 improper transfer handling RESPA 1024.36 failure to answer borrower questions CFPB Regulation X dual tracking, misrepresentation UDAP ( Unfair/Deceptive Acts ) false refusal and false default SELENES FINAL POSITION When I called again : A representative said the only way to reopen the case was to fill out a new complete application, ignoring the TPP I already completed.

They still never explained why your FHA plan was changed to COVID.

They never answered my main question : Why was my original FHA TPP altered during a transfer?

Company response to consumer: Closed with explanation