Consumer complaint received 2024-01-31 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Trying to communicate with the company to fix an issue while managing or servicing your loan
Company: SELECT PORTFOLIO SERVICING, INC.
State: CO

Complaint narrative:
XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXXXXXX SPS Account : XXXX Tracking number : XXXX To whomever has the authority to intervene and correct this issue : I am writing to express my dissatisfaction with the resolution efforts to correct the accounting error on my account. During XXXX, we sent a loss draft check to SPS in the amount of {$5100.00} to be endorsed and returned to us to pay for repairs to our roof. The check was applied to our SPS mortgage as a payment, advancing our account to be due for XX/XX/XXXX. Apparently, a portion of the funds was also sent to an escrow account in the Bankruptcy department. After the application of the payment to our mortgage loan, the loss draft check, which contained no markings to indicate the check processing, was delivered to the insurance department for endorsement and was returned to us, as we requested. We deposited the endorsed check into our XXXX XXXX XXXX XXXX XXXX ( XXXX ) savings account without knowing of SPS 's mistake. Once the check cleared, we paid our roofers to begin working on the repair project. 

Unfortunately, this is where the situation derailed! This processing error that SPS made began an issue that had a massive adverse impact on my finances and life. The ripple effect is so significant ( nothing short of an endless nightmare ) that it has wreaked havoc on my finances since early XXXX. SPS 's error has left us with a - {$5100.00} balance in savings, and because of the prolonged timeframes, our bank employed a fraud protocol to freeze our checking account, leaving us without access to our payroll. All funds are FROZEN!! This resulted in every automatic payment and bill being rejected, NSF fees charged, late charges assessed from creditorsand no access to any funds ( no food, no bill, and my credit is being impacted )!!! MY Creditors are calling ; we are experiencing a loss of business relationships and costly penalties, mortgage interest miscalculation, and other unknown problems that arise daily from this growing issue. Note : I will be furnishing late payments and XXXX  fees to SPS for their repayment of these items as they are due to SPS 's lack of urgency, concern, or ineptitude ability to handle this correction promptly. I digress. 

The bank associated with XXXX, my insurance company, was notified via their positive pay system that this check had been cashed twice ( once with SPS and a second as a deposit with XXXX ). The bank then reports fraud and pulls the funds back from our savings account with XXXX, leaving a negative - {$5100.00} balance. We began investigating what could have happened and discovered that SPS made an error in applying the funds to our account, endorsing the check, and then endorsing and returning the check for deposit. 

Since early XXXX, we have made a multitude of calls and escalations. We have spent hours on the phone with various agents, resolution specialists, bankruptcy personnel, and claims department members. We have not been allowed to escalate with senior management personally. We have been told numerous times that authorization has been granted ( as of XX/XX/XXXX ) to correct the issue, and we need only wait a few days for resolution. At this time, a check would be MAILED, not expedited as per our request, not wired, or overnighted, as SPS would not make this option available. Our attempts for SPS to correct this issue, reverse funds, and return them to us have been met with entirely unreasonable opened tasks ranging timeframes ( worked in business days XXXX XXXX XXXX XXXX XXXX XXXX, and now XXXX. Every time we call, we are asked to select an option to record the call, and we've always selected yes. I request that you and your Senior Management listen to ALL the calls!!! SPS 's resolution systems must be evaluated to mitigate the HARM your company perpetuates to its clients. I want someone to tell me how the issues handling and extended timeframes in this manner are appropriate? 

I need help!!! My life is blowing up. Who will be handling this issue? When will it be resolved? How can we receive the funds via wire? How will the associated fees due to this issue be credited to my SPS account? Who from senior management will be calling and following up with written correspondence regarding this entire issue?

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