Consumer complaint received 2024-12-12 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: Shellpoint Partners, LLC
State: IA

Complaint narrative:
Formal Complaint Regarding Escrow Mismanagement by Shellpoint Mortgage Servicing To Whom It May Concern : I am submitting this formal complaint regarding significant issues I have experienced with Shellpoint Mortgage Servicing related to my escrow account. Despite my proactive efforts to resolve these matters, the handling of my case has been marked by errors, miscommunication, and delays, resulting in financial and emotional distress. Below is a detailed account of the events : Escrow Increase Notification and Initial Investigation : On XX/XX/year>, I noticed a {$500.00} increase in my monthly escrow payment, effective XX/XX/year>. I contacted Shellpoint to understand the cause of this increase. I was informed that my insurance premium had increased substantially, which led to the escrow adjustment. 

I contacted my insurance agent and confirmed that my premium had not increased. Further investigation revealed that Shellpoint had overpaid my insurance premium by {$4000.00}. My actual premium was {$3900.00} ; however, Shellpoint erroneously processed a payment of {$8000.00}. This error occurred because Shellpoint misread my home insurance declarations page, failing to account for the total premium displayed on the second page. 

Submission of Documentation and Additional Payment : On XX/XX/year>, I contacted Shellpoint and explained the issue. I was directed to upload my insurance declarations page to the " Contact Us '' portal for correction. I received a confirmation email stating, " XXXX received your inquiry, and well respond as soon as we can. '' My insurance company issued a refund check for the {$4000.00} overpayment, which I deposited into my bank account. On XX/XX/year>, I made an additional escrow payment for this amount to facilitate an updated escrow analysis. 

Pausing Automatic Payments and Awaiting Adjustment : On XX/XX/year>, I called Shellpoint to confirm the additional payment and was advised to pause my automatic payments to avoid overpaying the increased escrow amount on XX/XX/year>. I was assured that an updated escrow analysis would be conducted promptly. 

Continued Delays and Lack of Communication : On XX/XX/year>, I contacted Shellpoint after receiving no updates. After spending XXXX hour and XXXX minutes on the phone with customer service and the insurance department, I learned that : My insurance declarations page, submitted on XX/XX/year>, had not been forwarded to the insurance department. 

No updated escrow analysis had been conducted despite my additional escrow payment. 

Shellpoints insurance department had not updated my premium to the correct amount of {$3900.00} until I directly emailed a representative. 

Once the insurance department updated the premium amount, customer service refused to run a new escrow analysis for XXXX hours, citing the need for system updates. Additionally, I was told that the analysis would only proceed if I called back to request it. 

Unresolved XXXX and XXXX XXXX : Despite my efforts to address this issue promptly, XXXX mismanagement has caused unnecessary delays and confusion. I was informed that I would likely be required to pay the increased escrow amount of {$500.00} for XXXX, even though this overage stems from XXXX initial error. 

I have invested significant time ( approximately XXXX hours in XXXX alone ) attempting to resolve this issue, which remains unresolved as of this complaint.

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