Consumer complaint received 2025-09-10 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 for multiple serious servicing errors related to my mortgage loan # XXXX, secured by my property at XXXX XXXX XXXX XXXX XXXX, XXXXXXXX XXXX XXXXXXXX. These issues include a potentially invalid loan transfer that breaks the chain of title, an unauthorized interest rate increase, non-responsiveness from my assigned Single Point of Contact ( SPOC ), and an improper non-judicial foreclosure sale scheduled for XX/XX/XXXX. I believe these violations contravene the Real Estate Settlement Procedures Act ( RESPA ), Regulation X ( including 12 CFR 1024.40 ), and California 's Homeowner Bill of Rights ( HBOR, including Civil Code 2924.11 ). Given the imminent foreclosure datejust weeks awayI urgently request CFPB intervention to prevent irreversible harm, such as the loss of my home. 
My loan originated on XX/XX/XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX  ) for {>= $1,000,000}. It was modified effective XX/XX/XXXX, via a Modification Agreement recorded in XXXX XXXX, California ( Instrument No. XXXX ). This modification was intended to be securitized into a trust in XXXX. However, I recently discovered the loan was not transferred into the trust until XXXX years later and likely well beyond the XXXX and XXXX XXXX ( XXXX ) cutoff date. This delay may render the assignment void under New York trust law ( which commonly governs these XXXX ), thereby breaking the chain of title and calling into question Shellpoint 's standing to service or foreclose on the loan. California courts have consistently upheld borrowers ' rights to challenge such void assignments, as established in landmark cases like XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX 
The loan was modified by XXXX XXXX XXXX with a 2 % interest rate to stabilize my payments and prevent delinquency. Without my consent, proper notice, or any justification, Shellpoint, as the current servicer, unilaterally raised the rate to 3.5 %, leading to higher monthly payments, accumulated arrears, and potential overcharges. This increase may be entirely invalid due to the flawed XXXX transfer, which could void Shellpoint 's authority to make any changes, and it appears to breach the original modification agreement. Shellpoint has a documented history of mishandling loan modifications and rate adjustments, as evidenced by numerous CFPB complaints and a XXXX CFPB settlement requiring {$3.00} million in principal reductions for similar issues involving improper rate adjustments and servicing errors. The unauthorized rate hike has exacerbated my financial hardship, inflated my arrears, and resulted in overpayments for which I am owed a full refund, including interest on those amounts. 
Additionally, Shellpoint assigned me XXXX XXXX as a XXXX under XXXX and Regulation X to facilitate discussions on loss mitigation options. However, XXXX XXXX has been consistently non-responsive and hostile in prior interactions, as evidenced by the attached email chain from XX/XX/XXXX, where she repeatedly directed me to submit disputes in writing without addressing my concerns and stated that the loan was not assigned to a XXXXCcontradicting Shellpoint 's obligations. On XX/XX/XXXX, at XXXX XXXX XXXX  I emailed XXXX XXXX requesting immediate assistance with the pending foreclosure sale. I also emailed the Loss Mitigation Department to confirm her status as my XXXX. As of today, XX/XX/XXXX, I have received no response whatsoever from either, in clear violation of requirements for an accessible, knowledgeable, and responsive XXXX This non-responsiveness and apparent hostility have severely hindered my ability to explore viable alternatives to foreclosure, such as a new loan modification, forbearance, or repayment plan, and demonstrate a pattern of poor service that makes continued assignment to XXXX XXXX untenable. 
Despite these unresolved servicing errors and my ongoing attempts to engage in loss mitigation, Shellpoint has proceeded with scheduling a non-judicial foreclosure sale for XX/XX/XXXX. This action is wrongful and premature given the chain-of-title defects, interest rate errors, lack of XXXX communication, and potential invalidity of XXXX servicing actions. Under XXXX, the sale must be postponed if a complete loss mitigation application is under review or if servicing errors remain unaddressed. Furthermore, on XX/XX/XXXX, I sent a Notice of Error/Qualified Written Request ( QWR ) via certified mail, demanding corrections, documentation, and a response within the statutorily required timelinesyet I have received no acknowledgment or substantive reply. Shellpoint 's records currently indicate that to bring my loan current, I would need to pay approximately {$180000.00} in arrears, an amount that is artificially inflated by the unauthorized rate increase, related fees, and unapplied payments stemming from these errors. 
These cumulative violations have caused significant stress, emotional distress, potential overpayments, credit harm, lost equity and opportunity costs, and the imminent threat of losing my home. Shellpoint 's practices align with widespread consumer complaints about deceptive foreclosures, rate mishandling, poor customer service, and systemic failures in complying with federal and state regulations. I request immediate CFPB investigation and enforcement to halt these unfair practices and provide relief.

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