Consumer complaint received 2026-03-29 00:00:00
Product: Mortgage — Home equity loan or line of credit (HELOC)
Issue: Trouble during payment process — Trying to communicate with the company to fix an issue while managing or servicing your loan
Company: Shellpoint Partners, LLC
State: CT

Complaint narrative:
On XX/XX/XXXX, our Home Equity Line of Credit ( HELOC ) was suspended by ShellPoint Mortgage Servicing. A letter dated XX/XX/XXXX, cited " Potential Fraud '' as the reason but provided no specific explanation of the activity, transaction ( s ), or basis for that determination. The suspension has frozen our access to our HELOC, causing ongoing financial hardship. We strongly dispute the fraud characterization. No unauthorized activity occurred on the account. All transactions and account access were conducted by the authorized account holders in good faith. We have continued to make our monthly payments on the loan as agreed. On XX/XX/XXXX, we sent a formal written dispute letter to ShellPoint 's Customer Care Team via certified mail, requesting : ( 1 ) a full written explanation of the specific basis for the " Potential Fraud '' finding, ( 2 ) immediate reinstatement of the HELOC, ( 3 ) guidance on any additional identity verification needed, and ( 4 ) written confirmation that no adverse information would be reported to any credit bureau. We cited our rights under the Truth in Lending Act ( TILA ) and 12 C.F.R. 226.5b and requested a written response within 10 business days. The suspension remained unresolved. Over the following months, we contacted ShellPoint customer service six ( 6 ) times by phone. We completed two ( 2 ) separate identity verification processes as instructed by their representatives. Despite the successful completion of both verifications, the account suspension was never lifted and no written explanation was ever provided. Each time we called, we were told only that there was fraud on the account and that it was suspended pending review with no further detail. We sent two additional certified letters and two faxes on XX/XX/XXXX and XX/XX/XXXX, continuing to seek resolution and a clear explanation for the suspension. On XX/XX/XXXX, a formal escalation letter was sent directly to ShellPoint 's Chief Compliance Officer, demanding account reinstatement, a written explanation, and written confirmation that our credit standing had not been negatively impacted. As of XX/XX/XXXX, there has been no substantive response from the Compliance Officer or Compliance Department. On XX/XX/XXXX, we received a letter from ShellPoint acknowledging receipt of our complaint and stating that, due to the " complex nature '' of the matter, they needed additional time to respond. We find this response inadequate and troubling : ShellPoint has not requested any additional information from us at any point during this process, has not identified what makes this matter complex, and has still not provided any explanation whatsoever for why the account was suspended. This pattern of vague, non-responsive replies suggests ShellPoint has no legitimate basis for the suspension. As of the date of this complaint, the HELOC has been suspended for over three ( 3 ) months since XX/XX/XXXX with no resolution, no written explanation of the fraud basis, no request for additional information from us, and no substantive response to our formal letters. This has caused us significant and ongoing financial hardship. We respectfully request that the CFPB : 1. Compel ShellPoint Mortgage Servicing to immediately reinstate our HELOC ; 2. Require ShellPoint to provide a specific, written explanation for the fraud determination and resulting suspension ; 3. Require written confirmation that no adverse credit reporting has occurred or will occur as a result of this matter ; and 4. Investigate ShellPoint 's pattern of non-communication, including their repeated failure to explain the suspension basis, failure to request any clarifying information from us, and issuance of a vague delay letter in response to a formal compliance escalation.

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