Consumer complaint received 2026-06-06 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: SELECT PORTFOLIO SERVICING, INC.
State: FL

Complaint narrative:
To Whom It May Concern : SPS 's response fails to address the core issue raised in my complaint. Even after multiple complaints and SPS 's acknowledgment that my privately obtained homeowner 's insurance was in force and costs approximately {$200.00} per month, SPS continued charging me approximately {$760.00} per month for insurance-related escrow collections and continued sending notices regarding force-placed insurance. At this point, I have no other words to describe this experience other than incompetence. I can not believe I am still being required to spend my time correcting servicing errors after repeatedly bringing them to SPS 's attention. Following my most recent call with SPS, I was finally able to speak with a representative who reviewed the account and confirmed that there were significant errors in the servicing and escrow calculations. During that conversation, I was advised that I should expect a credit in excess of {$12000.00} as a result of the mistakes that had been made. This directly contradicts SPS 's written position that no servicing errors occurred. My concern extends beyond my individual account. A borrower who did not have the mortgage knowledge, persistence, or financial resources to challenge these charges could easily find themselves facing severe financial hardship. Repeatedly increasing a borrower 's monthly payment based on inaccurate escrow and insurance calculations creates unnecessary payment shock and can place borrowers at risk of delinquency or foreclosure. The purpose of a mortgage servicer is to accurately administer the loan, protect the collateral, and properly account for borrower funds. Instead, SPS repeatedly demanded payment amounts based on insurance charges that should not have existed and continued doing so after receiving notice that valid insurance coverage was already in place. My original payment obligation was approximately {$2000.00} per month for principal and interest. As a result of SPS 's escrow administration, force-placed insurance charges, and related escrow shortages, my required monthly payment increased dramatically. At one point, SPS demanded monthly payments approaching {$3600.00}. This represents an increase of more than 70 % over the original payment obligation and is entirely inconsistent with the affordability of the loan as originally underwritten. No reasonable borrower would anticipate or budget for such a dramatic increase, particularly when the increase is driven by insurance charges that SPS is now apparently acknowledging were improper. The financial impact of such servicing errors can not be overstated. Many consumers would simply assume the servicer 's calculations were correct and either deplete savings attempting to comply or fall behind on their mortgage obligations. I also repeatedly requested escrow removal through customer service and SPS 's online portal. Those requests were ignored or inadequately addressed. SPS now relies on documentation that appears inconsistent with the account history and the servicing actions taken. SPS attached what appears to be an unsigned escrow acknowledgment document while simultaneously maintaining and administering an escrow account over my repeated objections and waiver requests. Most troubling is that SPS 's response largely restates information already known to me while failing to address the repeated servicing errors, excessive insurance charges, continued force-placed insurance notices, ignored escrow waiver requests, and the substantial financial harm these actions could have caused. Given the apparent admission by SPS personnel that substantial credits are owed due to servicing mistakes, I respectfully request that this matter receive additional regulatory review. The pattern of errors described above raises serious concerns regarding SPS 's escrow administration, force-placed insurance practices, customer complaint handling, quality control procedures, and oversight of borrower accounts. Consumers should not be forced to spend months correcting servicing mistakes or defending themselves against inflated payment demands that were never properly supported. Nor should borrowers be subjected to repeated force-placed insurance notices after valid insurance coverage has been provided and acknowledged. I respectfully request that SPS provide a complete accounting of all insurance premiums charged, all force-placed insurance activity, all escrow analyses, all resulting payment increases, and all credits due to the account. I further request that regulators review whether SPS 's practices in this matter are consistent with its obligations to borrowers and applicable servicing standards. Sincerely, XXXX XXXX

Company response to consumer: Closed with explanation