Consumer complaint received 2025-11-10 00:00:00
Product: Mortgage — VA mortgage
Issue: Trouble during payment process — Payment process
Company: Shellpoint Partners, LLC
State: TN

Complaint narrative:
NewRez False Advertising and Affiliation Misrepresentation Finding : NewRez LLC publicly represents itself as a Seller/Servicer to XXXX, XXXX XXXX XXXX XXXX XXXX and as a partner providing superior service, simple processes, and effective communication. 
These statements are presented on a corporate marketing page tied to XXXX XXXX XXXX of companies and used to attract borrowers, lenders, and institutional partners. 

Evidence : The attached image ( Exhibit XXXX NewRez Agency Seller/Servicer Claim ) demonstrates : Explicit public representation of agency partnerships under XXXX corporate umbrella. 
False assurance of direct agency relationships that require active compliance and financial standing certifications. 
Continued use of shared contact, branding, and disclosure formats with Shellpoint Mortgage Servicing, a known XXXX-controlled subsidiary. 

Contradiction : Despite this representation, XXXX XXXX XXXX and its subsidiaries have denied operational affiliation in multiple CFPB responses, asserting wrong company. This denial conflicts directly with : 1. XXXX  own SEC filings consolidating NewRezs revenue and risk exposure ; 2. Marketing materials jointly hosted under XXXX web domain and investor presentations ; and 3. Agency registration requirements under HUD, XXXX XXXX XXXX Guides XXXX and XXXX XXXX XXXX Guides , which require continuous disclosure of ownership and control. 

Legal Exposure : This dual representation constitutes : False Advertising under 15 U.S.C. 1125 ( a ) ( XXXX XXXX ) ; Unfair or Deceptive Acts or Practices under 12 U.S.C. 5536 ( a ) ( 1 ) ( B ) ( CFPB authority ) ; Material Misrepresentation under 17 C.F.R. 240.10b-5, since agency affiliations and compliance integrity directly affect risk assessment and investor valuation ; and XXXX XXXX / XXXX certification breach, as XXXX executives and counsel ( XXXX XXXX XXXX attested to accurate subsidiary disclosure in SEC filings XXXX 

Interpretation : NewRezs public advertising of XXXX-backed agency partnerships, while XXXX simultaneously disclaims affiliation before regulators, evidences intentional misdirection of investors, borrowers, and federal agencies. 
This pattern reflects systemic deception within XXXX corporate governance and qualifies as a XXXX oversight failure, extending personal liability to : XXXX XXXX XXXX XXXX ) XXXX XXXX ( XXXX XXXX XXXX XXXX ( XXXX NewRez ) XXXX XXXX ( certifying counsel on the S-3 registration ) Requested Enforcement Action : 1. Refer to CFPB Enforcement and SEC XXXX XXXX XXXX for joint review under the XXXX XXXX XXXX XXXX XXXX 
2. Demand corrective disclosures identifying NewRez and Shellpoint as fully owned and controlled entities under XXXX XXXX. 
3. Open investigation into federal contractor and agency certification integrity regarding XXXX XXXX  XXXX XXXX, and XXXX XXXX seller/servicer designations. 
False SEC Disclosure and XXXX Misrepresentation XXXX XXXX XXXX XXXX a Form S-3 registration statement certified by XXXX, XXXX, XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX and accurate disclosure of its subsidiaries and material risks. Despite that certification, XXXX continues to conceal its operational ownership of NewRez LLC and Shellpoint Mortgage Servicing, entities that publicly engage in federally regulated servicing. These subsidiaries have simultaneously claimed wrong company in CFPB filingsdirectly contradicting XXXX consolidated financial statements and agency marketing materials. 

This duality establishes : 1. Material omission of affiliated risk in violation of Rule XXXX ; 2. False Sarbanes-Oxley certification ( SOX 302 / 404 ) ; 3. XXXX XXXX and agency advertising ( XXXX XXXX XXXX ( a ) ) ; and 4. Potential aiding and abetting liability for XXXX XXXX under 17 C.F.R. 240.10b-5 ( c ) and 18 U.S.C. 2, given that its certification enabled the filings distribution to investors. 

Accordingly, regulators should reopen XXXX S-3 registration for enforcement review and require amended disclosures identifying NewRez and Shellpoint as direct subsidiaries under XXXX governance chain. 

This omission directly implicates XXXX S-3 filing in : False certification under XXXX 302 & 404 , for failing to disclose internal-control weaknesses in its servicing subsidiaries. 
Material omission under Rule 10b-5 ( 17 C.F.R. 240.10b-5 ), since XXXX publicly consolidates NewRez/Shellpoint profits but privately disclaims responsibility for their violations. 
False advertising / misrepresentation under 15 U.S.C. 1125 ( a ) and 12 U.S.C. 5536 ( a ) ( 1 ) ( B ), because XXXX markets itself as a transparent, ethical servicer while denying its subsidiaries existence in federal responses.

Company response to consumer: Closed with explanation