Consumer complaint received 2024-06-04 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — Foreclosure
Company: SELECT PORTFOLIO SERVICING, INC.
State: VA

Complaint narrative:
Select Portfolio Servicing, LLC scheduled a foreclosure date of XX/XX/XXXX, which was entered into their system on XX/XX/XXXX. 
On XX/XX/XXXX, Select Portfolio Servicing, LLC accepted a complete Request for Mortgage Assistance application and began reviewing loss mitigation options. 

Select Portfolio Servicing, LLC never removed the XX/XX/XXXX, sale date, which is required by law once the servicer accepts a complete mortgage assistance application. 

Instead, Select Portfolio Servicing, LLC kept the foreclosure sale date on record for XX/XX/XXXX, while they allegedly were attempting to help me obtain a loss mitigation solution. 
Select Portfolio Servicing, LLC, denied my request for a loan modification on XX/XX/XXXX, only 9 days after opening the review. 
In the denial decision from Select Portfolio Servicing, LLC, the only option was a Deed in Lieu or liquidation of the home. The denial also stated I had a 30-day appeal period during which no foreclosure would take place. If a foreclosure was already scheduled, contact would be made to Select Portfolio Servicing, LLCs counsel to postpone or cancel the sale date. 
Select Portfolio Servicing, LLC once again did not cancel/postpone the XX/XX/XXXX, sale date, violating the Dodd-Frank Act once again. 
I decided to liquidate property and obtained a ratified contract on XX/XX/XXXX. 
I informed SPS immediately of the ratified sale and requested the XX/XX/XXXX, sale date to be postponed so that purchase could take place on XX/XX/XXXX. 
SPS has continued to deny the request to postpone the scheduled sale date of XX/XX/XXXX. This prevents me from making full payment to SPS and obtaining over {$50000.00} in profit, which would be crucial for me to start over again. 

I believe SPS practices are consistent with DUAL Tracking, The Dodd-Frank Act, specifically Title X ( the Consumer Financial Protection Act of XXXX ), prohibits a practice known as dual tracking. Dual tracking occurs when a mortgage servicer proceeds with both foreclosure and loss mitigation options while a borrowers application for loan modification is still under review1. This protection ensures that struggling homeowners have a fair process to avoid foreclosure and are not surprised by foreclosure proceedings while exploring available options. 

This practice violates federal law ( 12 C.F.R. j 1024.41 ) ; The Consumer Financial Protection Bureau, which was established by the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, issued mortgage servicing rules that, after being codified into federal law, went into effect as of XX/XX/XXXX. Among other things, the rules restrict dual-tracking In addition, I believe SPS masterfully crafted a situation to equity strip a senior citizen out of several tens of thousands of dollars, which I think is criminal, predatory, discriminatory, and cruel.

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