Consumer complaint received 2020-04-09 00:00:00
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — 
Company: Shellpoint Partners, LLC
State: FL

Complaint narrative:
NewRez/Shellpoint Mortgage Servicing bought out the loan to the home in XXXX of XXXX. 

On XX/XX/XXXX Shellpoint took out lender placed hazard insurance, which we have paid premiums for monthly through the escrow account. 

At the end of XXXX our XXXX account was estimated to have an overage of {$20.00}. In XX/XX/XXXX Shellpoint posted charges of {$670.00} twice ( total XXXX ) then again in XXXX posted another charge of {$670.00}. 

We have called 3 times to find out what this charge is for, as the company has now taken the expected escrow monthly payment from {$290.00} to {$1200.00} monthly. Each agent has been unable to explain the variance and stated " it does not make sense. '' One agent stated that the hazard placed insurance monthly premium had gone from {$160.00} per month to {$670.00} per month. This is inaccurate, as I spoke to the insurance department on XX/XX/XXXX and was given a total of {$2000.00} for the year. 

Our annual tax amount did increase from the expected amount by {$88.00}, which is to be expected, but does not explain the {$670.00} per month. 

We placed a call on XX/XX/XXXX - and spoke to a gentleman who could not explain the charges and advised we would receive a call within 7 to 10 business days. We have not heard back and hit the 16th business day. 

I called 6 times on XX/XX/XXXX ( speaking to the insurance department once ) - all other times I have been hung up on by the automated system and once by an agent claiming she could not hear. 

The house payment has changed from {$740.00} per month to {$1600.00} per month. During this process they have continued to charge late fees and increase the balance owed. 

On the XXXX call I finally reached an agent, XXXX, who confirmed that the amount being asked for each month was incorrect. The insurance department, XXXX, was conferenced in, and confirmed to the customer service that the month amount for the insurance was in fact {$160.00} per month and not {$670.00} per month. Yet the {$670.00} was a onetime charge because the insurance department erroneously refunded 1 month of premium to the escrow account, then failed to charge for the following 4 months. During this time I received no proof of coverage for the premium amount, and the refunded amount could not be explained by the insurance representative. 

This call ended with an assurance that a supervisor over the billing statements, XXXX XXXX, would be notified and I would receive a call by End of Business on the same day. I was also assured a new Escrow Analysis would be completed to correct the incorrect request for {$1200.00} per month amount. 

Today is XX/XX/XXXX and I have received no call. Messages have been left by myself for MrXXXX XXXX on XX/XX/XXXX, XXXX, and XXXX with no return call or resolution. 

When calling to customer service on XXXX again, I reached XXXX in customer service who was very helpful, but again unable to provide a resolution. She showed that the monthly payment has been updated as of XXXX yet no action was taken to correct the errors from XXXX or XXXX amounts due. The rep confirmed that the task which was the request for a call from Mr. XXXX, was closed as completed. There has been no call for resolution and instead lazy accounting was completed to correct moving forward and to leave an erroneous {$1200.00} escrow amount due for XXXX. 

The amount the company shows due at this point, that can not be explained by any of the representatives I have spoken to, is {$1600.00} for XXXX plus {$940.00} for XXXX totaling {$2600.00}. They have added late charges on top of this, although we have been working on a resolution and explanation since XX/XX/XXXX. 

The actual monthly amount should consist of the following : Principal and Interest : {$490.00} Escrow : - FHA MI : {$71.00} - Tax : {$150.00} - Lender placed hazard : XXXX Total Monthly Payment : {$890.00} Any amount outside of this amount will need an explanation. This is all we are asking for but have yet to receive. This type of service and practice should not be able to occur. A company should not be able to scam their way into attempting to take a home. If I had not spent hours of my time working to correct accounting that should be completed by the company, we may be in a situation where they attempt to put us in default and foreclose altogether.

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