Consumer complaint received 2019-07-08 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — 
Company: Specialized Loan Servicing Holdings LLC
State: GA

Complaint narrative:
I received a letter of default with the intent to foreclose on my property on XX/XX/XXXX, this letter was sent by Specialize Loan Servicing for our 2nd mortgage. When we purchase our home 14 years ago we were placed in an 80/20 Loan. We were not making any payment to SLS because we underwater in our mortgage and had to file bankruptcy in XXXX in order to keep our home. We were under the impression that at the end of our bankruptcy that our 2nd mortgage was completely discharge and we wouldn't need to make payment on the loan. Well to our surprise we receive this intent to foreclose, we didn't think legally this was possible since they are 2nd not the 1st Lender, and again we thought this debt was discharged in the bankruptcy. I then contacted XXXX ( teller ID XXXX ) in the Recovery Dept on XX/XX/XXXX to discuss other options and request an modification because we did not want to lose how home of 14 years, I was not given any options he was very condensing and did not explain anything to me, other than he would submit my information to Loss Mitigation. I was under the impression that I would receive Modification paperwork in the mail as I had received in the past from my 1st mortgage. After a week and not receiving any paperwork, I then contacted SLS again to find out how long it would take for me to receive modification paperwork, I was then informed that they had submitted my application, I preceded to ask what application I haven't filled any application, and how can you submit an application on my behalf without my permission or my financial information. I was then told I need to speak to XXXX so he can explain it to me, again I ask how can you submit an application to Loss Mitigation on my behalf without me giving you any information. I haven't heard from you in all these years and now you are send me a letter of default and you don't have any current information on me or my Husband, the person I spoke to couldn't explain anything to me and would have XXXX to call me back. I then called XXXX back on XX/XX/XXXX and asked about the status of me receiving the modification paperwork that I requested I was then told that I was denied an modification and the only option that was available to me was a Short Sale of my Home of 14 years. I was in total shock how was I denied an modification when I never filled out any modification paperwork, again I was told that my application was submitted and that was how an decision was made, I asked again how can you submit and application when I haven't filled out any information what is all this based on. I was then told that this is a 2nd mortgage and a modification did not have to be offered and it would be denied because I now have equity on my home. I then went on to ask him how does he know there is equity when the house hasn't been appraised and I also have a 9 % interest rate, XXXX then proceeded to become rude and call me by first name which isn't acceptable and demand to know what I was going to do. I then let him know to do not speak to me in that manner and you are not going to harass me into accepting a short sale of my property. I went HUD Counseling on last week XX/XX/XXXX to get some sort of understanding they contact SLS and was told that we never made any payment on our loan which was untrue we made payments regularly until we could no longer afford to make the payments that is when we filed bankruptcy. The Counselor requested to receive a payment history it was then emailed over and alter as corrected and include payment that were made, and the ones that was paid during the bankruptcy does not notate bankruptcy they are show as regular payments. I am going to submit Modification Paperwork even though I was denied my last letter that I received from them on XX/XX/XXXX that denies me of everything other than a Short Sales states they will do a 2nd Independent Review of Modification Denial as long as I submit supporting documentation, they do not explain what paperwork is needed and I have until XX/XX/XXXX to submit this paperwork to them. I was told by Specialized Loan on XX/XX/XXXX that it would be denied and I needed to prove that there wasn't any equity in my property. Today XX/XX/XXXX I was found your website and decided to file a complaint against this Company they have me in a subprime loan and they are refusing to assist me on being able to stay in my home even though I have made that known to SLS. I feel like I am being harass and forced to sale my house. I was also researching different things on the internet and in order to get help to save my home and came across Consumer Relief lawsuit that was settled by XXXX Bank for XXXX XXXX dollars for homeowners who have suffered from this bank, during the timeframe of XXXX and XXXX with foreclosures, and with changing customers paperwork. XXXX XXXX   is the owner of my 2nd mortgage I contacted the Consumer Relief number which is XXXX and spoke to XXXX XXXX to find out what all the settlement was about and why I wasn't notified. I was told if you didn't hear about the settlement or research it on the internet you wouldn't know about it, and that no mail notification was sent out. XXXX took my information and told me it would be 7 to 10 days before I find out if I would be accepted in the Settlement. Specialize Loan is a bully and they are harassing homeowner and something needs to be done to stop this company from these horrible tactics. We don't have and issue paying our mortgage if given the opportunity but this isn't hasn't been the case I have never experienced this kind treatment, my 1st lender was not like this, but again I was told by XXXX they don't have to do those thing because they are not 1st lender but the 2nd.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation