Consumer complaint received 2020-08-10 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — 
Company: Shellpoint Partners, LLC
State: SC

Complaint narrative:
As a result of Covid-19, I have had to indefinitely XXXX XXXX XXXX XXXXXXXX. I also had to deal with XXXX   XXXX  for 7 weeks. In XXXX, Shellpoint Mortgage Servicing granted a two month deferment. In XXXX, I reached out to Shellpoint again to see if another deferment was possible. At that time, my business had been shut down, per government orders, for two months, since XXXX. I spoke with XXXX XXXX, on or about XX/XX/2020, and was informed that another deferment would be granted. During this conversation, the prior deferment was discussed, a payment arrangement was made for XXXX, the next payment that would be due after XXXX and XXXX were deferred, and we discussed an escrow payment that would need to be made in XXXX to keep my escrow current after these regular payments had been deferred. On XX/XX/2020, the deferred payment for XXXX was reflected on the account when online records were checked. 

Fast forward to XXXX. One or about XX/XX/XXXX, I contacted XXXX to touch base, check on the status of things, and to change the scheduled payment date to later in the month, if possible. At that time, I inquired about the possibility of another deferment. The associate and I discussed the current environment and financial hardships. I was asked if I had gone online and submitted a request and I said that I had. After some more discussion, it was eluded to, that I would likely qualify for another deferment, giving me until XXXX before another payment would be due. I was told that I should expect to hear from someone in the next 7 - 10 business days. At no time, during this conversation, was I told that I was delinquent or that there was an issue with my account. 

On XX/XX/XXXX, after not yet hearing back from anyone at XXXX, I called back. At that time, I was told that I would need to speak to my point of contact, XXXX XXXX. I was given his direct line and then transferred. After several days of leaving messages and missed calls, I was finally able to speak with Mr . XXXX. At that time, Mr . XXXX informed me that the deferment I was told we had back in XXXX, had been reversed and the account was delinquent for XXXX, XXXX and XXXX with the XXXX payment being due on XX/XX/XXXX. We were not notified that the deferment had been reversed and there was no real clarification as to why it was reversed. In addition to no clear answer as to why the deferment was reversed, Mr . XXXX could also not say when / if the house would go into foreclosure, just that it typically happens around 120 days delinquent. He also couldn't answer why these delinquent payments had not been reported to our credit or when they would be reported to credit. These are very difficult times and a flagged credit report or the house going into foreclosure is only going to make it even more difficult. Not having any clear answers and mixed messages is making this situation virtually impossible. In this conversation with Mr . XXXX he asked about my income and when XXXX XXXX would be able to open. It appeared that my responses to those questions had an affect on the deferment. Feeling overwhelmed and like the conversation was going nowhere, I ended the call. 

On XX/XX/2020, I attempted to call XXXX XXXX. He was unavailable so I spoke with XXXX XXXX. Still seeking understanding about what happened with the deferment and what will happen moving forward, even Ms. XXXX was confused about the deferment. Several times, she stated that the XXXX payment was deferred, which caused me to become even more confused. After a bit of back and forth, and research, on her part, she was able to see that the deferment had been reversed. I requested protection under the Cares Act for a Covid related hardship and once again asked when the delinquent payments would be reported to credit services. After being told that the property would not go into foreclosure because of the Cares Act, I was informed that the property could go into foreclosure but would not go up for sale for a year. She was unable to give a concrete answer as to when the delinquent payments would be reported to credit services. I confirmed that the calls are recorded and asked for the call to be escalated. Ms. XXXX said that I would need to speak to my point of contact, Mr . XXXX, and that he would need to escalate the call. The call was transferred. I, unsuccesfully, attempted to reach Mr . XXXX several times that day. I did let Ms. XXXX know that I am going to be putting the house up for sale very soon. I am hopeful to keep it out of foreclosure so I can sell it. 

On XX/XX/XXXX, Mr . XXXX returned my call at XXXX, Once again, we discussed the deferment, possible foreclosure, and credit reporting. Unlike what Ms. XXXX stated, Mr . XXXX said that because the loan is a private loan, it does not fall under protection of the Cares Act and that it can go into foreclosure. However, he was still unable to give a clear answer as to when foreclosure will take place or when the delinquent payments will be reported. I requested that the call be escalated and Mr . XXXX escalated the call to XXXX XXXX. 

XX/XX/2020, Mr. XXXX returned my call. After going over the situation with the deferment and requesting clarity on when the property would be placed into foreclosure and when the delinquent payments will be sent to credit, Mr. XXXX said that he would get with Mr . XXXX to discuss the account to determine if anything can be done to assist during this process but that due to my lack of income, I would not qualify for a deferment. Though the reason I was given for the XXXX / XXXX deferment being reversed was due to the prior deferments not due to loss of income. Mr. XXXX also could not give me a concrete answer as to when the property will be placed in foreclosure or when delinquent payments will be reported. He stated that I need to do my best to get the house on the market as soon as possible. I let him know that I have a realtor and that I am making every effort to get it listed as soon as possible. 

I have done my very best, in this current environment, to communicate with Shellpoint, asking for clear guidance and assistance to avoid the situation that I have found myself in today. I feel that I have been improperly guided by Shellpoint and its associates. From being told that I was given a deferment to that deferment being reversed with no notification, to being told the loan should receive protection under the Cares Act to then being told it does not, and the lack of answers regarding foreclosure and delinquent payments being reported to credit. There is also misleading information being provided regarding qualifying for a deferment. I have been told only one deferment per year, I've been told that I should qualify for another deferment until XXXX. But, I've also been told that because of my lack of income I don't qualify for deferment. How am I or anyone supposed to successfully navigate these difficult times when receiving different information every time a conversation is had? 

Please advise as to what, if any, remedies I have at this time. I am working to get the house on the market but if it goes into foreclosure before or during that process, it will greatly effect the sales price. I am also hoping to not negatively effect our credit in the process.

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