Consumer complaint received 2024-06-14 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — Trying to communicate with the company to fix an issue related to modification, forbearance, short sale, deed-in-lieu, bankruptcy, or foreclosure
Company: Shellpoint Partners, LLC
State: TX

Complaint narrative:
We are frustrated with Shellpoint Mortgage and feel that they have denied access to internal and government programs that were set up to help homeowners in our situation. We do not want to end up in foreclosure and feel that Shellpoint will not work with us or play fair and we need help. We bought our home XXXX years ago and never had any problem with our mortgage payments until we suffered financial hardship as a result of the pandemic. We were able to eventually get this resolved through a trial plan modification. Our problem began after the third trial payment, when my sister unexpectedly passed away. This was a devastating family tragedy and I had to step in to help hold things together for her family and help out with my niece and help to make arrangements and ultimately pay for the funeral. I was out of work for a month ( they offered me a bereavement leave ) and it was a difficult time. Due to the emergency nature of the situation I liquidated my savings to help her family and cover these expenses and was not able to make the XXXX mortgage payment. My sister had an insurance policy and I had been led to believe that I would be reimbursed for a large portion of the money I had put out to help. Unfortunately that did not work out the way the insurance agent had explained and I was again in a financial crisis. I contacted Shellpoint to resume my mortgage payment but was told that they would not accept my payment and that I needed to reinstate the full past due balance or enter into a repayment plan with a monthly payment of {$4500.00}. I feel that Shellpoint failed to realize the gravity of the situation and shut the door on any reasonable option to resolve this matter. Why was the repayment plan spread out over 6 months instead of XXXX? How did their team calculate the payment and determine that it was affordable? Why was I not offered the opportunity to be considered for other options such as deferment, modification, recapitalization of arrearages or a longer repayment plan? 


We paid our mortgage as agreed for years until XXXX impacted us which resulted in my husband having his hours cut in half as well as a reduction in pay from my financial consultant position. As we struggled due to the pandemic we were unable to make regular monthly payments but continued to pay as we could and Shellpoint accepted the payments. We believed that as we got back on our feet we would be able to get caught up on our own, but eventually Shellpoint demanded full reinstatement which we could not come up with. Luckily we were able to get approved for trial modification at that time and made the XXXX payments. 

As explained in XX/XX/year> we had a family tragedy and it required that I drop everything to help out which led to taking time off from work as well as a substantial financial cost to help my sisters family stay afloat. I believed we could quickly get caught up because I had been told that my sisters insurance policy would reimburse much of the money I put out to help with the funeral and associated expenses. However, this did not work out as planned and I was unable to make the XXXX payment. I believed that I could get caught up on my own and tried to make the XXXX payment but was told that Shellpoint would not accept a single payment and needed to reinstate in full. I explained that was not possible due to the death in the family but no one at Shellpoint wanted to hear about it. I was then told that the only option was a 6 month repayment plan and that I needed to make a {$4500.00} payment for the next XXXX months. I was not able to come up with that large of a payment on that short of notice and now the amount that we owe continues to increase while Shellpoint moves to start foreclosure against my family.

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