Consumer complaint received 2024-08-16 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: SELECT PORTFOLIO SERVICING, INC.
State: IN

Complaint narrative:
Select Portfolio Servicing has denied access to government programs that should have been offered and have made false promises that have put us in a worse position. Now we find ourselves in foreclosure and it is just wrong. Our financial hardship is resolved and we can afford our mortgage payment, we just need assistance with the past due balance but SPS has been difficult to deal with and refuses to review our current financial information. SPS refused to offer us the CARES forbearance when we suffered XXXX related income loss and has engaged in unethical servicing practices and obstructed our attempts to save our home that we have owned for 30 years. 

I have worked as a XXXX XXXX XXXX XXXX XXXX XXXX  and ran into major problems when the pandemic began in 2020. My hours were cut and then my XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXXXXXX and went into the XXXX. I had to pay the deductible and could not keep up with the mortgage payments. I contacted SPS at this time to tell them that I was suffering income loss due to XXXX. Instead of offering the CARES forbearance like all other lenders, SPS said they would send me out a loan modification application. After I received it I filled it out and sent it back in but then went through a process where I was repeatedly told that documents were missing or incomplete. This went on for over one year and it was beyond frustrating. Finally someone at SPS sent out paperwork relating to a CARES forbearance ( the program that we should have been offered in 2020 ) and we agreed to this plan and were told that the late payments would be put back into the balance of the loan. However this did not happen. Instead I had to make a lump sum payment of {$10000.00} to SPS to try and get partially caught up just so we could be considered for ANY type of help. After I did that was finally offered a loan modification with a higher monthly payment of {$1100.00}. 

We began making the new modified payment for close to one year and then ran into issues due to XXXX XXXX XXXX XXXX Both cars were totaled and to replace the vehicles in order to stay employed cost about {$10000.00} out of pocket. In the same time frame my wife had complications from a XXXX XXXXXXXX due to a XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX  and we were overwhelmed with these medical bills. Due to these reasons we defaulted on our mortgage payments again and I contacted SPS to explain the situation. Once again I was told that I need to apply for loss mitigation and put together the forms and documents and submitted them to SPS for review. Once again, it felt like running on a hamster wheel, sending the same paperwork over and over but always being told something is missing or filled out wrong or it was lost or not received. Just like before months and months went by with no progress and now we find ourselves in foreclosure. 

Please realize that our financial hardship is resolved. I have been back XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX and my XXXX  son who lives in the house XXXX XXXX XXXX XXXX XXXX XXXX and is contributing 100 % of his income towards the household bills. We have sufficient income to afford our mortgage payment, the issue is that we have a past due balance of about {$10000.00} because we have been getting the runaround for the last 9 months.

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