Consumer complaint received 2026-05-12 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:
XXXX XXXX XXXX XXXX XXXX XXXX XXXX, Texas, XXXX ( XXXX ) XXXX XXXX Date : XX/XX/2026 Shellpoint Mortgage Servicing Attn : Executive Resolution / Customer Advocacy / Credit Reporting Department RE : Request for Courtesy Deletion and Investigation of Misleading Hardship Servicing Communications Loan # XXXX To Whom It May Concern : I am writing regarding the reporting of recent mortgage delinquencies associated with my account during a severe and documented medical hardship involving hospitalization in the ICU for XXXX, respiratory failure, sepsis complications, and extended incapacity. This hardship materially impaired my ability to manage financial affairs during the affected period. However, despite those circumstances, my family and I acted proactively and in good faith by contacting Shellpoint immediately after the hardship impacted our ability to remain current. During our initial contact with Shellpoint, your representative completed a hardship/loss mitigation application over the phone and advised us that we would receive a decision via email within five ( 5 ) days regarding available options. Based upon those representations, we reasonably believed : our hardship review process had been initiated, Shellpoint was actively evaluating workout options, and the account had effectively entered a mitigation review process while options were being assessed. At no point during that communication were we informed that : additional foreclosure avoidance documentation was still required before review would actually proceed, derogatory reporting would continue during the pending hardship review process, or that immediate reinstatement prior to the 60-day reporting threshold was necessary to avoid substantial credit damage. This omission was highly material. In fact, when I later contacted Shellpoint again, I was informed for the first time that derogatory reporting would continue unless the account was fully brought current, regardless of the hardship review process. I immediately acted in good faith and reinstated the account by paying approximately {$12000.00} despite severe financial strain caused by my medical emergency. Critically, after making the payment online, Shellpoints own payment portal disclosed that : Shellpoint does not report until after 60 days delinquent, and that Shellpoint generally does not remove late payments. Had this information been disclosed during the initial hardship communication while we remained within the 60-day window, I would have immediately prioritized bringing the account current in order to avoid the derogatory reporting. After I was informed of the ( 60 ) day reporting policy ; I imideately paid the outstanding on XX/XX/2026 ; ( 71 ) days past due. Had I was disclosed the initial contact to report the hardship of this information, I would have paid the past due at that time ; however, I was not informed of this information. Below is a screenshot of the information stating this policy that was not disclosed by the agent I spoke to within the ( 60 ) days. Instead, Shellpoints communications created a reasonable understanding that the hardship review process itself was the operative next step and that options were actively being evaluated while the account continued aging into derogatory reporting status. Additionally, a prior Shellpoint representative incorrectly stated that Shellpoint was not a data furnisher but merely a debt collector, despite Shellpoint furnishing payment information to consumer reporting agencies. This statement was factually inaccurate and further contributed to confusion regarding the credit reporting implications of the hardship process. I respectfully request the following : 1. A courtesy deletion of the reported late payments associated with this hardship period ; 2. A supervisory review of the servicing communications and disclosures provided during the hardship process ; 3. Review of whether the reporting associated with this hardship period was materially misleading or incomplete in light of the active hardship communications and mitigation review process ; 4. Written confirmation regarding the outcome of this request. This request is not made lightly. I have otherwise worked diligently to maintain my financial obligations and acted immediately to cure the delinquency once the reporting implications were properly disclosed. The derogatory reporting now substantially impacts my ability to continue operating my real estate investment activities and providing financial support for my family. While I understand furnishers may report accurate information under the Fair Credit Reporting Act ( FCRA ), the FCRA does not prohibit furnishers from granting goodwill or hardship-based accommodations where circumstances warrant equitable relief. Further, furnishers are obligated under 15 U.S.C. 1681s-2 to ensure reporting is not materially misleading or incomplete. I believe the unique circumstances here including catastrophic medical hardship, proactive communication, reliance upon Shellpoints representations, immediate reinstatement once properly informed, and the apparent lack of disclosure surrounding ongoing derogatory progression justify executive review and discretionary relief. I appreciate your time and consideration, and hope Shellpoint will work toward a fair and reasonable resolution. Sincerely, XXXX XXXX XXXX XXXX XXXX XXXX XXXXXXXX XXXX XXXX XXXXirect : ( XXXX ) XXXX XXXX XXXX

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