Date Received: 2023-07-24
Issue: Trouble during payment process
Subissue:
Consumer Complaint: I filed a complaint in XX/XX/2023 ( XXXX ) about a disputed corp fee XXXX the bank did reply to me. just saying it was put in after the confirmation XXXX XXXX bankruptcy I do agree with the clam of XXXX and what the trustee payments of XXXX. BUT THE BANK CAN NOT JUST ADD IN EXTRA FEES XXXX with out justifying WHY? This is outside the banks stated clam when i filed XXXX XXXX. I was XXXX XXXX who did this! I want to pay up all my arrears at this time However the bank is NOT WORKING WITH ME. I can not get a live person to discuss the extra fees i want to solve this problem however i am getting the runaround. XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: NY
Zip: 11010
Submitted Via: Web
Date Sent: 2023-07-24
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-07-21
Issue: Closing on a mortgage
Subissue:
Consumer Complaint: On XX/XX/XXXX, I sent letter to SLS Dispute department to inquire details of the 2nd mortgage that I previously had with XXXX XXXX. They are charging me an interest amounting to {$160000.00} on top of the original loan of only {$170000.00} which has a principal balance of {$170000.00}. I needed so sell the house and pay the {$330000.00} to release the lien on the property. I wanted to know why and how did they calculate the interest of XXXX and what interest rate they used. when was the loan transferred to SLS from realtime solutions and from XXXX. Why is the interest almost amounts to the original loan. I will attach a copy of the letter that I sent them,
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: NV
Zip: 89044
Submitted Via: Web
Date Sent: 2023-07-21
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-07-20
Issue: Incorrect information on your report
Subissue: Information is missing that should be on the report
Consumer Complaint: Have a mortgage thru Specialized Loan Servicing. I had a bankruptcy case discharged in XXXX of XXXX. I had noticed this account was not reporting to any of the credit bureaus. I researched information as well as contacted SLS and credit bureaus as well as the bankruptcy attorney to get information relating to and determined that the account should be reported by SLS to all credit agencies. I have had calls to SLS and certified mailings to them as well as electronic dispute requests and certified mail to all XXXX credit bureaus. It was to have been resolved. I now see it only showing on one credit bureau and that info is inaccurate and limited with last updated XX/XX/XXXX. Also shows a late pay in XX/XX/XXXX inaccurate
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: MD
Zip: 211XX
Submitted Via: Web
Date Sent: 2023-07-20
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-07-20
Issue: Struggling to pay mortgage
Subissue:
Consumer Complaint: Specialized Loan Service has failed to reply to the entire NOE sent to them in the previous complaint. They only answered certain parts
Company Response:
State: MD
Zip: XXXXX
Submitted Via: Web
Date Sent: 2023-07-20
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-07-19
Issue: Trouble during payment process
Subissue:
Consumer Complaint: " Specialized Loan Servicing will not provide an accurate payoff letter. They have added forced placed insurance and late fess and additional principal to the payoff. They will not provide me a life of loan schedule for the loan. I was forced to make a payoff or lose my house. I have engaged and attorney ( XXXX XXXX ) from XXXX XXXX for Help. They refuse to talk to me and i have been extremely disappointed and this has caused undue stress of my marriage and health. My records indicated an accurate payoff of $ XXXX. They would not release my mortgage so i could sell the house unless i paid them $ XXXX. We had to come out of pocket for the costs. This loan has been purchased several times and all i am looking for is an accurate payoff that shows the principal for the life of the loan. I have been paying on this loan for in excess of 15 years
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: MI
Zip: 488XX
Submitted Via: Web
Date Sent: 2023-07-19
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-07-19
Issue: Trouble during payment process
Subissue:
Consumer Complaint: Specialized Loan Servicing company Account Number : XXXX I make additional ( double payments {$460.00} ) each month since I have been making payments on this loan. The Specialized Loan Servicing company is placing my addition principal payments in Unapplied/Suspense and so I'm accruing addition interest when the additional principal payments should be reducing the principal and thus eliminating additional interest.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: AZ
Zip: 85202
Submitted Via: Web
Date Sent: 2023-07-19
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-07-19
Issue: Trouble during payment process
Subissue:
Consumer Complaint: After I refinanced my mortgage, I got notification that my loan would be serviced by SLS. On XX/XX/, I received a letter in the mail saying that my loan was transferred to XXXX XXXX XXXX and that any payment due on or after XX/XX/XXXX should be directed to XXXX XXXX XXXX. This letter was generated XX/XX/XXXX, 1 day before the effective transfer date, and didn't get to me until 2 weeks after transfer date. By that time, I have already submitted my payment to SLS online on XX/XX/XXXX which already drafted from my bank account. According to SLS eStatement, the amount I have due for XX/XX/XXXX ( when mortgage was not yet transferred to XXXX ) is {$0.00}. There was no option for me to pay anything online bc nothing was due on XX/XX/XXXX. On SLS eStatement for XXXX, the amount due was {$5500.00}. This payment was submitted via XXXX website on XX/XX/. When I called XXXX on XX/XX/XXXX, the representative on the phone said she did not have any record of payment. After I sent the proof of draft from my bank, she just said we dont have it. She said everything was transferred over to XXXX. I called XXXX who said they did not receive any payment from SLS. According to XXXX statement, I now owe them 3 months worth of mortgage by XX/XX/XXXX - {$5500.00} for outstanding XXXX payment ( even though SLS statement said I owe {$0.00} and the loan was not transferred to XXXX yet at that time. XXXX said that this amount came from the fact that SLS forwarded the loan over as XXXX being overdue ) - {$5500.00} for outstanding XXXX payment ( even though I already paid SLS ) - {$5500.00} for upcoming XXXX payment This is obviously not a non-trivial amount. I contacted SLS via email and received no response. I contacted SLS via phone, waited on hold for 30 minutes, then got to an agent, who then disconnected my call. I called back on the same day, got through to an agent who was unable to help. I asked to be transferred to a supervisor, the agent said she would do so, only to then again disconnect my call. SLS has made no attempt to take responsibility for the inaccurate eStatement generated or to help the consumer reconcile the discrepancies.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: CT
Zip: 06405
Submitted Via: Web
Date Sent: 2023-07-19
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-07-19
Issue: Struggling to pay mortgage
Subissue:
Consumer Complaint: Im writing to get the assistance from CFPB. My financial hardship began XXXX of XXXX. When my wife lost her job and we became XXXX household income.. In addition to make matters worst I had to force retire in XXXX due to health issues related me and my wife getting covid and due to bad respiratory existing problems we felt we git into a really bad health and our income was reduced once again due to XXXX. During this time since we saw past due, we reached out to our mortgage company and applied for assistance numerous times.We have applied for mortgage help since XXXX and each time the mortgage server our mortgage company has denied us due to a negative present value .NPV. I have been denied for the negative present value XXXX times, each time that Ive been in review for mortgage assistance the mortgage company has had forclosure running at the same time while getting help, They have never added a single point of contact over the last XXXX to XXXX years. This mortgage company has never offered me a loan modification assistance, they have mishandled my payments and XXXX XXXX requested for their servicing XXXX servicing guidelines and provide me with my investor information and mortgage service agreement and I have been refused.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: TX
Zip: 78539
Submitted Via: Web
Date Sent: 2023-07-19
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-07-20
Issue: Struggling to pay mortgage
Subissue:
Consumer Complaint: My initial ARM loan was issued in XXXX by a XXXX XXXX XXXX and set at 3.125 % per annum. This ARM has been sold twice, the first time to XXXX XXXX ( Texas ) a proper bank, then in the first quarter of XXXX, it was sold to what seems to be a collection company ( Colorado ), named Specialized Loan Services LL ( SLS ). I initially contacted them and they informed me they weren't a bank and that they would soon be increasing the mortgage because it expired. In checking online SLS has earned a bad reputation with borrowers, they appear to operate like an industrial loan bank that engages in controversial and possibly illegal practices. In old times, these entities were called loan sharks. I then received a notice from SLS this past Spring that with LIBOR being abandoned by lenders they are going to establish a new interest rate. About a month ago they notified me that my new rate, starting in XX/XX/XXXX, is increasing by more than XXXX XXXXXXXX, this will make it unaffordable to me and my Family. SLS didn't state the new interest rate this new payment was calculated on, it seems to be a violation of usuary practices. In reviewing the CFPB website, it instructs that lenders in switching from ARM ( variable rate mortgages ), must set the new rate close to what it was when LIBOR was changed this new benchmark is referenced in the BFPB site as " SOFR. '' I've pasted a copy of a fact sheet I sent to my Congressional Representative XXXX XXXX asking him for assistance with this. Problems with Specialized Loan Services ( SLS ) Doesnt appear to a regular mortgage bank lender Online reviews of SLS by customers are substantially derogatory many appear to complain about excessive charges and unethical/predatory practices. They dont provide proper notices when it raises interest rates, this practice alone may be an attempt by SLS to lead borrowers to default of some kind. My mortgage was originally with XXXX XXXX XXXX Texas ( XXXX XXXX XXXX ), a standard mortgage bank. It was a variable rate mortgage set at 3.125 % interest charge. Unfortunately XXXX XXXX sold my loan to SLS, seemingly a predator probably buying all such loans and increasing rates to profiteer in this post Covid-19 era. Of course, the borrower ( myself ) has no control if the original lender sells your loan however in my case, the move has set the stage for SLS profiteering by jacking up rates in concert with actions by the Federal Reserve Bank. A major reason for this rate change is the abandonment of LIBOR indices to establish interest rates, Issue : It seems SLS is attempting to charge exorbitant rates that progressively commence this month ( XX/XX/XXXX ) and into XX/XX/XXXX. The XXXX increase is intended to increase my monthly payment by over XXXX XXXXXXXX. At this rate I will be forced to sell this house where me and family have lived for over 20 years. I contacted the DC based US Consumer Financial Protection Bureau ( USCFPB ) and will file a formal complaint with them by next week. Based on XXXX XXXX Bank published information they state the LIBOR settings will switch to a synthetic methodology, based on XXXX XXXX Term SOFR rate and the relevant ISDA fixed credit spread after XX/XX/XXXX. The XXXX has indicated that the synthetic 1, 3 and 6 month USD LIBOR settings will be published for 15 months, and so permanently cease at the end of XX/XX/XXXX. This is so confusing for the average borrower to comprehend and even appreciate. I discussed the rate increase and monthly payment impact, preliminarily they felt the increase was quite excessive and in possible breach of certain of the limits set forth in the SOFR terms. They will review this when I file a formal complaint shortly. USCFPB Website : The Consumer Financial Protection Bureau is a 21st century agency that implements and enforces Federal consumer financial law and ensures that markets for consumer financial products are fair, transparent, and competitive. Excerpt from USCFPB Website Page : Lenders must use indexes similar to LIBOR as replacements In general, lenders and servicers for consumer loans are required to choose a replacement index that is comparable or substantially similar to LIBOR. For adjustable-rate mortgages and private student loans, many lenders have announced a transition to rates based on the Secured Overnight Financing Rate, which are also called the IBOR Consumer Cash Fallbacks. For credit cards and home equity lines of credit, many lenders are selecting the prime rate as the replacement index. Both these choices comply with CFPB rules that apply to the transition away from LIBOR.
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: HI
Zip: 96825
Submitted Via: Web
Date Sent: 2023-07-20
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A
Date Received: 2023-07-17
Issue: Struggling to pay mortgage
Subissue:
Consumer Complaint: Mortgage-backed securities are created through a complex process known as securitization. ( See XXXXXXXX XXXX XXXXXXXX, Mortgage Servicing ( XXXX ) XXXX XXXX XXXX on Reg. 1, 13 [ a mortgage securitization transaction is extremely complex ]. ) In simplified terms, securitization is the process where ( 1 ) many loans are bundled together and transferred to a passive entity, such as a trust, and ( 2 ) the trust holds the loans and issues investment securities that are repaid from the mortgage payments made on the loans. Hence, the securities issued by the trust are mortgage-backed. Once the bundled mortgages are given to a depositor, the [ pooling and servicing agreement ] and IRS tax code provisions require that the mortgages be transferred to the trust within a certain time frame, usually XXXX dates from the date the trust is created. After such time, the trust closes, and any subsequent transfers are invalid. The reason for this is purely economic for the trust. If the mortgages are properly transferred within the ninety-day open period, and then the trust properly closes, the trust is allowed to maintain REMIC tax status. ( Deconstructing XXXX XXXX, XXXX, XXXX XXXXXXXX XXXX XXXX XXXX XXXX XXXXXXXX. ) XXXX XXXX XXXX XXXX XXXX XXXX XXXX section XXXX, provides : If the trust is expressed in an instrument creating the estate of the trustee, every sale, conveyance or other act of the trustee in contravention of the trust, except as authorized by this article and by any other provision of law, is void. The statutory purpose is to protect trust beneficiaries from unauthorized actions by the trustee. ( XXXX, XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX, XXXX XXXX. ) Trust documents are explicit in setting forth a method and date for the transfer of the mortgage loans to the trust and in insisting that no party involved in the trust take steps that would endanger the trusts REMIC status if the original transfers did not comply with the method and timing for transfer required by the trust documents, then such belated transfers to the trust would be void. The Trust itself can not hold ownership of the note because of its tax-preferred REMIC status . There is no language in the Pooling & Servicing Agreement ( PSA ) that authorizes the late transfer of a note or mortgage to the trust. More importantly, the PSA mandates that notes and mortgages must be transferred to the trust no later than the trust 's closing date. And EPTL 7-2.4 specifically prohibits such as transfer as being an ultra vires act that is void ab initio. MORTGAGES CAN NOT BE TRANSFERRED IN AND OUT OF THE TRUST ONCE THAT CLOSING DATE HAS OCCURRED. POOLING & SERVICING AGREEMENT ( PSA 'S ) STATE THAT ANY TRANSFER AFTER THE CLOSING DATE OF THE TRUST ( 90 DAYS ) IS INVALID. There are no other provisions of EPTL Article 7 that would authorize a trustee to act in contravention of a trust. Nor are there any other provisions of New York law that would authorize an ultra vires act by a trustee. Moreover, the enclosed Assignment of Mortgage shows a XXXX Trust and the fraudulent assignment was filed and recorded in XXXX 7 years AFTER the Trust had CLOSED! XXXX, XXXX, as successor XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX for XXXX XXXX XXXX XXXX XXXX, Mortgage Pass-Through Certificates, Series XXXX was formed in XXXX under New York law and ( 2 ) was subject to the requirements imposed on XXXX trusts ( entities that do not pay federal income tax ) by the Internal Revenue Code. XXXX, XXXX, as successor XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX for XXXX XXXX XXXX XXXX XXXX, Mortgage Pass-Through Certificates, Series XXXX was created by the pooling and servicing agreement, and that agreement establishes a closing date after which the trust may no longer accept loans, this statutory provision provides a legal basis for concluding that the trustee 's attempt to accept a loan after the closing date would be void as an act in contravention of the trust document causing adverse tax consequence of the trust losing its status as a REMIC trust under the Internal Revenue Code. There is no language in the Pooling & Servicing Agreement ( PSA ) that authorizes the late transfer of a note or mortgage to the trust. More importantly, the PSA mandates that notes and mortgages must be transferred to the trust no later than the trust 's closing date. And, EPTL 7-2.4 specifically prohibits such transfer as being an ultra vires act that is void ab initio. Under New York Trust Law, every sale, conveyance, or other act of the trustee in contravention of the trust is void. EPTL 7-2.4. Therefore, the acceptance of the note and mortgage by the trustee after the date the trust closed, would be void. ( Wells Fargo Bank, N.A. v. Erobobo ( Apr. 29, 2013 ) 39 Misc. 3d 1220 ( A ), 2013 WL 1831799, slip opn. p. 8 ; see XXXX XXXX XXXX, Mortgage Servicing, supra, 28 Yale J. on Reg. at p. 14, fn. 35 [ under New York law, any transfer to the trust in contravention of the trust documents is void ]. ) The invalid assignment of mortgage dated XX/XX/XXXX, which was recorded/filed on XX/XX/XXXX, in the XXXX Clerks XXXX XXXX XXXX XXXX XXXX XXXX showing XXXX, as nominee for XXXX XXXX XXXX, which allegedly assigned the mortgage, but without the underlying note, to XXXX XXXX XXXX XXXX as XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX for XXXX XXXX XXXX XXXX XXXX XXXX Mortgage Pass-Through Certificates. Series XXXX. The assignment is invalid because XXXX XXXX XXXX did not exist on XX/XX/XXXX, and, therefore, could not appoint XXXX as its nominee, and therefore XXXX had nothing to assign. Moreover, the Trust to which the mortgage was allegedly transferred had " closed '' in XXXX and could not have accepted the assignment in XXXX 7 years AFTER the Trust had CLOSED. Transferring non-performing loans into a Trust or making an out-of-time assignment is a void act under New York Trust law ( and mortgage securitization Trusts are organized as New York Trusts ) XXXX New York 's EPTL 7-2.4 has erected an impenetrable legal barrier that prevents the Bank 's trust from acquiring a purported note and mortgage after the Trust 's closing date. XXXX concealed from XXXX, XXXX that XXXX XXXX XXXX was not an incorporated entity or licensed to do business in any state in the United States of America on XX/XX/XXXX and XX/XX/XXXX. XXXX realized it could not demonstrate an agency relationship between itself and the note holder that gives XXXX the authority to transfer assignments from one entity to another. Furthermore, making an assignment would be against XXXX operation procedure. Yet, XXXX acknowledges in its very own Procedures Manual that it can not make any transfer of assignments to another. XXXX own admission : XXXX can not transfer the beneficial rights to the debt. The debt can only be transferred by properly endorsing the promissory Note to the transferee. ( page XXXX ).
Company Response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
State: NY
Zip: XXXXX
Submitted Via: Web
Date Sent: 2023-07-17
Company Response to Consumer: Closed with explanation
Timely Response: Yes
Consumer Disputed: N/A