ComplaintsforShellpoint Mortgage Servicing

• Initial Complaint

  01/01/2024

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  On December 15th, *** Title wired a mortage payoff payment to Shellpoint Mortgage. They seem to have lost the funds. I've received several different excuses for why the payment has not been made against the loan, the most recent being that "the wire was rejected due to insufficient funds." That isn't a thing. It's a wire. From a title company. It's been 14 days since they received the funds and they keep investigating the issue and escalating my call but no one is getting back to me to solve this problem. Every day that goes by I'm accruing more and more debt on this loan due to interest, etc. This whole situation is unbelievable. And their staff are giving ME attitude about bothering them.

  

  Business response

  01/10/2024

  Dear ******* * *******
  This letter is in response to Better Business Bureau complaint received on December 29, 2023 regarding the subject property. Newrez LLC d/b/a Shellpoint Mortgage Servicing is currently the owner of the account number ending in ****. Shellpoint Mortgage Servicing (“Shellpoint”) began servicing the loan on the behalf of the owner referenced above on or about November 2, 2022. 
  
  Please know that Shellpoint takes its customer service and consumer protection obligations very seriously and has significant staff dedicated to its compliance related functions in order to identify, resolve, and permanently correct operational deficiencies and improve upon consumer concerns.
  
  Your complaint states on December 15, 2023, CLA Title wired a mortgage payoff in the amount of $450,610.59 to Shellpoint that was never applied towards your account. You state you have contacted Shellpoint’s Customer Service Department and received several different excuses why the payment has not been applied towards your loan, including that the wire was rejected. You note that every day the payoff is delayed you are charged more in interest. You are requesting the payment be applied and your loan be paid in full.
  
  Please accept our sincere apology if you have received any confusing information in prior contacts regarding why the payoff funds in the amount of $450,610.59 were not applied to payoff your loan.
  
  Upon review, on December 6, 2023, a payoff quote with a good through date of December 15, 2023, and total payoff amount of $450,142.67 was generated and sent. On December 11, 2023, the amount of $2,801.33 was sent to Anne Arundel County for taxes.
  
  On December 15, 2023, a payment of $450,610.59 was received, however, the payment was rejected and returned as the payoff amount received was short $2,377.72. Please note, the payoff quote instructs you to call the number listed on the quote to obtain updated figures prior to remitting funds, as they are subject to change without notice. Our records do not show receiving any calls from you or CLA Title prior to receiving the wire.
  
  On December 18, 2023, due to the tax disbursement, Shellpoint generated an updated payoff quote, with a good through date of December 18, 2023 and total payoff amount of $453,044.27.
  
  On December 29, 2023, Shellpoint spoke with you and ****** ****** of CLA Title, and explained the initial wire was rejected because the tax disbursement on December 11, 2023 created a shortage, which you understood and stated the shortage would be sent the same day.  
  
  Please be aware, this loan utilizes actuarial interest. Actuarial interest is earned and paid in arrears; therefore, the interest owed will be for thirty (30) days regardless of when the monthly payment is received. If you make a payment prior to the due date, you will pay thirty (30) days of interest for the prior month's accrual. Likewise, if you make a payment after the due date, you will also pay thirty (30) days of interest for the prior month's accrual. When paying the loan in full, interest will be assessed on a daily basis from the last monthly payment received until the day the payoff is received.
  
  On December 30, 2023, a payment in the amount of $453,372.80 was received and applied as a payoff. As of the date of this letter, your loan has been paid in full.
  
  Although Shellpoint apologizes for any inconvenience, we have determined that no error has occurred. You have the right to request documentation supporting our determination.
  
  Should you have further questions, you may reach us through our Contact Us page by accessing our website, ********************* and logging into your account. Go to the Help icon at the top right and click on Contact Us from the drop down. You can submit your email from there and upload any supporting documents. Alternatively, you may contact me directly at ************, ext. 4079 or via email at ************************. You may also contact our Customer Service department at ************.

  Customer response

  01/11/2024

  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID ********, and have determined that this does not resolve my complaint. 
  
  NewRez/Shellpoint should accept fault. It took me over two weeks and a dozen calls for someone at Shellpoint to figure that out. That's abhorrent. Every time I called I got a different (incorrect) answer of what the issue was and a promise to call back/escalate etc and no one, NOT ONCE, mentioned this tax payment (which CLA Title had already made - you did not need to make it.) I never even heard back. One of your less helpful representatives tried to get me to wait into January for a response and that would have been yet another month of payments. He also suggested I should stop calling so much and that "he did everything he could" and was "sorry that wasn't good enough for me." We should both be thanking CLA Title. Without them pushing (we had to call twice Friday because your first rep abandoned the call), and insisting on speaking to a supervisor, (who said this was plain as day and anyone should've been able to figure it out) I'm not convinced this ever would have been solved. It seems the average employee at Shellpoint has no idea what they're doing.
  

  
  Regards,
  
  ******* ******

  

  Business response

  01/19/2024

  Dear ******* ** *******
  
  This letter is in response to the Better Business Bureau rebuttal complaint received January 11, 2024 regarding the subject property. Newrez LLC d/b/a Shellpoint Mortgage Servicing was the owner of the account number ending in ****. Shellpoint Mortgage Servicing (“Shellpoint”) serviced the loan on the behalf of the owner referenced above on or about November 2, 2022 to December 30, 2023. 
  
  Please know that Shellpoint Mortgage Servicing takes its customer service and consumer protection obligations seriously and has dedicated staff to identify, resolve, and permanently correct operational deficiencies.  
  
  Your rebuttal complaint states Shellpoint should accept fault due to the several different excuses you received of why your payoff payment had not been applied towards your loan. You also expressed your dissatisfaction with the customer service you received and that you were never advised of the tax payment made.
  
  Upon review of your correspondence, Shellpoint’s records indicate we have already received a previous correspondence on January 5, 2024 that is the same or similar, which we have already responded to on January 10, 2024. Since your additional correspondence did not provide any new or additional information for us to form the basis for a new investigation, our response remains the same.
  
  Shellpoint does not condone unprofessional communication with consumers, as it is our goal to adhere to all state and federal laws and regulations concerning the servicing of loans. We apologize for any inconvenience you may have experienced regarding the servicing of this loan. 
  
  In our previous correspondence, Shellpoint apologized if you have received any confusing information in prior contacts regarding why the payoff funds in the amount of $450,610.59 were not applied to pay off your loan. Our previous response also stated the payoff quote instructs you to call the number listed on the quote to obtain updated figures prior to remitting funds, as they are subject to change without notice.
  
  In addition, on all payoff quotes, the next tax due date is listed on the quote. Please note, Shellpoint pays all escrowed items 1one to four weeks prior to the due date to ensure payments are received on time. As such, your tax payment was disbursed on December 11, 2023, in the amount of $2,801.33 to Anne Arundel County.
  
  As of December 30, 2023, the loan has been paid in full.
  
  You have the right to request documentation supporting our determination that no error has occurred in the servicing of the loan.
  
  Should you have further questions, you may contact me directly at ************, ext. **** or via email at ************************. You may also contact our Customer Service department at *************

• Initial Complaint

  12/27/2023

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  Newrez LLC became my mortgage servicing company several months ago. Every month since they have had my mortgage, they are sending the mortgage statement to a totally different home and address. Not my address, not the address that they have a file for me, BUT an address they say a 3rd party uses. My dealing isn't with the 3rd party and if Newrez LLC deals with the 3rd party then they are liable for some of their actions. I simply want my mail coming to my address and not continually going to the wrong address of their choosing.

  

  Business response

  01/11/2024

  Dear ******* ***** and **** * *****:
  
  This letter is in response to the Better Business Bureau complaint received on January 7, 2024, regarding the subject property. Newrez LLC d/b/a Shellpoint Mortgage Servicing is currently the owner of the account number ending in ****. Newrez LLC (“Newrez”) began servicing the loan on the behalf of the owner referenced above on or about October 1, 2023. 
  
  Please know that Newrez LLC takes its customer service and consumer protection obligations seriously and has dedicated staff to identify, resolve, and permanently correct operational deficiencies.  
  
  Your complaint states the loan was transferred to Newrez and they started sending the monthly statements to a different address that is not associated with you. We advised you a third-party provided this address update, but Newrez is responsible for any changes made that are incorrect. You want to verify the address is updated.
  
  We appreciate the opportunity to address your concerns. Newrez received an updated address through our vendor which receives address change notifications made with the United States Postal Service (“USPS”) National Change of Address (“NCOA”) process.  The mailing address has now been updated to the property address listed above, as of December 19, 2023.  Please contact the **** regarding the issue and update the mailing address to confirm all correspondence is sent to the proper address.
  
  You have the right to request documentation supporting our determination that no error has occurred in the servicing of the loan.
  
  Should you have further questions, you may reach us through our Contact Us page by accessing our website, ************** and logging into your account. Go to the Help icon at the top right and click on Contact Us from the drop down. You can submit your email from there and upload any supporting documents. Alternatively, you may contact me at ***** ******** Monday through Friday from 7:00 a.m. to 4:00 p.m. (PST). You may also contact our Customer Service department at ***** *********
  
  Sincerely,
  
  Grysell F*****
  Compliance Department
  Newrez LLC
  
  cc: Better Business Bureau

• Initial Complaint

  12/27/2023

  Complaint Type:

  Order Issues

  Status:

  Answered

  More info

  On November 14 , 2023 I sent a large payment to Newrez and completed the total due on our outstanding mortgage by the end of November 2023. I called repeatedly as i waited for the escrow amount held to be sent to me so i can pay our taxes on our home for 2023. After Several calls the representative said 10 to 15 days. After 25 days later they say 30 days. Please help us. This company has extremely poor service and should not be in the mortgage business. We had other mortgage companies over the years and have outstanding credit history with them. This company needs to have their procedures investigated. They cashed my large ck within 24 hours but are holding my escrow indefinitely. I would like the BBB to please downgrade this horrible company so others will not have to endure this poor service. Still waiting for my escrow to be returned. ******* ********

  

  Business response

  01/05/2024

  
  Dear ******* ****** ******** and ******* * ********:
  
  This letter is in response to the Better Business Bureau complaint received on December 27, 2023, regarding the subject property. Newrez LLC d/b/a Shellpoint Mortgage Servicing is currently the owner of the account number ending in ****. Newrez LLC (“Newrez”) began servicing the loan on the behalf of the owner referenced above on or about July 1, 2023. 
  
  Please know that Newrez takes its customer service and consumer protection obligations very seriously and has significant staff dedicated to its compliance related functions in order to identify, resolve, and permanently correct operational deficiencies and improve upon consumer concerns.
  
  Your complaint states the loan was paid in full in November 2023, however you have not received the escrow balance held. You contacted Newrez several times to no avail. You want the escrow refund due to you.
  
  We appreciate the opportunity to address your concerns. Per the enclosed Loan History Statement, the loan was paid in full on November 13, 2023. Per Newrez’s policies, any escrow and balances due to the homeowner are sent after 16 days from the loan being paid in full. The escrow surplus check of $3,007.10 and unapplied balance of $473.28 was disbursed via checks sent to the property address on November 29, 2023.
  
  You contacted Newrez on November 14, 2023, November 30, 2023, December 11, 2023, and December 20, 2023and the representatives advised you of the procedures concerning the payoff of a loan, when the check was sent, and how to submit a complaint.
  
  On January 4, 2024, you spoke to a supervisor, who advised you again when and where the check was sent, although you stated you had not received the check. The supervisor submitted a request to expedite the voiding of the checks and with authorization from both homeowners, submitted a request to send the refunds via Automatic Clearing House (ACH). The request was completed on the same day, and both amounts of $3,007.10 and $473.28 were sent via ACH to the bank account verified with the supervisor.
  
  You have the right to request documentation supporting our determination that no error has occurred in the servicing of the loan.
  
  Should you have further questions, you may reach us through our Contact Us page by accessing our website, ************** and logging into your account. Go to the Help icon at the top right and click on Contact Us from the drop down. You can submit your email from there and upload any supporting documents. Alternatively, you may contact me at (**** ******** Monday through Friday from 7:00 a.m. to 4:00 p.m. (PST). You may also contact our Customer Service department at ***** ********.
  
  Sincerely,
  
  Grysell F*****
  Compliance Department
  Newrez LLC
  Enclosure: Loan History Statement
  cc: Better Business Bureau
        Via BBB portal 

• Initial Complaint

  12/27/2023

  Complaint Type:

  Customer Service Issues

  Status:

  Answered

  More info

  I have been trying to contact Newrez for Assumtion of my mortgage and there's no number exist per Newrez customer service. They only have me an email and no response. I serve on Active Duty Army and I need to sell my house in a month. My new assignment is in D.C. I need to speak to the assumption of mortgage dept. And get the process stated ASAP.

  

  Business response

  01/05/2024

  Please understand, not all of our departments are equipped as a call center or are available to be reached by phone. However, our Customer Service department is able to relay the necessary information to the Assumptions Department on your behalf to provide more information or clarification on any related items or concerns regarding the assumption process for your loan.
  
  According to our records, on December 27, 2023, the packet of documents necessary to initiate the assumption of the loan was sent to your email address, ********************, Please know, the general minimum eligibility requirements for a loan assumption include but not limited to:
  The mortgage loan must be current. The mortgage loan cannot have been greater than 30 days past due at any time within the last 12-month period.
  The Loan must be Assumable. A loan’s ability to be assumed is based on information located on the Loan Note, the Truth in Lending Disclosure, or Closing Disclosures.
  The packet sent to you provides the assumption request requirements, information regarding frequently asked questions, and the documents needed for us to continue the assumption review. Please note, typically the assumption process may take 60 to 90 days from the time we receive a completed package. Due to your circumstances, once the full assumption package is returned to our offices, our Assumption Department will notify the loan officer assigned to your loan to see if the process may be expedite the request.
  For additional assistance, you may email the Assumptions Department at [email protected]. Please note, our Assumptions Department will respond to your inquiries regarding the process. 

• Initial Complaint

  12/08/2023

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  We are attempting to have NewRez process an assumption of the loan ********** for deceased father to me his daughter. We started the process in August 2023. Sent in all pertinent paperwork and application . Received letter from NewRez stating assumption was approved but they need a grant deed sent in which was sent in immediately in October. Asked for email confirmations after about 10 emails and at least 15 phone calls including supervisor help asking for confirmation. No return of emails or phone calls by the supervisor. Just last week received noticed that the assumption process will be cancelled unless an application is sent in which is was sent in August 2023. We are losing mortgage interest deduction because NewRez can't process the assumption in a timely manner. It has been 4 months and no word or email response. Don't know if they will ever process the assumption. Hoping BBB can help out.

  

  Business response

  12/21/2023

  Your complaint states you are attempting to assume your deceased father’s loan and have submitted the complete application and necessary documents. The process begun in August 2023, and you received a letter from Newrez stating the assumption was approved but a grant deed was needed. The grant deed was provided to Newrez immediately. You have requested Newrez confirm the documents were received, yet no one responded to you. Recently you received a notice that the assumption process would be cancelled due to missing documents. You are requesting Newrez complete the assumption process.
  
  We can confirm the recorded Grant Deed was received by Shellpoint on October 30, 2023, however, due to an oversight, the document was not properly processed by our Assumptions Department.
  
  On December 11, 2023, the final Assumptions Agreement was drafted and mailed to you for signing. Per the ***** tracking #************, you received the packet on December 12, 2023, and per the return ***** tracking # ************, the packet was received by Newrez on December 18. 2023. Please allow time for the assumption to be processed and for the account to be updated.
  
  Please accept our sincere apologies for any inconvenience this may have caused. Please know that Newrez takes its customer service obligations very seriously and your concerns have been brought to the attention of the appropriate people within our organization.
  
  Should you have further questions, you may reach us through our Contact Us page by accessing our website* ************** and logging into your account. Go to the Help icon at the top right and click on Contact Us from the drop down. You can submit your email from there and upload any supporting documents. Alternatively, you may contact me directly at [email protected] or by phone at ***** ********. Additionally, you may also contact our Customer Service Department at (**** *********

  

  Business response

  01/12/2024

  Your complaint states the signed assumption agreement was received by Shellpoint on December 18, 2023, but they are yet to confirm when the assumption will be completed.  You are expecting for the assumption to be completed by December 31, 2023.
  
  Records indicate the signed assumption agreement was received by our Assumptions Department on December 18, 2023, however, due to the holidays there was a delay in executing the assumption and submission for recording. Please accept our sincere apologies for any inconvenience the delay may have caused.
  
  We can confirm the assumption was completed on January 4, 2024, with a December 16, 2023 effective date. Enclosed is a copy of the recorded Loan Assumption Agreement.
  
  As of the date of this correspondence, the loan is next due for the February 1, 2024 installment for $3,054.63.
  
  Although Shellpoint apologizes for any inconvenience, we have been unable to determine that an error occurred after investigating your dispute. You have the right to request documentation supporting our determination.

  Customer response

  01/16/2024

  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID ********, and have determined that this does not resolve my complaint. 
  The online account won't let me log in because everything is still in the name of my dad **** ******. I can see his name on the portal but it says my email and Social security number is not correct and I cannot use his SSN either. The whole portal is locked up and inaccessible for my account. They did see the assumption process through to the end . They said they created a ticket for IT to fix it but again today when I called they said there was no such ticket created. So many issues NEVER RESOLVED AND NO FOLLOW THROUGH at all unless BBB helps me. Thank you to BBB for getting my assumption processed. If BBB doesn't step in nothing gets done. Thank YOU

  Regards,
  
  ****** ******

• Initial Complaint

  12/08/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  We are having issues with this company incorrectly reporting our account as delinquent to credit agencies. We’ve been having an ongoing issue since October with this. It all stemmed from us receiving incorrect information with an agent regarding a payment plan we set up. We’ve asked for the audio from that call to be reviewed and it has been by two different managers. Both verified that the agent did give us the wrong information and therefore they had to honor what was said in the call. We’ve been told the “delinquent” reporting status would be removed because it’s incorrect. However, they are continuing to report the information even though they’ve verified and stated more than once that it’s incorrect. We are not able to connect with anyone who can actually resolve the issue. We get different answers from different agents almost every time we call. We are unable to resolve this problem with a third party involved. We need assistance as our credit is suffering immensely. Our credit scores have dropped 70+ points due to the erroneous reporting. Even as recently as today they reported our account as delinquent, even though they said at the beginning of November that they were going to correct the information, and request the delinquent status to be removed.

  

  Business response

  01/09/2024

  Tell us why here...Dear ***** ****** ***** and ***** *****:
  
  This letter is in response to the Better Business Bureau complaint received on December 11, 2023, regarding the subject property. NewRez LLC d/b/a Shellpoint Mortgage Servicing is currently the owner of the account number ending in ****. Newrez LLC (“Newrez”) began servicing the loan on the behalf of the owner referenced above on or about November 2, 2022. 
  
  Please know that Newrez takes its customer service and consumer protection obligations very seriously and has significant staff dedicated to its compliance related functions in order to identify, resolve, and permanently correct operational deficiencies and improve upon consumer concerns.
  
  Your complaint states you were provided incorrect information regarding the reporting status of your loan after you entered a repayment plan. You have requested the call to be verified and was informed you were provided incorrect information, and the delinquent reporting status would be removed. However, the issue has not been resolved to date. Because of the delinquent reporting, your FICO score has dropped. You are requesting the negative information to be removed from your credit report.
  
  Upon review of the phone conversation on August 21, 2023, we confirmed the representative you spoke with to set up your repayment plan provided incorrect information regarding the credit reporting status of your loan once you entered the repayment plan. The information provided to you stated that the loan would be reported current through the repayment plan, which in incorrect. In a repayment plan, the loan is reported with the actual status of the loan, which would include delinquency information being provided to the Consumer Reporting Agencies (“CRAs”).
  
  Due to this error, on December 21, 2023, Newrez has removed the negative credit reporting and reported the loan for the months of August 2023 through October 2023 as “No Data”. No Data is not a negative nor positive credit reporting; however, it will suppress the negative credit reporting for the months of August through October 2023. The Automated Universal Data control number for the corrections made is 4280863. Please allow seven to ten business days for the CRAs to update their records.
  
  Newrez cannot advise you regarding your credit score, as we have no knowledge of your credit profile or how the individual CRAs calculate your credit score. You may contact them directly to inquire about your credit report and credit score. Their contact information is provided below. We respectfully request you contact them directly with any issues regarding their determination of your credit score.
  
  ********** ****************** ******* *************** ******** **************** ******* *************** ********** ******** ********* **** *** **** ******** ** ***** ***** ******** ******* ****** *********** ********* **** **** *** ****** ******** ** ***** ***** ******** ******** *********** ********** **** **** *** **** ****** ** ***** ***** ******** ******* ******** ********** **** *** **** *********** ** ***** ***** ********
  
  
  As of the date of this communication, the loan is due for the January 1, 2024 installment of 2,491.01.
  
  We extend our sincere apologies for the inconvenience and frustration you have experienced. We value you as a customer and appreciate your patience as we make strides to provide you with a superior customer experience.
  
  You have the right to request documentation supporting our determination that no error has occurred in the servicing of the loan.
  
  Should you have further questions, you may reach us through our Contact Us page by accessing our website, ************** and logging into your account. Go to the Help icon at the top right and click on Contact Us from the drop down. You can submit your email from there and upload any supporting documents. Alternatively, you may contact me directly at ************, ext. **** or via email at ************************. You may also contact our Customer Service department at *************

• Initial Complaint

  11/17/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  I have been screwed by this NEWREZ company and the previous company.Time and time again,I tell them I paid $1500 to the tax collector,gave back $629 to escrow and get a $250 senior discouint from ***** *** for a total of $2379.They totally ignore it and they increaed my mopnthly mortgage payment $69 come January.How the hell can they do this?I noticed that they did face a class action lawsuit some time ago.Could it be time for another one???

  

  Business response

  11/30/2023

  The complaint states, you informed Newrez that you paid the taxing authorities $1,500.00 and made an escrow payment of $629.00. You received a $250.00 senior discount from ***** Township. You assert Newrez ignored this and increased the monthly amount by $69.00, effective January 2024. You state Newrez owes you $2,379.00, as you paid the taxing authorities $1,500.00. You are requesting the escrow account be removed.
  
  Below is a breakdown of the property taxes paid from the escrow account in 2022-2023.
  
  On February 1, 2022, the amount of $1,172.38 was disbursed
  On April 26, 2022, the amount of $718.82 was disbursed
  On July 29, 2022, the amount of $1,214.55 was disbursed
  On October 27, 2022, the amount of $1,214.55 was disbursed
  On January 24, 2023, the amount of $1,193.47 was disbursed
  On August 18, 2023, the amount of $1,004.59 was disbursed
  On October 17, 2023, the amount of $1,311.12 was disbursed
  
  Loan records show, on August 29, 2023, ******* completed an escrow analysis, which calculated an escrow surplus of $349.92, which was disbursed to you via check number ****** on August 30, 2023. Enclosed for your review is a copy of the August 29, 2023 escrow analysis.
  
  ******* completed a new escrow analysis on September 15, 2023. The analysis calculated an escrow shortage of $166.92 spread over a period of 12 months at a cost of $13.91. The monthly installment adjusted from $1,231.53 to $1,312.90, effective December 1, 2023. Enclosed is a copy of the September 15, 2023 escrow analysis.
  
  In review of your complaint, our response dated October 26, 2023 addressed your concerns regarding the property taxes of $1,311.00 disbursed on October 17, 2023 to ***** Township. Enclosed for your review is a copy of the response issued. To further clarify your concerns on how the amount of the property taxes is determine, the below information is provided.
  
  Please be aware, the tax payment information in our system is an anticipated amount based on amounts paid from the prior year. Newrez is notified through a report called a Tax Assessment Roll (“TAR”) of the total amount of taxes due for each installment. Upon receipt of the TAR for upcoming installments, the tax amount is updated in our system and paid for the correct amount due. 
  Records confirm, on October 17, 2023, Newrez disbursed a property tax payment of $1,311.00. The payment disbursed was the amount reported as due at the time of the billing; therefore, such amount was disbursed at the time the installment became due.
  
  Upon the receipt of your complaint, we reached out to our Tax Department to validate the amount paid for the property taxes. Our Tax Department confirmed the amount due during the month of November 2023 was $1,311.00 and a refund was not available for parcel id ********** **********, nor did the township indicated there was an overpayment.
  
  Please be advised, as payments due for your homeowner’s insurance premium and property taxes may fluctuate from time to time, the escrow payment amount may change with each annual escrow analysis completed for the loan. As a result, any adjustments due to increase or decrease with your escrowed items may affect your monthly escrow payment with each escrow analysis. If your escrow payment increases or decreases, your monthly installment amount will also increase or decrease.
  
  Please keep in mind, Newrez does not determine the amount due for the escrowed items, such premiums are determined by your homeowner’s insurance carrier and the taxing authority in which the property is located. Further, the escrow balance never stays the same due to the payments made into the escrow account and the disbursements coming out. Please note, Newrez is not able to overfund the escrow account, we are allowed to collect only sufficient funds to pay the escrow items, and a cushion of 1/6 of the total escrow amount.
  
  The review also shows, on November 15, 2023 you submitted a request to remove the property taxes from your escrow account. Your request was approved on November 16, 2023. Accordingly, the responsibility for the property taxes was updated from lender to borrower. Going forward, you are responsible for payment of the property tax items for the above referenced loan. However, we reserve the right to re-establish the escrow account if adequate proof of insurance is not provided or if we are notified of delinquent taxes.
  
  A new escrow analysis was completed on November 17, 2023 and the monthly installment amount adjusted from $1,312.60 to $889.61, effective December 1, 2023. The review resulted in an escrow surplus of $382.52 was sent to you November 16, 2023 via check number *******.
  

• Initial Complaint

  11/17/2023

  Complaint Type:

  Order Issues

  Status:

  Answered

  More info

  Our home mortgage is serviced by Newrez LLC. and as such, Newrez collects escrow to make payments to insurance and taxes. Our Flood Insurance has yet to be received by our flood insurance company. Our flood insurance was delinquent on October 28. Our flood insurance has since been canceled. We have met all of our obligations including never being late ever on a mortgage payment. Newrez has grossly failed to meet their obligation to the consumer.

  

  Business response

  11/22/2023

  Pursuant to the Notice to Borrower in Special Flood Hazard Area, National Flood Insurance Program (“NFIP”) Participating Community signed at origination, you may obtain a private flood insurance policy; however, we may be required to review the policy to determine if the policy is acceptable based upon the law or other guidelines.
  
  For private flood insurance coverage through a private insurance carrier, a compliance aid clause is required for the insurance to be acceptable. If the private flood coverage received is determined unacceptable, no payment will be issued for any insurance premium due, and the insurance coverage will not be updated into our system.
  
  However, if the private flood insurance coverage is determined to be acceptable a notice will be issued to explaining the insurance premium has been paid on multiple insurance policies. This notice will explain the possibility of duplicate insurance coverage. It is then the responsibility of the homeowner to contact one of the two insurance companies and request the unwanted policy to be cancelled.
  
  In review of your complaint, Newrez can confirm on October 16, 2023, documentation for the flood insurance policy held by ******* * *******, was in fact received in our offices. However, the documentation received did not contained the required compliance aid clause for private flood insurance policies. Therefore, the policy renewal could not be accepted, and payment could not be disbursed at that time.
  
  According to loan records, on October 24, 2023, you contacted our Insurance Department regarding the flood insurance renewal not being renewed. During the telephone conversation, the service representative explained the reason why the payment was not disbursed was due to the private flood checklist, Certification of Adequacy of Private Flood Insurance. This was required to be submitted by Lloyds London and was not provided. This was also explained to your insurance agent, Linda, on the same day. Your agent then stated the required documents would be sent to our offices via email, so the required renewal payment could be disbursed.
  
  The required documentation was received on October 27, 2023, and the required renewal payment of $3,058.57 was disbursed on October 30, 2023, payable to Johnson & Johnson.
  
  On November 10, 2023, we received a call from your insurance agent stating that the payment disbursed was not yet received by their offices. On November 16, 2023, our Insurance Department received a notice indicating the flood policy would be cancelling effective November 25, 2023, if payment was not received. However, at that time, we confirmed the payment disbursed on October 30, 2023 to Johnson &Johnson cleared on November 16, 2023. Therefore, no further action was needed at that time.
  
  After further review, it was determined that an additional amount of $10.00 was requested. We are currently prepping this payment to be sent out to the agency.
  
  As the agent was made aware of the additional information needed along with the renewal, Newrez confirmed the insurance payment was sent out timely upon receiving the required documentation. Additionally, a notice was also sent to your insurance agency, ****** ****** ********* ******* *** on October 24, 2023, to obtain the required documents to be able to disburse the flood insurance payment.
  
  According to the information received by your insurance agent, the flood insurance policy was reinstated upon the receipt of the premium payment effective October 28, 2023, with no lapse of insurance coverage. Additionally, on November 13, 2023, a notice was sent to your mailing address confirming the LPI was cancelled effective October 28, 2023. Hence, a payment for the LPI was never disbursed from the escrow account. 

• Initial Complaint

  11/15/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  My Mrtg have been tranfered 4 times since I did a modification loan. Every other company abided by the agreement but Shellpoint. Shellpoint took over the loan about 2yrs. ago. They have changed the amount of late fees and do not honor the grace period 16th of the month. I owed Fourteen Thousand and Five Hundred, when they took over. As of today 11-14-23, I was told it's Eighteen Thousand Two Hundred Nine Dollars and Twenty Eight Cent. Also they contacted the Mr. Ben at ******** and increased the insurance without my consent. Later the garage became damage and my fence torned down. This also increase my mortgage payment. I want to know how can they just change a binding agreement? They have also been calling and sending letters to refinance.

  

  Business response

  11/25/2023

  
  In review of your complaint, Shellpoint can confirm the unpaid principal balance as of the date of this communication is $14,157.16. At the time the loan was transferred to Shellpoint on January 26, 2022, the unpaid principal balance was $15,396.89, along with a deferred balance of $3,500.00. The deferred balance is not due until the loan has matured or when the loan is paid full. Enclosed for your review is a copy of the Loan History Statement confirming the deferred balance of the loan.
  
  Regarding the late charges on the loan, we have confirmed the loan was erroneously boarded with the late charge amount listed at the amount of $10.00. Therefore, in order to rectify this, we have completed the necessary loan maintenance to ensure the correct amount is assessed for a late charge, if the payment is received after the 15-day grace period. Additionally, to resolve this matter, we have agreed to remove the late charge balance of $189.65 from the loan. Enclosed for your review is a copy of the Loan History Statement confirming the removal of the late charge balance.
  
  Regarding your claims that Shellpoint increased your hazard insurance premium, Shellpoint does not have any control of the amount due for each of your escrowed items, which are property taxes and hazard insurance premium. Please keep in mind, the property taxes are determined by the taxing authorities in which your property is located. The hazard insurance premium is determined by your hazard insurance carrier, Illinois Fair Plan Association. In the event you disagree with the amount paid for your hazard insurance premium, Shellpoint encourages you to contact your insurance agent directly. In addition, if your property has suffered damages, to file a claim you will also need to contact your insurance agent to determine the steps needed to file an insurance claim against your property.
  
  Regarding the changes of your monthly payment amount, although your principal and interest payment of $78.58 is fixed, the monthly escrow payment may be adjusted each time the escrow account is analyzed. The escrow monthly payment is determined based on the amount due for your escrowed items.
  
  Per the review completed, the last escrow analysis was completed on October 25, 2023, which adjusted the monthly payment from $454.22 to $475.33 effective December 1, 2023. The analysis completed calculated an escrow shortage of $162.05, which was spread over a period of 12 months at a cost of $13.50 per month. A shortage occurs when the projected balance is less than the required balance. The escrow account is short in meeting the cushion requirement at the lowest point in the projected analysis.
  
  The monthly payment increased because there was increase in the hazard insurance premium. The unadjusted monthly escrow payment is calculated based on what is anticipated to be paid for the coming year. Therefore, Shellpoint must collect sufficient funds per month to have enough to pay the anticipated amounts when they are due. Additionally, Shellpoint is not able to overfund the escrow account, we are allowed to collect only sufficient funds to pay the escrow items, and a cushion of 1/6 of the total escrow amount. As noted on your escrow analysis, paying the shortage does not guarantee that your payment will remain the same as it was previously. 
  
  Regarding your claims of receiving calls regarding refinancing, if you are interested in refinancing, you may contact Newrez at ************ or **************. Our Originations Department will assist you with refinance options. In the event you do not want to be solicited, please contact our Customer Service Department, and the necessary updates will be made to your loan to ensure you do not receive any additional solicitations. 

• Initial Complaint

  11/13/2023

  Complaint Type:

  Billing Issues

  Status:

  Answered

  More info

  Shellpoint routinely charges for hazard insurance when they have proof the property is already insured. I have advised Shellpoint 3 times just this year that our property has insurance. I sent the proof of insurance documents to the stated email address 10/08/23 and 10/21/203. Each time I requested a response to verify it was received and I have NEVER received a response. Now I am being charged hazard insurance AGAIN. We go through this with Shellpoint EVERY YEAR. I am starting to believe this is an intentional business practice to charge their customers unlawful and unnecessary additional funds. I demand a response. I demand the hazard insurance placed on my property be immediately removed and any funds illegally charged be immediately reimbursed. Thank you, ******* ******

  

  Business response

  11/21/2023

  Your complaint states you have provided Shellpoint evidence of insurance twice in October 2023, yet you never received a response confirming evidence of insurance was received and a lender placed insurance (“LPI”) policy was placed on the property. Every year, you go through the same issues. you are requesting the LPI be cancelled and refunded.
  
  Pursuant to the terms of insurance requirements on the contract, for as long as the property is financed, it must be insured. It is the homeowner’s responsibility to provide the mortgage servicer with evidence of insurance. It is the homeowner’s responsibility to provide proof of insurance when requested. Since your property is a condo and your loan closed after January 1, 2012, you are required to provide both proof of your Homeowners Association (“HOA”) master hazard insurance coverage and unit owner’s (“HO6”) coverage for your property. Since insurance is required for your property, we will maintain insurance on the property by purchasing an LPI policy when proof of your insurance policies has not been received.
  
  Shellpoint is required to send a notice out no less than 45 days prior to a servicer purchasing insurance for a property. If needed, a second warning notice is sent out 30 days later, advising the homeowner once again of the intent to purchase insurance if proof of coverage is not received. This letter provides the insurance coverage information as well as the cost and provides the customer with 15 days to provide the needed proof of insurance before the purchase is made.
  
  When your preferred insurance (“HO6”) policy expired, notices requesting evidence of your HO6 policy were mailed June 27, 2022, and July 27, 2022. By August 12, 2022, we had not received the requested evidence of insurance and a HO6 LPI was purchased effective June 18, 2022 through June 18, 2023. Payments totaling $624.28 were disbursed for the HO6 LPI policy from September 12, 2022 through June 6, 2023.
  
  On May 2, 2023, an LPI HO6 Pre-Renewal Letter was mailed.
  
  Evidence of your HO6 policy with ****** ********* was received May 23, 2023, effective June 18, 2023 through June 18, 2024, and the HO6 LPI was cancelled effective June 18, 2023.
  
  Notices requesting evidence of your Homeowners Association (“HOA”) insurance policy were mailed on September 12, 2023 and October 12, 2023. By October 30, 2023, we had not received the requested evidence of insurance and a HOA LPI was purchased effective September 4, 2023 through September 4, 2024. Payment for the HOA LPI are yet to be disbursed.
  
  To cancel the HO6 LPI and refund the payments disbursed from September 12, 2022 through June 6, 2023, we required evidence of insurance from June 18, 2022 through June 18, 2023. Additionally, to cancel the HOA LPI, we require evidence of your HOA insurance policy from September 4, 2023 through September 4, 2023. This information must be provided in writing and can be faxed to our Insurance Department at ************ or emailed to *************************. You may also submit your insurance policy online at ********************************************, or mail it to the following address:
  
  Shellpoint Mortgage Servicing
  ***** * ***** **** *** **** ***** ** **********
  
  As of the date of this correspondence, the loan is next due for the December 1, 2023 installment for $760.38.
  
  Although we apologize for any inconvenience, we have been unable to determine that an error occurred after investigating your dispute. You have the right to request documentation supporting our determination.

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