ComplaintsforSouth Plains Abstract Co. Inc.

• Initial Complaint

  07/31/2023

  Complaint Type:

  Customer Service Issues

  Status:

  Answered

  More info

  The transaction described occurred from 7/1-7/27/2023. The title agent, ************************* failed to disclose she was married to the seller in our transaction, and the seller insisted we used this title agency and refused to proceed unless we chose them. When we realized the huge conflict of interest and complete lack of ethics, it was too late to change agencies. They are double dipping, forcing people to choose this awful title agency, and forcing profit for themselves off of sales transaction and title/insurance by lying about their relationship. Additionally, when we were stuck using their agency, it took almost 7 hours and multiple phone calls from myself, the realtor, and the lender to get the title agency to release wiring information. Theirs is the only title agency in the planet that is not forthcoming with that information (when they should be walking me through the wiring process if anything), and I strongly feel it was an attempt to cause us to miss the funding deadline so we would be forced to forfeit our escrow money and so they could steal it. They refused to get a survey done on the property and we had to schedule it ourselves even though this is something a title company should do. They took a simple transaction, made it super difficult, and lied throughout the whole process. Unethical and unprofessional.

  Business response

  08/15/2023

  Dear Sirs,

  In response to the complaint by ************************* against South Plains Abstract Company, I present the following. Attached please find Schedule D of the Title Commitment dated July 10th, 2023, and sent to all parties on July 17th, 2023, in which Item #2C clearly shows ownership of the ************* as *************************************************************************************** Attaching a Schedule D to a Title Commitment is the method of disclosure to all parties as to ownership of a title company. There was no false representation as to the ownership of this title company involved in this transaction. ******************** also submitted a complaint to the ***** ********** of ********** which is the governing agency for *************** companies, alleging the same offense. Our response to such complaint is also attached. *************** premiums in the ************** are promulgated and cannot be altered. ******************** was charged the same rate for title insurance as all buyers/sellers in the **************. Furthermore, the settlement fees collected at closing are the same exact settlement fees charged to all buyers/sellers in our office and there was no additional profit or income made in this transaction. The ************** audits title companies to detect whether buyers/sellers/real estate agents/lenders/any and all parties involved in a transaction are receiving a "kick-back" or discount for closing of transactions. Again, the exact same fees were charged to all parties involved in this transaction. In regards to releasing our wire information, title companies are allowed to have policies in place regarding the release of our bank account information in order to protect escrow funds contained in our escrow account. It is a means to protect ourselves and our clients escrow funds. Our policy is to only relay our wire information over the phone to a banking institution, of which ******************** and her real estate agent did not agree with. There was no malicious intention involved in the delay of releasing our wire information. The attorney for the underwriter in which we issued the title insurance policy on was concerned about the behavior of the buyer's real estate agent and borrower in this transaction, and requested we require ******************** to complete a form that would release South Plains Abstract from liability of any faults made by ******************** in initiating a wire herself. The form was never signed because ******************** obtained our wire information from a separate source. In response to the statement of refusal to order a survey, this title company does not order surveys for anyone. This information was conveyed in the email containing the delivery of the commitment, which I have attached. We, along with other small town title companies, do not order surveys due to the possibility of transactions being cancelled and the inability to collect for the cost of the survey which is then the responsibility of the title company.

  I believe I have responded to all items contained the the complaint by ********************. Thank you. 

   

  Customer response

  08/22/2023

  I am rejecting this response because: reasoning is unacceptable. It was not made publicly aware there was conflict of interest. Signing the closing documents as J&C Plus Five, LLC and later representing the title company as *************************** and ************************* is dishonest and obviously does not constitute disclosure. And in terms of wiring/surveys, just because **** would prefer not to actually assist clients by facilitating wire transfers or by ordering surveys, does not mean these practices are acceptable. **** may not provide these services for anyone, but should provide them for everyone as actual, legitimate title companies do. Additionally, I received communication from my home insurance company today that my first year premium wasnt paid from escrow. Why? We closed nearly one month ago. This should have been paid immediately and I am so amazed at the absolute incompetence of this institution. Or has my escrow money magically disappeared? Additionally, my name is spelled wrong in their excuse letter, in all future correspondence it should be spelled correctly as ***************** 

  Business response

  09/01/2023

  Payment for the borrowers insurance premium was sent via certified mail on 7/31/23. The title company received notice after hours on 8/22 that the payment for premium had yet to be received by the insurance company. On 8/23, the escrow officer checked with the issuing bank to see if the check had cleared, and it had not. The escrow officer further checked with the mailing and packing company whose services were utilized to mail the certified check and they were unable to locate such. On 8/23, a stop payment was issued on the first check, and a second check was issued for the borrowers insurance premium and overnighted via ***** same day. Tracking for the second check confirmed delivery by ***** to the insurance company on 8/24. Further,the title company received notice of delivery on 8/28 to the insurance company for the first check that was issued. The escrow officer confirmed on 8/31 that the insurance company received payment, and further confirmed that the insurance company deposited the newest check number and not the stop payment check. Tracking for both payments can be found attached to this response. South Plains Abstract Company is routinely audited by the ***** ********** of ********** and as such, escrow funds are routinely reconciled and accounted for by an independent certified accountant.  

  Customer response

  09/05/2023

  I am rejecting this response because: it outlines how the original mistake was corrected (at the urging of my lender, the mistake was not caught by SPAC), but there is no proof that **** ever actually sent the first checks for insurance and warranty. So Im forced to assume **** was too incompetent to mail off some checks or they had no intention of never mailing the checks.

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