Complaints

The complaint text that is displayed might not represent all complaints filed with BBB. Some consumers may elect to not publish the details of their complaints, some complaints may not meet BBB's standards for publication, or BBB may display a portion of complaints when a high volume is received for a particular business.

• Initial Complaint

  Date:10/07/2022

  Type:Billing Issues
  Status:

  AnsweredMore info

  Complaint statuses

  Resolved:

  The complainant verified the issue was resolved to their satisfaction.

  Unresolved:

  The business responded to the dispute but failed to make a good faith effort to resolve it.

  Answered:

  The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.

  Unanswered:

  The business failed to respond to the dispute.

  Unpursuable:

  BBB is unable to locate the business.

  I have repeatedly requested Shellpoint to include Homeowners Insurance in the escrow account, but the mortgage company failed to do so. I have received letters each year from their insurance department to demand proof of homeowners insurance or they’ll bill me their expensive insurance. This is time consuming and ridiculous, merely bad business practices. We followed their instructions last year to upload the documents and letter with ink signature, I contacted Shellpoint and they said they dont have it in record of such requests.

  

  Business Response

  Date: 10/25/2022

  Saturday 8:00AM-3:00PM
  
  October 17, 2022
  
  ****** *****
  **** **** *****
  ********** ** *****
  
  Via email: **********************
  
  
  RE: BBB Complaint #: ********
  Reference #: **********
  Account #: *********
  Homeowners: ******** ***** *** ***** *****
  Property: **** ******* ****
  ********** ** *****
  
  
  Dear ****** *****:
  
  This letter is in response to the Better Business Bureau complaint received on October 7, 2022 and correspondence received directly
  from you on October 3, 2022, and October 12, 2022, regarding the subject property. Wilmington Savings Fund Society, FSB, not in
  its individual capacity, but solely as owner trustee for **** ********* Trust is currently the owner of the account number ending
  in ****. Shellpoint Mortgage Servicing (“Shellpoint”) began servicing the loan on the behalf of the owner on or about November 1,
  2018.
  
  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 in 2021 you requested for your insurance policy premium to be added to and paid through your escrow
  account; however, Shellpoint has not completed this as we have requested proof of insurance each year. You contacted Shellpoint
  regarding the adding of the insurance policy premium to the escrow account and were advised we did not receive a request. You are
  requesting Shellpoint to add the insurance policy premium to the escrow account as it is time consuming to gather the requested
  documents each year.
  
  In researching your complaint, our records indicate we received your signed request to escrow hazard insurance on November 22,
  2021. On the same day, we sent the enclosed response to ********************** outlining the requirements for this, including a
  copy of the hazard insurance declaration page(s) and the policy receipt showing the policy was paid. Our records indicate we only
  received proof that the Travelers hazard policy number ********* *** * for the coverage period of October 25, 2021 to October 25,
  2022 was paid.
  
  On October 5, 2022, a request was entered into our system to escrow the hazard insurance policy. A review completed on October 6,
  2022 determined the request did not meet guidelines, as we required declaration page(s) and proof the October 25, 2022 to October
  25, 2023 policy is paid current in order to escrow the insurance policy.
  
  On October 12, 2022, we received an Acord document as proof of insurance for the October 25, 2022 to October 25, 2023 coverage
  period; however, this did not meet the document guidelines detailed above. As a courtesy, on October 14, 2022, our Insurance
  department obtained a copy of the declaration page and receipt showing policy number ********* *** * was renewed and paid for
  the October 25, 2022 to October 25, 2023 coverage period. These documents, together with your previous signed request, allowed us
  to update the hazard line to lender responsibility on October 17, 2022; this means the hazard insurance is now escrowed.
  
  
  AM10172022A
  
  
  As of the date of this correspondence, the loan is current with the next installment of $1,903.91 due November 1, 2022.
  
  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.
  
  Should you have further questions, you may reach us through our Contact Us page by visiting our website, www.shellpointmtg.com,
  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 ************ Monday through
  Friday between the hours of 8:30 a.m. to 5:30 p.m. Eastern time for any questions regarding this response.
  
  
  Sincerely,
  
  Casia B*****
  Compliance Department
  Shellpoint Mortgage Servicing
  

• Initial Complaint

  Date:10/05/2022

  Type:Billing Issues
  Status:

  AnsweredMore info

  Complaint statuses

  Resolved:

  The complainant verified the issue was resolved to their satisfaction.

  Unresolved:

  The business responded to the dispute but failed to make a good faith effort to resolve it.

  Answered:

  The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.

  Unanswered:

  The business failed to respond to the dispute.

  Unpursuable:

  BBB is unable to locate the business.

  Shellpoint acted negligently by purchasing insurance for our property despite the fact that proof of coverage, as requested, had been supplied multiple times.
  
  1. Shellpoint requested proof of HOA insurance, as it does annually, in a letter dated July 8, 2022. (Attached: Exhibit A)
  2. Proof of HOA insurance was attempted to be uploaded via the website address provided in Exhibit A. The website address was inoperative, and returned an error despite multiple attempts.
  3. Proof of HOA insurance (Attached: Exhibit D) was faxed to the number in Exhibit A on 8/1/22 (Attached: Exhibit B and C).
  4. Despite proof being faxed, a second written request was sent dated 8/8/22. I assumed this request was in error because my fax had not been processed yet.
  5. On 8/30/22 I received notice dated 8/24/22 that Shellpoint had not received our proof of insurance. I called the customer service number provided and spoke with representative kbenjamin. Kbenjamin informed me that Shellpoint was requesting proof of both HOA and HO6 insurance... despite us never having received a written request for proof of HO6 insurance. All requested certificates were emailed to kbenjamin while on the phone, and receipt of emails was verbally confirmed by kbenjamin. (Attached: Exhibit E & F)
  6. I considered the matter closed.
  7. On September 29 I received an escrow statement alleging we owe Shellpoint $719.61 for insurance purchased beginning September 1 and ongoing. (Attached separately)
  
  Shellpoint asserts in Exhibit A: "You must pay us for any period during which the insurance we buy is in effect but you do not have insurance." This standard was never met. There was no point in time when HOA or HO6 coverage lapsed or did not exist. Proof of insurance was provided. It is Shellpoint's error and we expect a full refund of any insurance costs Shellpoint alleges.

  

  Business Response

  Date: 10/14/2022

  
  
  Pursuant to the terms of insurance requirements on the
  mortgage security instrument, for as long as the property is financed, it must
  be insured. Per Section 5 of the enclosed mortgage security instrument; it is
  the homeowner’s responsibility to provide proof of insurance when requested. Your
  loan requires flood insurance, hazard insurance for your unit (also known as an
  HO6 or “walls in” policy), and HOA hazard insurance (also known as a Master
  Condo Hazard or “walls out” policy). By providing us with timely proof of the
  annual renewals of each policy, you can prevent Lender Placed Insurance (“LPI”)
  from being added to your loan.
  Please accept
  our sincere apologies as the information regarding the HO6 requirement was not
  clearly listed in our LPI warning notices. When a request is sent to provide a
  copy of your HOA insurance, proof of HO6 insurance coverage will also be
  required for loans closed after January 1, 2012, as homeowners will be required
  to obtain Unit Owners (“HO6”) coverage for the property secured under the
  mortgage. This may also be required if your HOA policy does not include
  coverage for Betterments and Improvements. This ensures any modifications or
  improvements done to your property are covered under the insurance policy.
  
  In review of your complaint, it was determined that you
  previously provided proof of valid coverage for the HOA policy for your
  condominium and HO6 insurance policy through ***** Insurance Agency, LLC on
  August 30, 2022. Upon the receipt of your complaint, we reached out to the
  Insurance Department to clarify the reason why the LPI policy was still added
  to the loan. During the review completed, it was determined that the LPI was
  added due to an error in showing a lapse in insurance coverage from July 1,
  2022 through October 10, 2022. Because it was confirmed that the HO6 policy was
  active during the above noted time frame, the LPI policy was cancelled and a
  request to refund the LPI premium previously paid was submitted.
  Finally, once the LPI premium disbursed is refunded to the
  escrow account, a request to complete a new escrow analysis will be submitted
  to update your monthly payment accordingly. Please allow seven to ten business
  days for the escrow account to be refunded and analyzed.
  As of the date of this letter, the loan is next due for the
  November 1, 2022 monthly installment of $1,356.33, subject to change upon
  completion of the escrow account analysis.
  Please accept our sincere apologies for any inconvenience this
  matter may have caused. Please know that Shellpoint takes its customer service
  obligations very seriously and your concerns have been brought to the attention
  of the appropriate people within our organization.

• Initial Complaint

  Date:10/05/2022

  Type:Billing Issues
  Status:

  AnsweredMore info

  Complaint statuses

  Resolved:

  The complainant verified the issue was resolved to their satisfaction.

  Unresolved:

  The business responded to the dispute but failed to make a good faith effort to resolve it.

  Answered:

  The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.

  Unanswered:

  The business failed to respond to the dispute.

  Unpursuable:

  BBB is unable to locate the business.

  In December 2021, I contacted Shellpoint Mortgage Servicing regarding a partial release of 2 acres from my loan # *********** I was provided with a package and instructions on what was needed to get this done. I completed the process and sent everything over to them by May 2022. They were then supposed to order an appraisal, the cost of which has already been posted to my mortgage account. It took them 2 months to get the appraisal. My last correspondence from the Partial Release Department (PR dept) was in July 2022, despite my repeated emails. The customer service department's (CS dept) inhouse correspondence with the PR dept has apparently been met with silence as well since I haven't heard from them either. In the July email from the PR dept, the agent stated they were sending the request to the lender for approval. Since then, all of my contact with them, the PR dept, and thru the CS dept has been met with silence. No letters, emails, or phone calls. Come December 2022, it will be a year since I started the process and 6 months since they supposedly sent the request to the lender. The company is setup so that any contact with the PR dept is either thru an email or via the CS dept. No one in the PR dept will accept or can receive a direct phone call, at least that's what I'm told when I call and ask to speak with them. Since they won't answer my emails or the correspondence thru the CS dept, I am left at the mercy of the company. I have numerous issues with the company and this transaction. The most concerning are listed below.
  1. Handling time of transaction
  2. Failure to ACTIVELY communicate status
  3. I question the need to take this length of time, considering my loan value versus the new appraised value. LV $170k, APV $500k
  
  I just want to get this done so I can use the funds to take care of my quadriplegic, bed ridden daughter. I lost my entire immediate family in the accident that injured her and I need the funds.

  

  Business Response

  Date: 10/14/2022

  Shellpoint has
  received your request and all required documents for review of your request for
  a partial release of your loan. Our records show the valuation of your property
  was completed to show the before and after value/lot size of the property.
  Shellpoint then reviews the request based on if the release would have a
  detrimental effect on the value of the property securing the mortgage. Once our
  review is completed the information is then sent over to the investor of your
  loan for final approval.
  
  Please note,
  these reviews are complete on a first come first serve basis. Although we
  strive to provide a response as quickly as possible, final approval by the
  investor is needed before a decision can be communicated. Shellpoint has
  escalated your review and on October 13, 2022, we received final approval from
  your investor for the partial release.
  
  Please allow
  seven to ten business days for us to finalize the partial release. Please note,
  our partial release department does not make or receive phone calls, however,
  if you have any additional questions or concerns regarding your approval,
  please contact our partial release department at [email protected].
  If you need immediate attention, please email the supervisor for this
  department Tiffany K********* at ************************************.

• Initial Complaint

  Date:10/03/2022

  Type:Product Issues
  Status:

  AnsweredMore info

  Complaint statuses

  Resolved:

  The complainant verified the issue was resolved to their satisfaction.

  Unresolved:

  The business responded to the dispute but failed to make a good faith effort to resolve it.

  Answered:

  The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.

  Unanswered:

  The business failed to respond to the dispute.

  Unpursuable:

  BBB is unable to locate the business.

  I sold my Co-Op apartment in NYC on 10/6/2021. Prior to closing, NewRez (my mortgage company) had lost my stock certificate, which affected my ability to close the sell of my property. In order to close, my property management office had to generate another stock certificate for $400. NewRez's attorneys got involved (*** ****** ** ***** ** *******) and advised me to pay the $400 during closing (for a new stock certificate to be generated) and get reimbursed from NewRez post closing. Their attorneys had provided me with proper reimbursement forms for NewRez.
  
  After several attempts to fax in all the required documentations (closing statement, reimbursement forms, canceled check) and spoke to NewRez Customer Service Reps numerous times after 10/6/21, NewRez had come up with many excuses not to reimburse me.
  
  The bottom line is that NewRez had lost my stock certificate; a document they were supposed to provide safe keeping as a lien on the mortgage, and return it when I was selling my unit. They impacted my ability to sell my Co-Op apartment in a timely manner. In fact, they delayed my closing by 2 months.
  
  I am very disappointed in the manner they're handling my reimbursement ($400). I had a mortgage with them since 2003 and not once was my mortgage payment late. I appreciate any assistance you (BBB) can provide to help me obtain my reimbursement. Thanks you!

  

  Business Response

  Date: 10/13/2022

  We apologize
  for any dissatisfaction you encountered in dealing with our associates. Our
  policy and practice are to conduct all communications in a courteous and
  professional manner and to, at all times, treat our customers and third parties
  with respect. We do not tolerate unprofessional behavior from any of our
  associates. The responsible department management was notified of your concerns.
  
  Upon the receipt of your complaint, we contacted our
  Release of Lien Department to validate your claims regarding Newrez losing the
  stock certificate. Please note, when an account is closed, we begin
  gathering the documents held as security on the account from our custodian. A
  custodian is a facility outside of Newrez that guarantees the documents are
  securely held for our homeowners as well as us.
  
  As you know, the
  loan was paid in full on June 3, 2021. At the time the loan was paid in full,
  we proceeded to request the collateral file for your loan from the custodian in
  order to send you the required documentation indicating the loan was paid in
  full, which were sent on August 2, 2021. At the time the collateral file was
  received, it included an Affidavit of Lost Stock Certificate and Proprietary
  Lease, which was issued because the Stock Certificate was not in the collateral
  file we received in our office and included with the paid in full documents on
  August 2, 2021.
  
  After the
  review completed, Newrez agreed to reimburse the amount of $400.00 previously
  paid by you to obtain a new Stock Certificate as we were unable to supply with
  the requested document. The requested reimbursement was sent via check number
  *******, which has been sent via ***** tracking number ************ on October
  11, 2022.   
  
  Please accept our sincere apologies for any
  inconvenience this matter 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.

• Initial Complaint

  Date:10/03/2022

  Type:Order Issues
  Status:

  AnsweredMore info

  Complaint statuses

  Resolved:

  The complainant verified the issue was resolved to their satisfaction.

  Unresolved:

  The business responded to the dispute but failed to make a good faith effort to resolve it.

  Answered:

  The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.

  Unanswered:

  The business failed to respond to the dispute.

  Unpursuable:

  BBB is unable to locate the business.

  Newrez placed homeowner insurance on my house for which I already had insurance and I explained this to the agent I was speaking with. He mentioned that it would be removed and to continue to pay my mortgage which I did on time for June, July and August. As I'm in the middle of buying a new home and was keeping my credit up to date I was told by my new mortgage company that Newrez put a negative mark against my credit. I got on the phone with Newrez and was told that it would be corrected and to give them a call back as I was not late with the payment. I contacted the company again and found that it wasn't removed and that the weren't going to remove it. I have been told so many different stories by so many different people that now my credit score has dropped I have never been late with a payment with them and not sure why they are doing this. This needs to be corrected immediately.

  

  Business Response

  Date: 10/13/2022

  Pursuant to the
  terms of insurance requirements on the mortgage, for as long as the property is
  financed, it must be insured, and it is the homeowner’s responsibility to
  provide proof of insurance when requested. Since hazard insurance is required
  for your property, your mortgage servicer will maintain insurance on the
  property by purchasing hazard insurance when proof of a preferred insurance
  policy has not been received. A preferred policy is defined as an insurance
  policy purchased by the homeowner, not the mortgage servicer. In addition,
  per the insurance requirements listed in the security instrument, the cost of
  purchasing the LPI coverage shall become an additional debt of the homeowner.
  
  When active or
  sufficient proof of insurance is not available, Newrez is required to send the notices
  requesting proof of insurance out no less than 45 days prior to purchasing
  insurance for a property. If needed a second notice is sent out 30 days
  later, advising once again of the intent to purchase insurance if proof of
  coverage is not received. This letter provides the homeowner with an additional
  15 days to provide the needed proof of insurance before a LPI policy is
  purchased on your behalf. 
  
  Our records
  show we received notification on December 6, 2021 that policy number
  ***************** had cancelled effective June 2, 2021. As a result, on
  December 13, 2021, a notice was sent out advising you proof of insurance
  coverage was needed, and our intent to purchase LPI coverage if proof of
  coverage was not provided. When no proof of acceptable insurance was received a
  second notice was sent out on January 12, 2022, and on January 28, 2022, the
  LPI coverage was purchased.
  
  Please see the attached for our full response. 
  

• Initial Complaint

  Date:10/03/2022

  Type:Billing Issues
  Status:

  AnsweredMore info

  Complaint statuses

  Resolved:

  The complainant verified the issue was resolved to their satisfaction.

  Unresolved:

  The business responded to the dispute but failed to make a good faith effort to resolve it.

  Answered:

  The business addressed the issues within the complaint, but the consumer either a) did not accept the response, OR b) did not notify BBB as to their satisfaction.

  Unanswered:

  The business failed to respond to the dispute.

  Unpursuable:

  BBB is unable to locate the business.

  Horrible, antiquated company that does not make paying off a loan easy. If you are considering using them, don't!
  You cannot make extra payments through your bank. I was repeatedly charged late payments, not because I was late, but because I OVERPAYED!
  Reading other reviews, I'm sure I was supposed to read the lengthy rules they have for servicing our loan. Silly me, I trusted the company. I've had multiple other mortgages and NEVER had trouble overpaying.
  I called and a representative did reverse the most recent "late" fees. She also told me that to overpay we'd have to pay through their website. So I set up a recurring payment for $500 over my mortgage amount. When I next logged in, I found that only $450 additional is going to my principal. Where is the other $50?
  I contacted the company through an online form a week ago. Yesterday I received a letter in the mail saying that they are looking into the problem. Today I tried to log in to see about my last payment (yesterday) and the website was unavailable.
  I have NEVER experienced such a difficult company.
  Be sure to read ALL of the fine print. After reading other reviews, I'm sure they will come up with some lame reason to steal the extra $50 from my payment.

  

  Business Response

  Date: 10/10/2022

  In review of the loan, we have previously responded to your
  concerns via our response dated September 30, 2022, which confirms the
  necessary updates were conducted to ensure the correct amount is applied as
  additional principal. To clarify this matter, the below information is provided.
  
  Shellpoint
  makes every effort to post payments as requested. If instructions are not
  included with overages received, the funds are applied to the account in
  accordance with the payment hierarchy, which posts partial payments on current loans to fees, and then principal payments. Please
  understand, bill-pay payments do not transmit instructions to us.
  
  According to
  our records, the loan is currently enrolled in our Automated Clearing House
  (“ACH”) monthly recurring payment program, with the first payment scheduled to
  be automatically deducted from your bank account on September 1, 2022. You
  enrolled in our ACH payment program via our customer web portal, www.newrez.com, and you requested an
  additional principal payment of $450.00 be deducted along with the monthly
  payment of $953.67, for a total payment of $1,403.67. In accordance with the
  ACH payment program, Newrez began to automatically deduct the above amount on September
  1, 2022 and applied the funds in accordance with your instructions. Enclosed
  for your review is a copy of the ACH confirmation notice sent on July 17, 2022
  showing the total draft amount to be $1,403.67.
  
  Prior to the
  loan entering our ACH payment program, your payments were received via your
  bank’s online bill pay service. As mentioned above, payments remitted via bill
  pay, do not transmit posting instructions that you may attempt to send with the
  payment. The enclosed payment history reflects the first late fee for this loan
  was initially assessed on May 17, 2022, as the May 1, 2022 monthly installment
  was not received in full within the 15-day grace period allotted. On May 25,
  2022, a payment of $500.00 was received and deposited in unapplied funds
  (“UAF”), as the amount received was not sufficient to cover the May 1, 2022 monthly
  installment. On May 27, 2022, a payment of $1,453.67 was received via your bill
  pay, from which $953.67 was posted to the May 1, 2022 monthly installment, $29.18
  posted to late fees, and the remaining $467.15 was posted as additional
  principal. On the same day, $500.00 was removed from UAF and posted to the
  principal balance. On June 27, 2022, a payment of $1,450.00 was received via bill
  pay, of which $953.67 was posted to the June 1, 2022 monthly installment, $29.18
  posted to late fees, and the remaining $467.15 was posted to the principal
  balance.
  
  On July 7,
  2022, you contacted Newrez regarding the receipt of the 17-day delinquency
  notice. At that time, the service representative explained that due to the
  receipt of partial payments, the funds were applied to the principal balance
  rather than to the June 1, 2022 monthly installment. Please be advised, the payment hierarchy requires a full payment to be received
  before a payment can be applied to the due date. Partial payments received will
  be placed in unapplied funds if the loan is delinquent or due for the current
  month. The funds will be held in unapplied funds until additional funds are
  received to satisfy a full payment. Once a full payment has been received, the
  funds will be removed from unapplied funds and applied to the loan.
  
  As a result of
  the telephone conversation on July 7, 2022, a request was entered to have the
  funds initially received on May 25, 2022 of $500.00 and the excess amount
  received with the May 27, 2022 payment of $496.33, be reversed. Once the funds
  were reversed and combined, $953.67 was posted to the June 1, 2022 monthly
  installment, while the excess amount of $13.48 was posted to unapplied funds. As
  a result of the request to have the payments reversed, the payment of $1,450.00
  received on June 27, 2022 was reversed and re-posted to the loan as follows;
  $953.67 posted to the July 1, 2022 installment, and the remaining $496.33 was
  combined with the UAF balance of $13.48 and a principal only payment of $509.81
  was posted.
  
  The last
  payment received for the loan prior to entering in our ACH payment program was
  processed via our customer web portal on July 27, 2022 for $1,353.67, in which
  $953.67 was posted to the August 1, 2022 monthly installment and the remaining
  amount of $400.00 was posted as additional principal.
  
  As of the date
  of this letter, the loan is next due for the November 1, 2022 monthly
  installment of $953.67, which will be automatically drafted from your bank
  account on November 1, 2022.
  
  Although Newrez apologizes
  for any inconvenience this matter has caused, we have been unable to determine
  that an error occurred after investigating your dispute. You have the right to
  request documentation supporting our determination