Hi,

I received my SPS acceptance letter for my "short pay" on my 2nd Mortgage. I have a question. My acceptance letter reads exactly like their "short sale" acceptance letter with one exception. It says from the proceeds of a refinance. Was this the same for anyone else out there?

This is the basic wording as well as a synopses of the 3 points.

Select Portfolio services, Inc. (SPS), the mortgage servicer on the above referenced account, received your request to accept a compromised payoff from the proceeds of the refinance of the above referenced property, or "Short Payoff". Please be advised that SPS aggress to accept your proposed Short Payoff and will release the leon on the property, contingent upon the following terms.

1. SPS must receive the net proceeds of the short pay amount.

2. is a copy of the final HUD-1 Settlement Statement (of which there is none)

3. That if theres any money from the net proceeds above the "Short Payoff value" from the refinance SPS gets it. (This is a "Short pay" not a refinance so again there won't be any "net proceeds")

As this is a short pay there will not be a HUD settlement. There is no refinance so there will be no net proceeds.

Is this something anyone else has received? If so did you pay SPS the amount of your "short pay" and did SPS release the lien afterward.

It makes me very uneasy to pay the amount when the letter is so contrary to my situation. My fear is that I will pay and then when I don't produce the HUD settlement statement, SPS will not release the lien and I'll be out a considerable amount of money and be without recourse.

SPS says this is the only acceptance letter for short pay's.

Any suggestions?

Hopeful Borrower