Newrez has defeated a class action lawsuit regarding "zombie" second mortgages, after a judge rejected a borrower's arguments around a lack of monthly statements from the servicer. Following a bankruptcy, Hodges didn't receive any monthly statements for the loan between 2008 to 2024, before Shellpoint said she owed just over $200,000 and threatened foreclosure. After the bankruptcy discharge, the homeowner said she stopped receiving monthly statements for the second lien. The servicer began sending her monthly statements and said she owed just over $100,000 in interest for a total of $200,090.51. The company acknowledged not sending her monthly statements because of her bankruptcy.