MORTGAGE RIGHTS
Mortgage Loan Servicing Disputes Escrow Abuse
Most mortgages require homeowners to pay a fixed amount every month into escrow. Loan servicers pay property taxes and house insurance with the escrowed funds. When a payment is due and there are insufficient funds in the escrow account, the loan servicer "advances" the amount of the payment. Disputes arise when the servicer improperly raises the amount of the escrow payment. For example, if you do not escrow for property taxes, but the loan servicer pays the taxes anyway, you will be hit with a hefty bill. The loan servicer will calculate an amount to be paid every month to repay it for the taxes that it advanced. Since it paid the taxes for you, it will slap on a requirement that you escrow for your taxes. The servicer calculates the monthly amount needed to pay your taxes at the end of the year. So, each month you will be paying a double escrow -- the repayment for last year's taxes and the amount needed to pay taxes at the end of the current year. OUCH! Here is a real life example from the CFPB consumer complaint database (and our usual disclaimer that we cannot vouch for the truth of the statements in the database and are not implying that the statements are correct). "Our loan servicing was purchased by Ocwen XX/XX/XXXX. Shortly thereafter they started to impound our account for both taxes and insurance. Impounds have never been part of our loan agreement. When I called to question why they are charging impounds, no one could answer my question for the XXXX few months since my loan docs were n't uploaded to their system. So, they did n't have my loan docs, yet they were impounding my account. And of course, it cost me valuable time and many phone calls to finally have them read our loan docs and realize their error. Then, they did it again in XX/XX/XXXX by paying our property taxes and impounding our account. Again, without telling us and again not part of the loan docs. And again putting me through the hassle of getting this taken care of. They have been a disorganized mess from Day XXXX." Another common problem is the loan servicer's failure to pay taxes and insurance when due. These examples from the consumer complaint database illustrate the types of problems homeowners face when this happens, "My problems with my lender are so compiled. In XXXX I refinanced with Countrywide and I set up an escrow impound account. In XXXX I received notice I was in Tax Default for taxes not paid XXXX. I called my lender ( Bank of America ) and the gentleman on the phone in the escrow dept. Informed me that they used my impounds to pay a different parcel and that had to increase my mortgage pmt by $ 200+ mo to make up for their error ( for the next 12 mos. ). My mortgage payment on my note is {$1700.00} the payment now incl. Impounds {$2300.00}. My taxes {$3900.00} yr. My insurance {$780.00} yr. So since XXXX My lender ( COUNTRYWIDE, BANK OF AMERICA, XXXX, XXXX AND XXXX MORE TRANSFER I CANT REMEMBER ) has been comp letely mishandling my impounds, they refuse to work or even talk to me. They are harassing me about forclosure because I told them that until this is straightened out I will not be throwing more money away. This is out of control. With all of the penalties, late charges, interest and so on my calculations on this piece alone ( there are several more problems ) appear that I am owed close to {$60000.00}. I have been ripped off. Misled and Im spoken to in an awful tone. I will not throw not XXXX cent more to these vicious thieves. They will not touch my property. THIS IS WAR!!!!!" "We have a mortgage with Dovenmuehle Mortgage Inc. We had a escrow/impound account set up which taxes and insurance were to be paid out of. On both issues they dropped the ball never did they pay both taxes andinsurance on time. We became delinquent and had to pay for these out of pocket and now wait to be reimbursed. They sat on our $ and drew interest. Wrong! Whats the point of setting up a impound account?? This firm is shady and never does what they tell you via email or phone that they will do. I incurred late fees and spent countless hours on the phone to try and remedy everything." A loan servicer's failure to pay property taxes and insurance can have serious consequences for homeowners. Some have lost their homes through tax foreclosure. Others have been without insurance to pay for damages to their property. The icing on the cake? mortgage companies simply pass on to the homeowner late fees charged by the taxing authority and/or insurance company.
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 MORTGAGE RIGHTS
The site does not provide legal advice. Neither Susan LaCava nor her law firm, LaCava Law, S.C., represent you until there is a signed retainer agreement.
Mortgage Loan Servicing Disputes Escrow Abuse Most mortgages require homeowners to pay a fixed amount every month into escrow. Loan servicers pay property taxes and house insurance with the escrowed funds. When a payment is due and there are insufficient funds in the escrow account, the loan servicer "advances" the amount of the payment. Disputes arise when the servicer improperly raises the amount of the escrow payment. For example, if you do not escrow for property taxes, but the loan servicer pays the taxes anyway, you will be hit with a hefty bill. The loan servicer will calculate an amount to be paid every month to repay it for the taxes that it advanced. Since it paid the taxes for you, it will slap on a requirement that you escrow for your taxes. The servicer calculates the monthly amount needed to pay your taxes at the end of the year. So, each month you will be paying a double escrow -- the repayment for last year's taxes and the amount needed to pay taxes at the end of the current year. OUCH! Here is a real life example from the CFPB consumer complaint database (and our usual disclaimer that we cannot vouch for the truth of the statements in the database and are not implying that the statements are correct). "Our loan servicing was purchased by Ocwen XX/XX/XXXX. Shortly thereafter they started to impound our account for both taxes and insurance. Impounds have never been part of our loan agreement. When I called to question why they are charging impounds, no one could answer my question for the XXXX few months since my loan docs were n't uploaded to their system. So, they did n't have my loan docs, yet they were impounding my account. And of course, it cost me valuable time and many phone calls to finally have them read our loan docs and realize their error. Then, they did it again in XX/XX/XXXX by paying our property taxes and impounding our account. Again, without telling us and again not part of the loan docs. And again putting me through the hassle of getting this taken care of. They have been a disorganized mess from Day XXXX." Another common problem is the loan servicer's failure to pay taxes and insurance when due. These examples from the consumer complaint database illustrate the types of problems homeowners face when this happens, "My problems with my lender are so compiled. In XXXX I refinanced with Countrywide and I set up an escrow impound account. In XXXX I received notice I was in Tax Default for taxes not paid XXXX. I called my lender ( Bank of America ) and the gentleman on the phone in the escrow dept. Informed me that they used my impounds to pay a different parcel and that had to increase my mortgage pmt by $ 200+ mo to make up for their error ( for the next 12 mos. ). My mortgage payment on my note is {$1700.00} the payment now incl. Impounds {$2300.00}. My taxes {$3900.00} yr. My insurance {$780.00} yr. So since XXXX My lender ( COUNTRYWIDE, BANK OF AMERICA, XXXX, XXXX AND XXXX MORE TRANSFER I CANT REMEMBER ) has been comp letely mishandling my impounds, they refuse to work or even talk to me. They are harassing me about forclosure because I told them that until this is straightened out I will not be throwing more money away. This is out of control. With all of the penalties, late charges, interest and so on my calculations on this piece alone ( there are several more problems ) appear that I am owed close to {$60000.00}. I have been ripped off. Misled and Im spoken to in an awful tone. I will not throw not XXXX cent more to these vicious thieves. They will not touch my property. THIS IS WAR!!!!!" "We have a mortgage with Dovenmuehle Mortgage Inc. We had a escrow/impound account set up which taxes and insurance were to be paid out of. On both issues they dropped the ball never did they pay both taxes andinsurance on time. We became delinquent and had to pay for these out of pocket and now wait to be reimbursed. They sat on our $ and drew interest. Wrong! Whats the point of setting up a impound account?? This firm is shady and never does what they tell you via email or phone that they will do. I incurred late fees and spent countless hours on the phone to try and remedy everything." A loan servicer's failure to pay property taxes and insurance can have serious consequences for homeowners. Some have lost their homes through tax foreclosure. Others have been without insurance to pay for damages to their property. The icing on the cake? mortgage companies simply pass on to the homeowner late fees charged by the taxing authority and/or insurance company.
 MORTGAGE RIGHTS
 MORTGAGE RIGHTS
The site does not provide legal advice. Neither Susan LaCava nor her law firm, LaCava Law, S.C., represent you until there is a signed retainer agreement.
Mortgage Loan Servicing Disputes Escrow Abuse Most mortgages require homeowners to pay a fixed amount every month into escrow. Loan servicers pay property taxes and house insurance with the escrowed funds. When a payment is due and there are insufficient funds in the escrow account, the loan servicer "advances" the amount of the payment. Disputes arise when the servicer improperly raises the amount of the escrow payment. For example, if you do not escrow for property taxes, but the loan servicer pays the taxes anyway, you will be hit with a hefty bill. The loan servicer will calculate an amount to be paid every month to repay it for the taxes that it advanced. Since it paid the taxes for you, it will slap on a requirement that you escrow for your taxes. The servicer calculates the monthly amount needed to pay your taxes at the end of the year. So, each month you will be paying a double escrow -- the repayment for last year's taxes and the amount needed to pay taxes at the end of the current year. OUCH! Here is a real life example from the CFPB consumer complaint database (and our usual disclaimer that we cannot vouch for the truth of the statements in the database and are not implying that the statements are correct). "Our loan servicing was purchased by Ocwen XX/XX/XXXX. Shortly thereafter they started to impound our account for both taxes and insurance. Impounds have never been part of our loan agreement. When I called to question why they are charging impounds, no one could answer my question for the XXXX few months since my loan docs were n't uploaded to their system. So, they did n't have my loan docs, yet they were impounding my account. And of course, it cost me valuable time and many phone calls to finally have them read our loan docs and realize their error. Then, they did it again in XX/XX/XXXX by paying our property taxes and impounding our account. Again, without telling us and again not part of the loan docs. And again putting me through the hassle of getting this taken care of. They have been a disorganized mess from Day XXXX." Another common problem is the loan servicer's failure to pay taxes and insurance when due. These examples from the consumer complaint database illustrate the types of problems homeowners face when this happens, "My problems with my lender are so compiled. In XXXX I refinanced with Countrywide and I set up an escrow impound account. In XXXX I received notice I was in Tax Default for taxes not paid XXXX. I called my lender ( Bank of America ) and the gentleman on the phone in the escrow dept. Informed me that they used my impounds to pay a different parcel and that had to increase my mortgage pmt by $ 200+ mo to make up for their error ( for the next 12 mos. ). My mortgage payment on my note is {$1700.00} the payment now incl. Impounds {$2300.00}. My taxes {$3900.00} yr. My insurance {$780.00} yr. So since XXXX My lender ( COUNTRYWIDE, BANK OF AMERICA, XXXX, XXXX AND XXXX MORE TRANSFER I CANT REMEMBER ) has been comp letely mishandling my impounds, they refuse to work or even talk to me. They are harassing me about forclosure because I told them that until this is straightened out I will not be throwing more money away. This is out of control. With all of the penalties, late charges, interest and so on my calculations on this piece alone ( there are several more problems ) appear that I am owed close to {$60000.00}. I have been ripped off. Misled and Im spoken to in an awful tone. I will not throw not XXXX cent more to these vicious thieves. They will not touch my property. THIS IS WAR!!!!!" "We have a mortgage with Dovenmuehle Mortgage Inc. We had a escrow/impound account set up which taxes and insurance were to be paid out of. On both issues they dropped the ball never did they pay both taxes andinsurance on time. We became delinquent and had to pay for these out of pocket and now wait to be reimbursed. They sat on our $ and drew interest. Wrong! Whats the point of setting up a impound account?? This firm is shady and never does what they tell you via email or phone that they will do. I incurred late fees and spent countless hours on the phone to try and remedy everything." A loan servicer's failure to pay property taxes and insurance can have serious consequences for homeowners. Some have lost their homes through tax foreclosure. Others have been without insurance to pay for damages to their property. The icing on the cake? mortgage companies simply pass on to the homeowner late fees charged by the taxing authority and/or insurance company.
 MORTGAGE RIGHTS
 MORTGAGE RIGHTS
The site does not provide legal advice. Neither Susan LaCava nor her law firm, LaCava Law, S.C., represent you until there is a signed retainer agreement.
Mortgage Loan Servicing Disputes Escrow Abuse Most mortgages require homeowners to pay a fixed amount every month into escrow. Loan servicers pay property taxes and house insurance with the escrowed funds. When a payment is due and there are insufficient funds in the escrow account, the loan servicer "advances" the amount of the payment. Disputes arise when the servicer improperly raises the amount of the escrow payment. For example, if you do not escrow for property taxes, but the loan servicer pays the taxes anyway, you will be hit with a hefty bill. The loan servicer will calculate an amount to be paid every month to repay it for the taxes that it advanced. Since it paid the taxes for you, it will slap on a requirement that you escrow for your taxes. The servicer calculates the monthly amount needed to pay your taxes at the end of the year. So, each month you will be paying a double escrow -- the repayment for last year's taxes and the amount needed to pay taxes at the end of the current year. OUCH! Here is a real life example from the CFPB consumer complaint database (and our usual disclaimer that we cannot vouch for the truth of the statements in the database and are not implying that the statements are correct). "Our loan servicing was purchased by Ocwen XX/XX/XXXX. Shortly thereafter they started to impound our account for both taxes and insurance. Impounds have never been part of our loan agreement. When I called to question why they are charging impounds, no one could answer my question for the XXXX few months since my loan docs were n't uploaded to their system. So, they did n't have my loan docs, yet they were impounding my account. And of course, it cost me valuable time and many phone calls to finally have them read our loan docs and realize their error. Then, they did it again in XX/XX/XXXX by paying our property taxes and impounding our account. Again, without telling us and again not part of the loan docs. And again putting me through the hassle of getting this taken care of. They have been a disorganized mess from Day XXXX." Another common problem is the loan servicer's failure to pay taxes and insurance when due. These examples from the consumer complaint database illustrate the types of problems homeowners face when this happens, "My problems with my lender are so compiled. In XXXX I refinanced with Countrywide and I set up an escrow impound account. In XXXX I received notice I was in Tax Default for taxes not paid XXXX. I called my lender ( Bank of America ) and the gentleman on the phone in the escrow dept. Informed me that they used my impounds to pay a different parcel and that had to increase my mortgage pmt by $ 200+ mo to make up for their error ( for the next 12 mos. ). My mortgage payment on my note is {$1700.00} the payment now incl. Impounds {$2300.00}. My taxes {$3900.00} yr. My insurance {$780.00} yr. So since XXXX My lender ( COUNTRYWIDE, BANK OF AMERICA, XXXX, XXXX AND XXXX MORE TRANSFER I CANT REMEMBER ) has been comp letely mishandling my impounds, they refuse to work or even talk to me. They are harassing me about forclosure because I told them that until this is straightened out I will not be throwing more money away. This is out of control. With all of the penalties, late charges, interest and so on my calculations on this piece alone ( there are several more problems ) appear that I am owed close to {$60000.00}. I have been ripped off. Misled and Im spoken to in an awful tone. I will not throw not XXXX cent more to these vicious thieves. They will not touch my property. THIS IS WAR!!!!!" "We have a mortgage with Dovenmuehle Mortgage Inc. We had a escrow/impound account set up which taxes and insurance were to be paid out of. On both issues they dropped the ball never did they pay both taxes andinsurance on time. We became delinquent and had to pay for these out of pocket and now wait to be reimbursed. They sat on our $ and drew interest. Wrong! Whats the point of setting up a impound account?? This firm is shady and never does what they tell you via email or phone that they will do. I incurred late fees and spent countless hours on the phone to try and remedy everything." A loan servicer's failure to pay property taxes and insurance can have serious consequences for homeowners. Some have lost their homes through tax foreclosure. Others have been without insurance to pay for damages to their property. The icing on the cake? mortgage companies simply pass on to the homeowner late fees charged by the taxing authority and/or insurance company.
 MORTGAGE RIGHTS
The site does not provide legal advice. Neither Susan LaCava nor her law firm, LaCava Law, S.C., represent you until there is a signed retainer agreement.  MORTGAGE RIGHTS