Product: Mortgage

XXXX XXXX XXXX, XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX, XXXX XXXXXXXX XX/XX/XXXX Consumer Financial Protection Bureau Complaint against : Fay Servicing XXXX  XXXX XXXX, XXXX XXXX XXXX XXXXXXXX XXXX XXXXXXXX ( www.fayservicing.com ) Complaint Part 1 : XXXX XXXX XXXX has XXXX commercial mortgage loans which are serviced by Fay Servicing where their escrow department made several errors in paying the XXXX property taxes from out escrow accounts. We became aware of the problem after we received some delinquent XXXX property tax notices. After auditing our loans, we found that Fay Servicing had a ) Not paid some property taxes when due and b ) Incorrectly paid property taxes out on properties that were sold and no longer part of the loan portfolio. 
The original loans had multiple properties associated with each loan. The taxes on sold properties should never have been paid out. XXXX XXXX XXXX was required to pay all prorated property taxes at the time of closing for each property sold. 
We calculate a total of {$67000.00} that Fay Servicing needs to refund back to XXXX XXXX XXXX Escrow Accounts. 
We have tried to work directly with XXXX XXXX Account Representative, the Assistant Vice President of the Commercial Account Management, and the President of the Commercial Account Management. 
1. We have emailed all documentation to these departments, on XX/XX/XXXX. 
2. We sent a certified letter to Fay Servicing Escrow/Customer Service Department , on XX/XX/XXXX. 
3. We spoke via a telephone conference with XXXX XXXX, the President of the Commercial Account Management, on XX/XX/XXXX. 
Supporting Documentation has been attached. 

Complaint Part 2 : Fay Servicing has erroneously charged lender-placed hazard insurance and pulled unauthorized payment for this insurance from XXXX XXXX XXXX escrow accounts. 
On Loan XXXX which is serviced by Fay Servicing- we were incorrectly charged {$3900.00} XXXX XXXX XXXX on XX/XX/XXXX. 
On Loan XXXX which is serviced by Fay Servicing- we were incorrectly charged {$1300.00} Lender-Placed Hazard Insurance on XX/XX/XXXX. The property was sold on XX/XX/XXXX. After reaching out to Fay Servicing several times to correct, they did issue a partial credit back towards our escrow account in the amount of {$670.00}. They have ignored our requests to refund the full amount incorrectly charged. Fay Servicing still owes XXXX XXXX XXXX  {$670.00}. 
We have tried for over XXXX months to work directly with Fay Servicings Account Representative and several Customer Service Representatives providing documented proof of the error. A representative from our insurance agency also provided documented proof of coverage directly to Fay Servicing. 
1. Two of the properties were Sold and no longer part of the loan portfolio.

2. One of the properties had insurance coverage and was listed on our insurance policy through XXXX XXXX XXXX XXXX XXXX Policy XXXX. Therefore, it should never have been charged additional insurance coverage. 
We calculate a total of {$3900.00} that Fay Servicing needs to refund back to XXXX XXXX XXXX Escrow Account for Loan XXXX. 
We calculate a total of {$670.00} that Fay Servicing needs to refund back to XXXX XXXX XXXX  Escrow Account for Loan XXXX. 
Supporting Documentation can be sent. 

Complaint Part 3 : XXXX XXXX XXXX has mortgages for ( XXXX ) Condominium Buildings that were serviced by Fay Servicing on ( XXXX ) separate loans. ( Loan XXXX, XXXX, XXXX, XXXX ) All of the Condominiums were sold at the same time to the same buyer on XX/XX/XXXX. We have had several problems with Fays servicing payoff department with this transaction. 

1. Our Title company had to reach out to Fays Payoff Department multiple times to obtain payoff statements. When our title company became worried that Fay Servicings lack of response could cause the property sale to not be completed on time, our office had to get involved in calling and emailing Fay Servicing to address our payoff requests. This took many days and man hours. There are many legal & financial repercussions to stopping the sale of a property under contract.

2. On XX/XX/XXXX our Title company disbursed the funds and wired ( XXXX ) payments totaling {>= $1,000,000} to Fay Servicing. There is a mortgage clause on these four loans for partial payoff. ( A partial payoff would occur when a single property was sold and paid off on a multi-property loan which all of these were. ) The special requirement was 120 % of principal balance be paid at the time of each partial payoff payment until the final payment was made to close a loan. Because of this clause XXXX XXXX XXXX had to overpay {>= $1,000,000} to Fay Servicings payoff department. Once payment was applied to our loan accounts by Fay Servicing these overpayments should have been refunded back to XXXX XXXX XXXX in a timely manner. That has not happened. 


Here is a breakdown of refunds due on these overpayments : Loan XXXX = {$400000.00} Loan XXXX = {$250000.00} Loan XXXX = {$260000.00} Loan XXXX = {$140000.00} We have tried to work directly with Fay Servicings Account Representative, the Assistant Vice President of the Commercial Account Management, and the President of the Commercial Account Management. 
1. We have emailed all documentation to these departments starting on XX/XX/XXXX. 
2. We sent a certified letter to Fay Servicing Escrow/Customer Service Department XXXX XXXX XX/XX/XXXX. 
3. We spoke via a telephone conference with XXXX XXXX, the President of the Commercial Account Management, on XX/XX/XXXX. 
As of XX/XX/XXXX, Fay Servicing is still erroneously holding {$660000.00} that XXXX XXXX XXXX is due back. 
Supporting Documentation can be sent Complaint Part 4 : XXXX XXXX XXXX wired a mortgage payment for ( XXXX ) Loans on XX/XX/XXXX, in the amount of {$10000.00}. On XX/XX/XXXX, we emailed, our account representative, a copy of the wire confirmation and a bill payment stub showing the loan accounts and the detail breakdown of how the payments were to be applied to our accounts. He did not apply our payment. 
On XX/XX/XXXX, XXXX, XXXX, and XX/XX/XXXX we emailed the Account Manager & the Assistant Vice President of the Commercial Account Management, asking for our payments to be applied. They have not apply our payment. 
On XX/XX/XXXX, we spoke on a telephone conference with Fay Servicings President of the Commercial Account Management, who said she would get the payments applied. We emailed her all the same information. She has not provided proof that are payments have been applied. 
We had a similar problem with Fay Servicing applying our XXXX Mortgage payments a month after they received our wire payment & detail breakdown paystub. 
Supporting Documentation can be sent Thank you for your considerations in filing this complaint against Fay Servicing. 
Regards, XXXX XXXX XXXX, XXXX XXXX XXXX