Consumer complaint received 2022-11-08
Company: Flagstar Bank, N.A.
State: TX
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
I am submitting a complaint on : Escrow Shortage and Loan Servicing errors Flagstar Bank, XXXX XXXX XXXX, XXXX, TX. XXXX My Mortgage loan originated with XXXX XXXX XXXX XXXX in XXXX of XXXX. Flagstar Bank is my current Mortgage Bank Loan servicer. Flagstar Bank purchased and or transferred the service from my original Mortgage Bank, XXXX XXXX XXXX  XXXX, XXXX XXXX XXXXXXXX XXXX XXXX XXXX, XXXX XXXX, IL. XXXX, XX/XX/XXXX. Flagstar has failed to calculate my escrow correctly when they modified my loan in XX/XX/XXXX, that now will leave me at the end of XXXX in the rears approximately {$4000.00} + year end escrows for XXXX, approximately {$6000.00} for a total of about {$10000.00}. 
Flagstar did not do an Escrow analysis when they transferred my loan from XXXX on or before XX/XX/XXXX, my escrow account started in the rears when my mortgage was purchased by Flagstar from XXXX, understandably, Flagstar purchased my Mortgage loan during a forbearance agreement I had with XXXX. Flagstar never calculated future escrow when they modified my loan to get me caught up and current with all taxes, Insurance, and any other applicable fee in XX/XX/XXXX. Flagstar Bank has created another hardship on me by not including the Escrow amount needed to escrow for taxes and Insurance correctly moving forward. they did not send me a copy of an appraisal when they purchased my loan XX/XX/XXXX, and or when they modified my loan XX/XX/XXXX. 

My loan through XXXX was in forbearance beginning XX/XX/XXXX, and ultimately extended through XX/XX/XXXX. 
XXXX sold/transferred my Mortgage to Flagstar Bank effective XX/XX/XXXX. Even though I had filed XXXX ( XXXX XX/XX/XXXX ) and had an approved forbearance through my original Mortgage Loan Bank, XXXX I continued to receive collection letters from XXXX I was approved for XXXX XXXX XXXXXXXX XX/XX/XXXX ; I received a lump sum check from XXXX XXXX  for benefits beginning XX/XX/XXXX thru XX/XX/XXXX and would receive checks monthly from this point on because of my permanent XXXX. I was ready to re-start my Mortgage Loan with Flagstar Bank. 
I called Flagstar Bank on XX/XX/XXXX, I spoke to XXXX in the Hardship Taskforce Department with Flagstar Bank explaining my hardship and circumstances of the Forbearance in place by XXXXXXXX XXXX XXXX XXXX that was effective until XX/XX/XXXX, but I wanted to re start my mortgage. She said Flagstar will send me a Loan Modification application. 

I completed their requested Loan Modification Application and return Certified Mail per there instructions on XX/XX/XXXX. I received an answer from Flagstar to modify my loan on or about XX/XX/XXXX, I agreed, they said they will send an offer. I received an offer from Flagstar on or about XX/XX/XXXX, signed it returned it via XXXX XXXX on XX/XX/XXXX, Flagstar received it on XX/XX/XXXX MODIFICATION TERMS AND CONDITIONS : YOUR PRINCIPAL BALANCE. While your loan was delinquent, fees or cost were assed to your account. To bring your loan current, certain cost was added ( or capitalized ) to the principle balance and explained below. 
Part of the Loan Modification stated Past Due interest {$14000.00} Past Due Escrow ( Taxes/Insurance ) {$10000.00} Attorneys Fee {$0.00} Corporate Advance {$50.00} Less borrowers Contribution {$1400.00} Total Amount Capitalized {$24000.00} Total Amount deferred {$0.00} Thank You,

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation