Consumer complaint received 2018-10-25
Company: Freedom Mortgage Company
State: CA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
XX/XX/XXXX, I purchased the home located at address listed above. The mortgage lender was XXXX XXXX XXXX XXXX ( XXXX ). The home is a condominium. Every year, XXXX has accepted my certificate of unit owners insurance through XXXX XXXX. 

XX/XX/XXXX, my mortgage loan was transferred from XXXX to Freedom Mortgage ( FM ). 

XX/XX/XXXX, FM requested me to provide proof of Unit Owners insurance. I provided my current certificate of insurance with the same policy terms as the one I have held since XX/XX/XXXX. The coverage period was for the period of XX/XX/XXXX to XX/XX/XXXX. FM accepted my certificate. 

Since then, FM has bombarded me with phone calls, voice messages, and mail about refinancing my loan. I declined all of their offers. 

XX/XX/XXXX, FM again requested me to provide proof of Unit Owners insurance. I furnished the current certificate of insurance covering the period of XX/XX/XXXX to XX/XX/XXXX. 

XX/XX/XXXX, FM sends me a second and final notice, stating that I need to provide Unit Owners insurance or they will be purchasing " force-placed '' insurance at a cost of {$700.00}. 

XX/XX/XXXX, I called FM 's Insurance Center in XXXX, South Carolina. I was told by a customer service rep ( CSR ) named " XXXX '' that my certificate of insurance was received and was not acceptable. " XXXX '' could not state why this policy, with the very same terms as the one that FM had accepted in XX/XX/XXXX, was now unacceptable. 

XX/XX/XXXX, I purchased additional Unit Owners Insurance through XXXX XXXX and my insurance agent faxed the certificate to FM. I also called FM the same day and requested them to stop all of their offers of refinance to me, especially as their offers named me as a veteran when I was not. 

XX/XX/XXXX, I called FM to verify that my policy was received and accepted. I spoke to a CSR named " XXXX  '' and she told me the policy was received, and I would not have to pay for any additional " Force-Placed '' coverage through FM. 

XX/XX/XXXX, FM sent me another letter. FM claims that since there as a lapse in coverage from XX/XX/XXXX to XX/XX/XXXX, they would be purchasing additional Force-Placed insurance for me for that period, for the cost of {$99.00}. 

XX/XX/XXXX, I spoke to a FM CSR named " XXXX ''. I questioned why both of my XXXX and XXXX XXXX policies were not sufficient for FM. I questioned why FM deemed my XXXX insurance policy acceptable in XX/XX/XXXX but unacceptable in XX/XX/XXXX, when the policy terms had not changed. XXXX claims that " someone from your HOA or insurance company '' informed FM that the policy covered HO6 back in XXXX. She could not provide any record of who exactly FM had spoken to at my HOA or the insurance company. " XXXX '' told me that I would have 45 days from XX/XX/XXXX to provide proof of coverage from XX/XX/XXXX to XX/XX/XXXX, otherwise FM will require me to pay {$99.00} for coverage with XXXX XXXX XXXX XXXX ( XXXX ), a subsidiary of XXXX XXXX, a large insurance corporation who has worked with mortgage lenders to engage in fraudulent Force-Placed insurance kick-back schemes. 

I believe FM is engaging in fraudulent and predatory practices, in collusion with XXXX and XXXX XXXX to con homeowners into purchasing insurance coverage they do not need. FM bills itself as a premier mortgage lending company for veterans. They prey on the men and women who serve our country. 

I believe FM is using these tactics to retaliate against me because I declined all of their offers of refinance, and because I reprimanded them for not removing me from their veterans contact list. I currently suffer from major XXXX and XXXX XXXX, and my experience with FM has led me to experience great hardship.

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