Consumer complaint received 2021-10-22
Company: LAKEVIEW LOAN SERVICING, LLC
State: NC
Product: Mortgage
Sub-product: VA mortgage
Issue: Trouble during payment process

Complaint:
On two occasions, with the most recent being XX/XX/XXXX and XX/XX/XXXX, I reached out to Lakeview/XXXX regarding what I believe to be erroneous fees. My mortgage was set up on a draft in XX/XX/XXXX at closing which included my taxes and insurance. Subsequent to me being able to retrieve statements physically, I realized that there were fees attached to my mortgage. At the same time I realized that there was in excess of {$1700.00} sitting " unapplied ''. I spoke with a rep who explained that what occurred was that during COVID my payment changed and that the money being held was never applied because " it was not a full payment ''. At this point I was told to pay an additional $ XXXX to make it a full payment and it would be applied. However fees still remained. When I inquired about those $ XXXX fees I was told that they were late fees, although no bureau reports that my payment was late because of the draft date. I was never apprised that my funds were being held for over a year. Not by phone, not in a letter, nothing. The agent stated that she could see where the error occurred and I simply needed to ask for a fee investigation to remove them. The increase in payment was also in error because this company never communicated with the tax office to see that my taxes were reduced because I am a veteran. Hence I was still having my mortgage calculated at an erroneous tax rate for escrow. I was told that now I also needed to ask for an investigation the same day for the taxes. I submitted the tax record the same day to show that I was receiving refunds for over payment. I was ASSURED that this would also assist in correcting the error and removing the fees. Well I called back in because for months I received no response. My XXXX statement reflected the same tax rate and more fees. The fees now stand at {$460.00}. The issue I have is when the reduction was finally addressed, my payment that I submitted was still at the rate of correction. My payment was {$1700.00} but my draft was {$1800.00} while this was under investigation. I was paying in excess! How is it that I still have all of these fees? Now it says that there are {$280.00} " in suspense ''. I am baffled. My paperwork was allegedly " lost '' during the process. I called in again and was told the same thing. " Mr. XXXX we see the error, and if you file those an investigation of the fees, they should be removed ''. Not only did it not happen, but again, there are more fees. I finally called again on XX/XX/XXXX to inquire about all of this. The agent said he couldn't understand why this was escalated to him. Once I got him to pour through the notes and see, he assured me that I would receive an answer by XX/XX/XXXX. I called and was flatly told that my appeal of the fees was denied. I am on a fixed income as a XXXX veteran and can not understand why I am being charged fees that originated from errors made by the lack of communication with the tax department and this mortgage company. I can not afford to pay these fees and no one seems to care. I placed my mortgage on a draft to avoid such issues, but to no avail. I feel as though I've been the victim of deceptive business practices and moreover lied to by this mortgage company. None of my overpayments were ever applied to my principle and while the funds were held in suspense for over a year, I was deprived of their use or any interest received as they were held. I argue that that is both unethical, illegal and tantamount to theft.

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