Consumer complaint received 2021-06-07
Company: AmeriHome Mortgage Company, LLC
State: NC
Product: Mortgage
Sub-product: FHA mortgage
Issue: Trouble during payment process

Complaint:
On XX/XX/2021, I received a letter in the mail ( dated XX/XX/2021 XXXX from AmeriHome Mortgage stating that my home insurance was expiring. I contacted the insurance company XXXX XXXX XXXX XXXX and was informed that my insurance had lapsed XX/XX/2021 due to non-payment by the mortgage company. They also indicated that they had submitted a bill for the amount due and it had not been paid within the grace period. I contacted AmeriHome Mortgage, with an agent from XXXX XXXX on the phone, letting them know what I had discovered. They indicated that they would look into the matter. On this same day, I paid {$520.00} to have my homeowners insurance reinstated on XX/XX/2021. I later provided proof of this insurance to the mortgage company, indicating the lapse and I mailed a letter requesting the return of the money that I had paid to reinstate the insurance. I received a second letter dated XX/XX/2021, stating that they had received the proof of insurance, however, there was a lapse in insurance from XX/XX/2021 to XX/XX/2021 and that a {$27.00} fee would be charged to my account unless I could show evidence of insurance coverage during that time. I contacted AmeriHome Mortgage on XX/XX/XXXX, stating that I was not going to pay this money because the lapse was not through my neglect but due to theirs because they had failed to pay the insurance from my escrow account. The individual I spoke with indicated they would email a supervisor to look into the matter and put in a request for me to receive a call back. Needless to say, I never received a call back. I received a third letter, dated XX/XX/2021, with the subject line - second and final notice - referring to the previous letter. I contacted the company on XX/XX/2021 stating that I had already contacted them about this matter. The individual sent an email to the insurance department, after stating the department did not have a phone number through which I could contact them directly, however they would see her email and make any necessary updates on the account. She did indicate that she saw on my account a request from my insurance company of the full premium for this year. I also uploaded, on the my coverage portal, a copy of this letter, along with a copy of the letter I had mailed earlier requesting reimbursement of the money I had paid to have my insurance reinstated along with another copy of the receipt. I received a fourth and fifth letter ( on the same day ) both dated XX/XX/2021. One letter stated, Thank you for providing evidence of hazard insurance coverage. The coverage we purchased on your behalf has been cancelled effective XX/XX/2021. Any unused premium that has been paid will be refunded to your account. ... The other letter stated, Our records show that your hazard insurance is expiring, and we do not have evidence that you have obtained new coverage. Because hazard insurance is required on your property, we plan to buy insurance for your property. '' Once again, I contacted AmeriHome Mortgage on XX/XX/2021. The individual I spoke with, after a long discussion with her supervisor, told me that I needed to provide proof of insurance coverage for the lapse that occurred XX/XX/2021 to XX/XX/2021. I indicated that I was not able to provide proof of insurance because there was no insurance on my home during that time because they had not upheld their terms of the contract and paid the insurance to the insurance company. I also asked to speak with someone else who would help me with the situation because neither she nor her supervisor could resolve the situation. After some consultation, off the phone, she stated that she was going to transfer me to the insurance department. I can not say that she did not transfer me to the insurance department, however, I can say that I did not reach the insurance department. The phone rang for about 5-8 times and then rolled back into the menu options I got when I first called the company.

Company response to consumer: Closed with explanation