Consumer complaint received 2019-03-29
Company: Servis One, Inc., Titusville, PA Branch
State: NJ
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
I previously filed a complaint against BSI Financial XX/XX/XXXX as I was not getting any monthly mortgage statements. My mortgage was transferred from XXXX XXXX to BSI Financial XX/XX/XXXX. I filed for bankruptcy XX/XX/XXXX and modified my mortgage XX/XX/XXXX. BSI acknowledged the error but never started sending statements to me. I received a letter from BSI 's attorney claiming I was 5 months late in my payments on XX/XX/XXXX. I have made my monthly payment of {$1200.00} every month since XX/XX/XXXX. The letter from the attorney stated my monthly payment had changed 5 times from XX/XX/XXXX to XX/XX/XXXX. Having not received my monthly statements I was unaware of the monthly payment changes. My loan is a fixed rate and fixed term so principal and interest will never change. The amount applied to escrow would be more than sufficient to cover my home owner insurance and real estate taxes. I was initally told that BSI Financial had no obligation to send me statements because of my bankruptcy status. My attorney forwarded an authorization to send me statements and a copy of Order Permitting Secured Creditors in Individual Cases Under The Bankruptcy Code To Provide Debtors With Monthly Statements, Payment Coupons and Related Notices Without Violating The Automatic Stay. After further investigation I was made aware that BSI Financial was purchasing Lender Placed Insurance even though I faxed my declaration page to them annually. BSI Financial also increased my covergage from {$220000.00} to {$340000.00} without my authorization or knowledge. My loan balance is approximately {$220000.00} and my home value is {$190000.00}. The cost of the lender placed insurance was almost {$1700.00} per year more expensive than my homeowner policy. This created a severe shortgage in my escrow which in turn created the increases in my monthly payments. BSI Financial continued to cash my mortgage checks and applied the payment as a partial payment. Without monthly statements I mailed a check and handwrote my account number, name and property address on a blank piece of paper. Over the 2 year period from XX/XX/XXXX to XX/XX/XXXX the my monthly payments according to their attorney created a 5 month delinquency. I through my bankruptcy attorney have been trying to get this issue resolved but BSI has not moved on it. I wanted to make a complaint against them through CFPB so I have it on record. In my opinion I feel BSI Financial has several legal and ethical violations. I am aware through RESPA that financial institutions are obligated to inform borrowers of any changes to monthly payments due to escrow overages or shortages. It is my intention to remain in my home but BSI would need to make credits back to my escrow for the egregious purchases of lender placed insurance. Having seen through CFPB that BSI Financial has other complaints similar to mine, I am considering consulting another attorney in conjunction with my bankruptcy attorney.

Company response to consumer: Closed with explanation