Consumer complaint received 2021-10-18
Company: CITIZENS FINANCIAL GROUP, INC.
State: CT
Product: Mortgage
Sub-product: FHA mortgage
Issue: Trouble during payment process

Complaint:
XX/XX/XXXX To whom it may concern : On XX/XX/XXXX, I closed my mortgage with Citizens bank. Prior to that, I submitted all the documentation that was required for the closing, including my insurance coverage. A couple of months later, Citizens bank has been sending notifications that they have not received my home insurance for wind and flood. I contacted my carrier and had them upload to Citizens Bank website a copy of the insurance, including wind and flood. Citizens Bank confirmed that they received the information. 

All was well, until XX/XX/XXXX when Citizens Bank charged my account {$2700.00} for a mortgage payment that should have been {$1800.00}. My principal amount is usually {$510.00}, XXXX is {$480.00}, Escrow ( Taxes and Insurance ) is {$880.00}. Since XXXX, my Principal amount was adjusted to reflect {$510.00} ( with a fixed mortgage rate ), Interest was {$470.00} and Escrow jumped to an all-time high of {$1700.00}. 

I contacted the bank because they took {$900.00} additional out of my ( One Deposit Checking account ) and added it to the monthly mortgage payment of {$1800.00}. I visited the branch in XXXX, Connecticut to try and clarify the reason for the sudden increase and withdrawal of my cash reserve. I was told I did not have insurance and therefore, they were using my Escrow and my other accounts to satisfy their claim. I contacted the insurance company, and they submitted the insurance documents again. I received a letter saying, Thanks for providing evidence of my property insurance policy, this letter was dated XX/XX/XXXX. In the same letter, second paragraph, they said, and I quote, Our records indicate that there is a lapse in coverage from XX/XX/XXXX to XX/XX/XXXX. ( See letter attached ). I requested that the insurance company send another copy of my insurance policy beginning from the date of closing until present. Citizens Bank reimbursed my Escrow account {$680.00} on XX/XX/XXXX. 

In XXXX, I was then billed as my mortgage payment, {$2700.00} again with the same complaint that I do not have insurance. This time, the total amount taken out of my account was {$2000.00}, plus a service charge of {$30.00}, and an overdraft amount of {$170.00}, and an overdraft fee of {$12.00}. My XXXX mortgage payment was increased from XXXX to XXXX which is an additional {$170.00} ( from my One Deposit Credit account ), plus the {$720.00} from my Escrow account. 

I uploaded my insurance documents from the day of closing to present on the Citizens Bank website. I called Citizens Bank on Friday XX/XX/XXXX and was yelled at by more than one employee from the insurance department and mortgage department, respectively, for saying, that they drew money out of my checking account to satisfy insurance payments for my mortgage. I was told by the mortgage department that they sent out an escrow analysis showing that my escrow is low and thats why my mortgage was increased. There has not been a lapse in my insurance from XX/XX/XXXX to present. 

There is no increase in my interest rate, no increase in taxes, no increase in insurance payments, then why is escrow increased and ultimately the mortgage payment? My stress increased causing my XXXX XXXX to increase because now I can not afford my mortgage payment. I am a single person ; I do not have a second income. I just moved here and bought this house. My husband served in the military for 23 years and now hes dead and they are trying to harass me. I am not a thief ; I work very hard for my money. I am also a front-line worker. This American dream is becoming a nightmare. I think this Bank has targeted me and they are trying to make me lose my house. Now they are flooding me with requests to refinance and get rid of FHA. All the requests have been to increase my interest payment and to eliminate the first year of my mortgage payment history. At this time, I do not wish to refinance my home. 

I would like my full escrow reimbursed so that it can pay the taxes when they are due. I would also like all funds and fees that were taken from my One Deposit Checking account to be refunded before I close the account. I would also like my mortgage payment readjusted to reflect the {$1800.00}. 

Thank you, XXXX XXXX

Company response to consumer: Closed with explanation