Consumer complaint received 2020-02-03
Company: SN SERVICING CORPORATION
State: WA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
To whom this may concern, I am at my wits end! I am in the most frustrating situation ever! I have never been late on a mortgage payment since I was approved for a loan modification almost two years ago now, yet due to the insanity of my new mortgage servicing company, I am now over 30 days late, when all my payments should be on time, as I pay them on time. 

I was approved for a loan modification, with the help of a Washington State mediator ( XXXX had denied my modification 5xs, until I finally had a mediator ) with my mortgage servicing company, XXXX XXXX XXXX. My loan was approved with around 30,000 additional principal somehow added to my loan. Ok, fair enough no problem. My payment with principal, interest, taxes and mortgage insurance ( which I dont need anymore mortgage insurance anymore, but we can save that for another time ) came to {$2100.00}. The breakdown is 5.125 % interest, {$1800.00} for principal and interest, plus {$330.00} for escrow ( I only pay taxes and mortgage insurance through escrow ). My first payment was XX/XX/XXXX. Then in XX/XX/XXXX my loan was sold to XXXX. Then in XX/XX/XXXX I was told that XXXX was putting required HOI ( insurance ) on my loan and that my escrow had a huge balance for HOI in the amount of roughly {$3000.00} due to this forced lender provided HOI they were putting on my loan. I told them thats crazy and that I had insurance that is paid through the HOA ( home owner association ). I had my insurance rep send in all my information to prove this and they told me that it has been updated, but that I need to pay at least {$1200.00} to stay current and that it would be refunded to me in the next billing cycle. Next billing cycle comes and Im told that my HOI had been fixed and updated and that the {$1200.00} I paid was " refunded '' by being rolled up into my loan and reduced some of the balance. Ok, I saw no proof of this, but I took their word that everything was solved. I wanted the cash back, but oh well, I wrote it off as a loss. 

Then I was told a month later that my loan was sold to SN Servicing Corp, my new lender. Ok, I actually liked the ease at which I made my payments. My payments were now {$2100.00} and everything was going just fine! Then one day in XX/XX/XXXX, I was called by a lady from SN Servicing named XXXX XXXX to tell me that I dont have HOI insurance and that the lender was putting forced HOI on my loan and that I owed {$800.00} for XXXX, {$800.00} for XXXX and that my payments would only go up by {$300.00} starting in XX/XX/XXXX. Ok, this freaked me out so bad, I could never afford this! This was bigger than a new car payment, PLUS AGAIN, I DONT NEED HOI I ALREADY AM COVERED!!!! I was told that once SN Servicing is satisfied by proving I have HOI through my HOA, I would get the $ XXXX  refunded. So I actually paid the additional {$800.00} in XXXX to keep my loan from going into delinquency, all the while I had my insurance agent sent them all the docs, once again, I had to go through the same song and dance nightmare as before with XXXX. I have an email chain from my insurance agent proving to SN and XXXX that I have insurance. Then in XX/XX/XXXX, XXXX tells me that my payment will still be going up {$300.00} because I dont have interior insurance. Once again I had my insurance agent PROVE that I had interior and exterior insurance. XXXX asked the insurance agent to do some paper work and all is fixed! ... Right? ... 

NOPE! Then in the first week of XXXX, I get a letter from SN Servicing saying that because I didnt pay their forced HOI, I am now over 30 days late and I have a {$200.00} late fee I have to pay. So I reached out to XXXX and she said she updated my insurance and that now my agent is XXXX XXXX, who helps borrowers who are falling under payments ( so she deals with loan mods, etc ). Ok, but I dont need any of this because I was making my payments just fine! But it didnt matter, now XXXX is my new case/account manager. Ok, great. So I am beyond furious right and I dont trust them. I used my non profit housing counselor, who helped secure my loan mod, to help me. We called in and spoke with XXXX together on XX/XX/XXXX. 

When we spoke to XXXX, she was very kind and nice, but she didnt know anything and was simply guessing. She said " dont worry, we have your insurance, but your payment has only gone up by {$200.00} per month starting in XX/XX/XXXX '' ok, I dont see why. She said its because of taxes. Ok, so my taxes went up {$1200.00} for every 6 months? That makes absolutely no sense! I went to city hall to get a tax bill and no my taxes didnt go up that much, no even close. She then said I still owed {$2000.00} from my previous escrow shortgage, oh and the {$800.00} in addition I paid in XXXX cant be accounted for and just went into a black hole. My housing counselor tried to get this clear and we found out that SN Servicing inherited a {$3000.00} escrow shortgage. But thats impossible, because my payments included taxes and mortgage insurance. Oh, but I recognized that {$3000.00} number. thats from the lender forced HOI from XXXX. So they never actually fixed and updated my insurance and they stole my {$1200.00} extra payment I made and just simply sold the loan to SN Servicing without updating my HOI. 

To make this all simple. I only need to pay principal, interest, taxes and mortgage insurance and that was always apart of my payment. How then on earth could I have an escrow shortgage of {$3000.00} from XXXX, ( who bought the loan mod from XXXX XXXX  XXXX ), even after I paid {$1200.00} to that shortgage to XXXX, then I paid another {$800.00} to that balance in XX/XX/XXXX, yet I still owe {$3000.00}, plus my payment has gone up from {$2100.00} to {$2300.00}, all from tax increase? This is insanity! I have no protection, i am just being hustled and the stress level my wife and are going through is unbearable. I am beyond sad, I just need help! I was told to reach out by an attorney.

Company response to consumer: Closed with explanation