Consumer complaint received 2017-08-01
Company: Capital Markets Cooporative, LLC
State: IN
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
When our tax bill from the county went out for the bill due XX/XX/XXXX, the homestead exemption was removed in error. This caused our tax bill to be {$2800.00} for the year, split into two payments of {$1400.00} each. Upon receipt of the tax bill, I immediately contacted the county to have the bill corrected. However, this was not done in time to prevent the payment from the mortgage company. On XX/XX/XXXX the mortgage company distributed {$1400.00} to the county for the tax bill. When the homestead exemption was applied, the corrected total property tax for the year was {$1400.00}, payable in two installments of {$720.00}. The county sent a revised bill showing this, and also showing a credit of {$710.00} from the bill due XX/XX/XXXX applied toward the fall bill due XX/XX/XXXX. The bill clearly shows a tax balance of {$9.00} due on XX/XX/XXXX. It also clearly shows a note on the taxpayers summary that the homestead deduction was not applied in error to explain the corrected bill. I submitted this documentation to the mortgagee and they performed an escrow analysis on XX/XX/XXXX. However, the escrow analysis erroneously concluded that the bill due XX/XX/XXXX is the full {$720.00}, although the bill clearly shows a tax balance of {$9.00} due on that date. This caused our escrow payments to increase from {$230.00} to {$280.00} in error, as the original escrow payment is sufficient to cover PMI, the tax balance, and hazard insurance when paid through XX/XX/XXXX. I have attempted to resolve this issue numerous times and have been told different things by different people. It is XX/XX/XXXX, and my first phone call to the mortgagee was on XX/XX/XXXX. After the initial escrow analysis came back incorrectly and I saw the payments went up, I spoke with one representative on XX/XX/XXXX who advised me that I should contact the county and have the overpayment from the XX/XX/XXXX bill refunded to the mortgagee so it could be deposited into my escrow account and balance it out. I called the XXXX County Tax Auditor XXXX XXXX ( XXXX ) and explained to her that the mortgage company was requesting the {$710.00} overpayment be returned to the mortgagee. XXXX XXXX advised that this is not a standard request from a mortgage company, because there is no overpayment because there is still a balance of {$9.00} on the account. The taxes are annual taxes and they allow residents to pay twice a year. She advised that the bill that she sent me, and that I sent on to the mortgagee, is a certified tax bill. She could not understand how a mortgage company would not accept a certified tax bill. After speaking with XXXX XXXX, I again called the mortgagee on XX/XX/XXXX. This time, I was advised that what I had sent in was a Taxpayers Summary and not a bill, and therefore could not be accepted by the tax department. I explained to the representative that this is a certified bill for both spring and fall that also includes Copy C which is the taxpayers summary. She continued to advise me that it would not be accepted. I asked her what this meant. She advised me that I would be required to make the overpayments into escrow in the amount of {$280.00}. Then, the mortgagee would request a copy of the tax bill from the county in the fall. When they receive the bill and pay it, then I can request another escrow analysis. At that time, my overpayment will be returned to me in the form of a refund. I advised her that telling me to knowingly overpay for five months when I have sent in a certified tax bill is an unacceptable resolution, and I requested to speak with a supervisor. XXXX XXXX, the supervisor, advised me that the documentation that I sent in would be acceptable to have the escrow payment corrected, she would forward it on to the tax department, and it would be resolved in 35 business days. I never heard back. I called back and spoke with another representative who escalated me to a supervisor named XXXX, agent ID XXXX. He advised that he would seek resolution as well and that he would put an extension on my XX/XX/XXXX payment so as to allow for sufficient time to resolve this issue. He advised I would have until XX/XX/XXXX to pay my bill without any penalties, late fees, or being considered late. On XX/XX/XXXX, I called again and spoke with another representative who advised me that despite the conversation with XXXX several days before, the bill had not been postponed as advised. She said that she would do that. I again explained my concern to her. This time, I was advised to send in proof that I qualify for the homestead exemption in the first place, because they wont accept the tax bill without that. I inquired about why Ive been calling since XX/XX/XXXX and no one has advised me of this requirement, and she did not know. This problem has dragged out since XX/XX/XXXX and has still not been resolved. Listed below are some of the dates and call durations that I found in the call log from my cell phone provider : XX/XX/XXXX 20 min XX/XX/XXXX 24 min XX/XX/XXXX 26 min XX/XX/XXXX 24 min XX/XX/XXXX 15 min XX/XX/XXXX 6 min XX/XX/XXXX 18 min XX/XX/XXXX 7 min XX/XX/XXXX 8 min XX/XX/XXXX 17 min XX/XX/XXXX 8 min In addition to the above calls, I have spoken with 3 supervisors : XXXX XXXX, XXXX XXXX, and XXXX XXXX. Two of these supervisor calls were incoming, and I dont have a record of the number that they called from and thus those two calls are not included in the above call log. This brings the number of phone conversations I have had regarding this issue to a minimum of 13 calls. This issue has still not been resolved. Enclosed you will find more than sufficient proof to resolve my complaint. I have included the XX/XX/XXXX tax bill that shows the tax bill amount for the year and the document showing that we received the homestead exemption. Then, you will find the XX/XX/XXXX tax bill that went out for the wrong amount, and the document that shows that the homestead exemption was removed. Finally, you will find the revised, corrected tax bill that is a certified copy from XXXX County that explains in Copy C Taxpayers Summary -- that the Homestead deduction was removed in error.

Company response to consumer: Closed with explanation