Consumer complaint received 2020-12-08
Company: LoanCare, LLC
State: MI
Product: Mortgage
Sub-product: FHA mortgage
Issue: Trouble during payment process

Complaint:
I think this is 2 issues, concerning 2 different departments for Loancare : A XX/XX/XXXX, formerly known as Loancare LLC. The lack of customer service is the same. I moved into my home in XX/XX/XXXX. I had XX/XX/XXXX XX/XX/XXXX for condo insurance. In XX/XX/XXXX, I dropped XXXX because I acquired new insurance, since my daughter was turning XXXX, I purchased her a car, and found a cheaper rate through a broker. I acquired the new insurance, which bundled with condo insurance, was cheaper. Since I was paying monthly out of pocket, and not out of escrow, I received a letter stating to let them know about my condo insurance. I went through the website to upload the documents but was still getting the message that I did not have insurance. I tried called, going through the prompts and kept being sent to automated services when I really needed to talk to someone. I received a letter stating that if I had not acquired new insurance, then insurance would be purchased on my behalf. But again, I had insurance already and had been trying to call to submit the papers ( I have the insurance papers ). In XXXX, I had to drop the new insurance and went back to XXXX and they submitted payment to my escrow and was paid roughly {$530.00}. By the time I acquired the new insurance, insurance was purchased on my behalf by the company using my escrow funds of about {$530.00}. Again, I tried uploading my new policy but when i log on, its still showing that I don't have any insurance. Even when I call in, the message tells me that I do not have insurance. At this point, I have 2 insurance policies, but the site and the phone message is telling me that I do not. I reached out through the website inquiring about submitting the insurance papers and being refunded for the insurance acquired on my behalf, using funds from my escrow account. I then received a letter stating that i was assessed a {$120.00} fee for lapsing in insurance coverage. But i have never lapsed in insurance company, I have always had insurance but there is no way to talk to anyone. I received an automated email message stating someone would be back to me through the appropriate department. 3 days later, I responded to that message that no one had contacted me and was told to give it more time. After day 7, still no response and I reached back out saying so, and no response. I received another letter stating that my escrow account had a deficit and to either pay roughly {$800.00} or my mortgage would increase to XXXX. I was paying {$630.00} so my mortgage went up to {$670.00}. Which is fine. I paid the {$800.00} escrow deficit to avoid the mortgage increase I paid through the website. I turned around and paid my XXXX mortgage immediately after via check and that check was cashed on XX/XX/XXXX ( I have proof ) On XX/XX/XXXX, I received a letter from Loancare LLC dated XX/XX/XXXX, stating that I did not pay my XXXX mortgage and that I owed {$750.00} ( XXXX mortgage and XXXX late fee ). Mind you, I paid {$800.00} in XXXX to avoid a mortgage increase. In the meantime, a check was already en route for {$670.00} because I paid the {$800.00} to avoid the increase. I have been calling, I have submitted emails via the website, to no avail. Since XXXX I have been calling and each time I am forwarded to automated systems. No one reaches back out through emails or anything. I mailed a formal letter on Friday to the mortgage error department listed on their website, but because of all the inadequacies I have experienced already, I am not confident that anyone will get back to me timely. I do not want to lose my home. I work VERY hard to pay my bills and on time and this company 's lack of communication and lack of availability is gambling with my livelihood. I have all proofs of payments and insurances to show the company. My complaint is their lack of human interaction and availability to provide proper service to clients in the midst of a pandemic to give assurance to us that we are not in danger of losing our homes.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation