Consumer complaint received 2020-05-30
Company: MONEY SOURCE, INC., THE
State: FL
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
Near the end ofXX/XX/2020 we contacted our Mortgage Company , The Money Source ( TMS ) to inquire how much we needed to pay towards our loan in order to bring the threshold low enough to have the Private Mortgage Insurance ( PMI ) dropped from our payment. The amount we pay for PMI every month is {$200.00}, which would reduce our payment significantly, since we are on fixed income and trying to get our expenses down. We were advised at that time, if we made a payment of {$6000.00}, before the next payment due date, it would bring our loan well below the threshold, and approximately 30 days after the payment was received, the PMI would drop off. 
On XX/XX/2020 we made an electronic payment of {$6000.00} plus our regularly scheduled payment of {$1000.00} which totaled {$7000.00} directly through the TMS portal. The electronic portal required us to make our regular payment in addition to whatever excess payment we were making at the time. This payment posted to our TMS account on XX/XX/2020. In addition the aforementioned payment, on XX/XX/2020 TMS made an automatic withdrawal from another bank account for {$1000.00} through a previously arranged withdrawal agreement. Therefore, TMS received a total of {$8000.00} on XX/XX/2020. 
We contacted TMS regarding the extra withdrawal/payment, at which time we were advised the computer needed to reset itself and once it did, the following months statement would reflect the additional payment and the removal of the PMI. However, we were advised sometimes the PMI takes 30 days to drop off, but since we made the payment prior to the next months billing, it should not take that long. 
When the following months statement posted, it showed our XX/XX/XXXX payments, but still showed we owed a payment for the upcoming month, which we had already paid and all 3 payments were showing on our statement, yet only one monthly payment had been applied to our account. Although the total amount of the loan had been reduced. Once again we called and were advised that although the payment shows as due, they would be applying the extra XX/XX/XXXX payment to the XXXX payment, one month after they made the automatic withdrawal, the computer just didnt reflect it yet. We then asked about the about the PMI still being charged. At that time we were advised that they can see on the computer the payment had been made ; however, for some reason it had not been submitted for PMI removal. The agent advised that the request for removal was going to be submitted immediately and should be completed sometime during the week, this conversation happened some time during the early part of the week of XXXX. Once it was completed, someone would contact us and give us an update. However, if we did not hear from them by XX/XX/2020, to call back on XX/XX/XXXX. 
Feeling very disenchanted by the entire situation, I decided to call on Friday, XX/XX/2020because I did not trust they were taking the time to correct the situation. At that time we were advised that there seemed to be a problem, because our threshold was down to 77 %. After several attempts to answer our question as to why the PMI had not dropped, they attempted to contact another department only to be told the other department had closed for the day, we would have to call back. This was after spending over two hours on hold. 
On Monday, XX/XX/XXXX we called again, only this time we called early in the morning. The agent reviewed the file and indicated they had all of our calls on record ; however, there was a problem with the PMI removal and would be receiving a letter explaining the situation. Not being happy with no answer to when the PMI would drop off, I was persistent and ultimately requested a supervisor. The supervisor reiterated what the agent said, and I was equally persistent refusing to end the call. 
Eventually I was transferred to another department, I believe it was the PMI department, where I spoke with and Agent, XXXX XXXX ( XXXX ). Mr XXXX attempted to find out what was going on with the PMI since we were slated to have the PMI removed. After further investigating the issue Mr XXXX advised our request for PMI removal had been denied. When pressed for a reason, he stated that would require contacting another department and he would get back to me. I refused to allow the phone call to end until, I received an acceptable response. He advised the wait time would be long, to which I replied how my husband had been been on hold for longer than 2 hours, I can wait on hold if necessary. He placed me on hold and upon his return advised that the denial was based upon our area being declared a disaster area, which I argued with him about. He said he did not make the decision but that it was made by our investors due to the area being declared a disaster zone within the last 24 months. 
Mr XXXX and I argued for some time, which resulted in his attempting to contact the other department to see if they would conduct a review of our request based on information I provided in our conversation. He informed us that we would be receiving a denial letter in the mail explaining the denial, however he would continue to attempt to contact the reviewing department to request they review it again. Eventually, after a couple of hours, I finally agreed to end the call with Mr XXXX, as long as he agreed to call me back with a response. He indeed called before the end of the day and advised he had not forgotten about us, he was still waiting for a response to his request for a review, and someone would get back to us next week to give us an update. 
As of the writing of this letter we have not received a response from TMS, including no letter explaining the reason for their denial. Our new statement for XXXX has posted, which includes the PMI bringing it to 3 months ( XXXX, XXXX, XXXX ) of paying for it when it should have been dropped. We will have paid {$600.00} for PMI that we shouldnt have had to pay and in XXXX they held our payment of {$1000.00} for a month before applying it to our account while they collected the interest on it. We started inquiring about this request in XXXX, 2020, we followed their explicit instructions and made the payment in XXXX as indicated by our statements, and as of XX/XX/2020 we still are being charged PMI, we have given up fighting with them and waiting for return calls and would like to be treated as the law provides. 
Supporting documents attached. I have redacted all financial information from my bank statement due to privacy, with the exception of the withdrawal transaction listed as TMS on  XX/XX/2020. 

Thank you, XXXX and XXXX XXXX

Company response to consumer: Closed with explanation