Consumer complaint received 2022-10-21
Company: JPMORGAN CHASE & CO.
State: TX
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
Chase Bank has wrongfully forced my mortgage into escrow and failed to refund the {$1100.00} it took from my account. Chase has withdrawn, or plans to withdraw, 60 % to 300 % increases to my mortgage payment. 
I demand that the bank return the money owed to me from the wrongfully forced escrow and stop charging me for money that I do not owe under this mortgage. 

BACKGROUND On or about XX/XX/2021, I executed a fixed-rate loan for {$1100.00} monthly. Exhibit A. No escrow was authorized. Exhibit A. The closing disclosure states that the amount can not increase after closing. My loan was subsequently sold to Chase. I enrolled in autopay for the mortgage so that the {$1100.00} payment would be automatically drafted from my account. 

WRONGFULLY FORCED ESCROW Chase withdrew {$1700.00} from my account on XX/XX/XXXX. This is a 66 % increase in my monthly payment. When I called Chase on XX/XX/XXXX, an agent claimed the increase was due to a forced escrow. Chase had apparently not received updated homeowners insurance. But the bank also failed to request updated insurance information from me after the loan was sold to them. 

INSURANCE ACCEPTED WITHOUT LAPSE IN COVERAGE On XX/XX/XXXX, I sent in proof of insurance to Chase. Exhibit B. Chase accepted it during a phone call. Exhibit C. The home had no lapse in coverage. During that phone call, Chase said that it would refund the money that was automatically taken from my account. The agent claimed it would take about a week. I asked whether the notice that I received on XX/XX/XXXX stating that Chase would withdraw {$1700.00} was accurate. They said no, they would not draft that amount, instead, it would be the {$1100.00} amount that did not include the forced escrow. 

WITHDRAWALS FOR ESCROW CONTINUE On XX/XX/XXXX, {$1700.00} was wrongfully taken from my account. The amount included the {$590.00} in extra payments that Chase knew it wasnt entitled to. 
I called again. Chases agent again represented that Chase would refund the now {$1100.00} wrongfully removed from my account. But they also said that during the original phone call in XXXX, someone at Chase had dated the close of the escrow as XX/XX/XXXX. 
The agent did not understand the reason for the delay. But they claimed their hands were tied. They would continue to draft that {$1700.00} from my account in XXXX. They were not authorized to stop the draft for that amount, but a supervisor may have that authority. 

AUTOMATIC PAYMENTS CANCELLED DUE TO CONTINUED DRAFTS FOR UNAUTHORIZED ESCROW A supervisor, XXXX, said that she would cancel my automatic payments with Chase so that the XXXX escrow would not be drafted from my account. Instead, she suggested that I authorize payment of the {$1100.00} over the phone so that the mortgage would remain current. She later called requesting to close the complaint since it would be over by XX/XX/XXXX. I told her no, not until the money is refunded and the payments are for the agreed-to {$1100.00} monthly. 

CHASES XXXX MONTHLY STATEMENT IS XXXX TIMES THE AUTHORIZED AMOUNT On XX/XX/XXXX, I received a notice from Chase that I must pay {$3500.00} on XX/XX/XXXX for my monthly mortgage payment. Exhibit D. My mortgage is supposed to be only {$1100.00} per month. This is more than a 300 % increase in the amount of the payment for my home. On XX/XX/XXXX, I called Chase. A representative from Chase said that they realize I do not owe {$3500.00} for a monthly payment, but that its system sometimes makes strange invoices in situations like these. They assured me that I did not owe that money. But that was the same assurance made before when they drafted more than agreed to. 

REFUND NOT ISSUED MORE THAN 60 DAYS LATER I have not received a refund of the {$1100.00} taken from my account for this improperly forced escrow. These withdrawals started on XX/XX/XXXX, which is 64 days ago. 
On the phone, Chase agents concede that its actions were wrong and harmful. But Chases written notices are inconsistent with the phone calls. The notice that I owe more than XXXX times my monthly payment is a knowingly false misrepresentation.

Company response to consumer: Closed with explanation