Consumer complaint received 2023-04-15
Company: LoanCare, LLC
State: PA
Product: Mortgage
Sub-product: Conventional home mortgage
Issue: Trouble during payment process

Complaint:
This continues to be ongoing. My loan unfortunately got sold from XXXX to these XXXX  Loancare. The official date of the switch was XX/XX/XXXX. The home I have this mortgage under was purchased XX/XX/XXXX. My hazard insurance policy with XXXX ran from XX/XX/XXXX to XX/XX/XXXX. My agent drafted a new policy back in XXXX in preparation for the policy to roll over on XX/XX/XXXX. Loancare Paid the {$880.00} premium out of my escrow on XX/XX/XXXX for the XX/XX/XXXX - XX/XX/XXXX policy. 
On Friday XX/XX/XXXX, I received a letter dated XX/XX/XXXX from LoanCare stating they were obtaining Lender based hazard insurance on my property because I had no evidence of homeowners insurance. I submitted copies of my current and previous policies. They then sent me a letter, dated XX/XX/XXXX, acknowledging they had the updated policy, but they were going to charge me {$25.00} for a gap in coverage from XX/XX/XXXX to XX/XX/XXXX. I asked them what the gap was and initially, no one could tell me. I submitted both last year and this year 's insurance policies which show clear as day on the declaration page, the start and end of each policy. There is no gap in coverage. The coverage is up to date. 
I got an automated email last weekend, XX/XX/XXXX stating everything was updated, and I need not take any further action. Out of the blue, on Thursday, XX/XX/XXXX, I received an email from Loancare stating they could not proceed with updating my policy information. They wanted me to review the declaration page to make sure the coverage was for the period in question. I again submitted both last year and this years to show I have had homeowners insurance this entire time, and there is no gap in coverage. 
I called them and went through several people to speak to a live agent. I got hold of someone named " XXXX ''. He stated that when they got my former policy from my previous lender ( XXXX  ), somehow they were under the impression that my policy started on XX/XX/XXXX and that's why they had XX/XX/XXXX as the date the prior policy expired. I asked him how that was possible since I closed on the home on XX/XX/XXXX. I also asked him where on any of those declaration pages does anything state XX/XX/XXXX?????? He couldn't give me an answer, but did have all of my declarations and stated that my policy was up to date and I would not be charged any {$25.00} fee. He stated I would not get any more emails, he would take care of everything. He sent me an email confirming this. 
Tonight, at XXXX XXXX, I received more emails from this insurance team at Loancare now telling me that they can not process my documents. This is ridiculous. I have had my agent speak to them. I don't know what else to do except see if my prior lender/servicer can contact them since they are where the loan originated. 
I feel like this is all on purpose. They harass you about something, and it seems something trivial if you are a good customer, to attempt to get money from you. In this case, it would be reimbursement for placing lender based insurance, or from attempting to stick fees in ( like this supposed gap in insurance ). It seems like no one keeps notes on anything here and NO ONE COMMUNICATES. THIS IS NOT A LEGITIMATE COMPANY. IN THE 2 MONTHS NOW IVE BEEN WITH THEM, THEY ARE THE WORST COMPANY I HAVE EVER DEALT WITH, IN ANYTHING. THEY NEED TO BE INVESTIGATED. They have all of my information that you guys have, as far as my policies. A monkey could process those, I don't understand what the issue is other than they are FRAUDULENTLY attempting to scam money from me at this point.

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