Consumer complaint received 2023-02-03
Company: Rocket Mortgage, LLC
State: FL
Product: Mortgage
Sub-product: Home equity loan or line of credit (HELOC)
Issue: Trouble during payment process

Complaint:
Good Day, I am filing this complain on behalf of my XXXX XXXX XXXX Mom who is now currently going through early signs XXXX XXXXXXXX. However I'm her power of attorney is able to speak on her behalf. My Mom took out an home equity line of credit ( {$40000.00} ) back in XXXX with Quicken Loan now call Rocket Mortgage. She has been making payments on her account to pay down on the principal of the loan over the years which left her with a balance of roughly {$21000.00} with a monthly interest only payment of {$140.00} each month, which was some what affordable since she is on a fixed social security income and she never had to pay any escrow amount because it was not necessary at the time when she got the loan. However back in XX/XX/XXXX her home owners insurance decided to drop her because she filed a claim to fix her roof which was damaged from prior hurricane that she were just keep patching up and which only got worst over the years. So Rocket mortgage found out in XX/XX/XXXX that she was dropped and said they have to put a lenders placed XXXX on her loan which took her monthly payment now from {$140.00} to over {$560.00} per month which I found out XX/XX/XXXX and that insurance were {$4200.00} for the year XXXX. Since then my Mom was having a bit of challenge paying the increased amount, so I asked Rocket Mortgage to see what could be worked out to lower her monthly payment and they suggested doing a modification which went in effect in XX/XX/XXXX, and although it took the interest monthly payment from {$140.00} to {$98.00} it did not really made a difference, because two months later XX/XX/XXXX the renewal for the insurance went up to {$4800.00} for the year XXXX, and on top of that they also now decided to add her property tax to escrow although it's been paid up by my sister on time every XXXX, so they said that money will stay in escrow for next year taxes just incase she can not pay it and falls behind, which I told them makes no sense when it has never been late and while she is being forced to pay a high monthly payment that she is struggling payment each month which is now over {$650.00} per month, worst than it was before. Rocket Mortgage informed me that in order to removed the lenders placed insurance she has to get her own insurance then they will be happy to remove it. So finally after an attorney was able to go back and forth with the insurance company her roof finally got fixed in XX/XX/XXXX, and we got her an insurance that went in effect XX/XX/XXXX. Rocket Mortgage got the Docs from the insurance regarding her new insurance, and they told me we would have to wait until they get back the refunded pro rated amount back into escrow then they would make the adjustment and removed the escrow from the account which could take a couple weeks. After my sisters and I evaluated and reviewed the loan with Rocket Mortgage we decided to help our Mom with the outstanding amount, and paid an additional {$10000.00} to the account which will now bring it to only about {$11000.00} outstanding. 
Today after reaching out to Rocket Mortgage to check on the status this way I can know how much will the monthly now go to after removing the escrow amount and the - {$10000.00}, so we can pay for XXXX which is now due, and after I made contact with their Insurance team who had me spoke to a XXXX in the escrow department she informed me that unfortunately because she had a late payment back in XX/XX/XXXX, the escrow will have to stay in place until XX/XX/XXXX. Now this is a problem, because not only will she still have to pay for the lenders place insurance that they add to her account, but she will also have to pay the new insurance she now have in place which is over {$270.00} per month. I need to know if what Rocket Mortgage is doing is legal and are they in compliance of this kind of behavior? In my opinion I think they are taking advantage of an XXXX, because they see that she has no other mortgage on her property which is worth over $ XXXX that they are hoping that she can not pay her monthly on this way it can go into foreclosure so they can take it away from her. This is not wright and something needs to be done ASAP. 

Kind Regards, XXXX

Company response to consumer: Closed with explanation