Consumer complaint received 2016-04-26
Company: MIDFIRST BANK
State: TX
Product: Mortgage
Sub-product: FHA mortgage
Issue: Loan servicing, payments, escrow account

Complaint:
On or about XXXX XXXX I contacted MidLand Mortgage about a letter I had received about my flood insurance policy. I was told that the current policy was being replaced ( I was told today by XXXX that there is a letter in my file stating it canceled because I lived in a mobile home - NOT TRUE -however it was said to me today on a recorded line ) I was told that flood insurance placement was put for on my home me - the way it was explained was it was exactly what I had. At the time I did not know that placement was a bad thing. I thought it Midlands way of continuing to take care of my insurance like it had been being taken care of. At the time of my call ( It was a year ago ) I was told that what I was being placed was the same as I had. I asked about the cost since it went from {$360.00} to over {$1000.00} and was told that Flood Insurance was Government issued and with all the recent floods the cost went up and that was the reason for the increase. I can barely pay my mortgage so when I called in XXXX of 2015 had they told me that the placement insurance was 3 time the amount of the flood insurance that I needed ( See XXXX page for 2015 ) and not nearly what I had I would have gotten to the bottom of why the XXXX insurance was not still in effect - I was told that what was placed on my mortgage was the same as I had and the cost was Government regulated and it was what it was!! 

I live in a what is considered a very high risk flood zone I am required to have XXXX insurance after talking to the XXXX XXXX XXXX XXXX being in a flood zone I was advised by them that even when a mortgage company does placement insurance it should be through the XXXX insurance program which was not done. 

I know now that XXXX did not cancel my insurance because I lived in a mobile home they canceled it for NON PAYMENT! My insurance was escrowed so it was not canceled because something I had done it was canceled because something Midland Mortgage DID NOT DO! I have a copy of the renewal that was sent to Midland Mortgage for 2015 by XXXX they sent it directly to Midland not to me. I did confirm with XXXX today that the address they sent it to was correct and it was not returned to them. 

I should have never had forced placed insurance on my mortgage I should have had the XXXX XXXX insurance for {$360.00}. 

I have property damage from the recent flood and now I am being told that I have no coverage - AGAIN THIS IS NOT BECAUSE OF SOMETHING I DID! It was because MidLand DID N'T pay the bill! 

I was advised to contact someone in the corporate office of Midland and make them aware of my issue and damage and give you the opportunity to fix it. 

Please be advised that I have thousands of dollars in property damage that I am being told now is NOT covered - this is WRONG on so many levels. I did nothing to have this happen to me! I pay my mortgage it my be late because I struggle to pay it ( again I asked why the placed insurance was so high and was told it was regulated by the government and that 's what it was! ) If I knew I could save $ XXXX a year I would have researched what was going on!! 

Here is a link to the damage that I have XXXX I currently have no running water in my home! 

This is a serious matter and need attention right away! 

I also need information on forbearance with my loan because of this disaster that has happened to my home and my community. 


Thank you in advance with your help with this matter! 

XXXX XXXX XXXX

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