Consumer complaint received 2016-08-17
Product: Mortgage — Conventional fixed mortgage
Issue: Loan servicing, payments, escrow account — 
Company: Onity Group Inc. (TX)

I have had a mortgage since XXXX. When I originated my mortgage, I asked to not have an escrow account and I successfully paid for my insurance and taxes. Ocwen acquired my loan in XXXX. I had hazard insurance and paid my taxes in full each year. In XXXX XXXX, Ocwen called me and informed me that while my payment on my mortgage payment to them included an amount to cover a sufficient windstorm policy, they discontinued it and I needed a new policy. They told me I had until XXXX XXXX, XXXX. I secured a policy before the due date and faxed it to them. They said a few times that they had not received it. They went on ahead and put forced place insurance coverage in place. After finally receiving my insurance, they credited me back SOME OF the {$1600.00} in forced place insurances, but there was a balance remaining. Apparently, since XXXX XXXX once they acquired the insurance, they took every mortgage payment I had and suspended it, choosing to apply my mortgage payment first to my escrow balance they created and then to my mortgage. I called in and found out about them saying I was late, but never knew they would actually report this on my credit as we were in dispute. In all the years I have had my mortgages, no one had asked me to have windstorm. Once told to get it and by which date, I obtained it. I did not know they needed to me to have to itany earlier. They refuse to recognize that this was not something I was ever told was a must until XXXX and when they gave me a date, I performed. They have not applied my mortgage, reported me late, threatened foreclosure because of the lates. All the while, I continue to pay my mortgage. Now they say I only owe {$120.00} in that escrow account. Because I had my own policy and was within compliance, I refused to still pay theirs without verifying information. I asked to speak with their legal department and their insurance department to get dates. I have been told several times that they do not have a legal department and despite me asking for arbitration or mediation in writing, they have never granted me this request. The amount I owe is less at this point as they keep decreasing it, but still over what I am supposed to pay on my loan note so they are continuously reporting me late, charging me late fees and ruining my credit which has impacted my business. They call me at odd hours day and night telling me to just pay, threatening me with foreclosure and more bad credit ratings. Today, I called in tears to ask for help and stayed on the phone for an hour. The guy names XXXX tried to get me to confess that I knew I needed the insurance, which I did not, he said he would submit something to remove the negative credit, he referenced a phone call with XXXX on XXXX/XXXX/XXXX that said I knew my credit was ruined so they would not fix it, and then the insurance agent we conferenced in at Ocwen stated they received my policy, and refunded me only the portion that was not used. But I did not know I insurance, windstorm insurance specifically, was a requirement in XXXX XXXX, the month they claim to have the forced place policy. I heard from them in XXXX XXXX that I had until XXXX XXXX so how was I ever supposed to know I had been dropped with them, or that I needed it? Now they misappropriate my mortgage payments causing me to be late on my mortgage and blame all of this on me. How can I get the help I needed going in circles like this? Please help me save my credit and avoid losing my home. I have never been late on my mortgage EVER!