Consumer complaint received 2024-08-06
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: Rocket Mortgage, LLC (FL)

I have a mortgage with Rocket Mortgage and they have an escrow account for me which they service and I have no access to. They are very negligent in managing my escrow. One incident I had prior to this problem I am filing this complaint about they had sent double payments to two different insurance companies and I was the one to realize it a whole year later, Now this time around their newest error is costing me {$4800.00}!! On XXXX of XXXX I called Rocket Mortgage and told them I would be changing home insurance for my renewal, i made sure to call in on time so that I would not have the same problem I had of when they had sent 2 home insurances. I called and provided them the information of my new home insurance. I thought it was handled and done with. They somehow started messing up and sending payments to the wrong payment place which created a lapse in my insurance for non payment and I had absolutely no knowledge of this whatsoever. It wasnt until this year in XXXX of XXXX that I received a letter from Rocket Mortgage that stated they needed my updated hazard insurance or theyd be putting a lender placed one, that was strange so I called my insurance company ( which I thought they had made a payment to ) they told me that my policy was canceled in XXXX of XXXX due to non payment from Rocket Mortgage!! So Rocket Mortgage left my home without insurance for a whole year! Meanwhile I thought they sent my payment and that my insurance was active. I called and reported their error and they said they sent payment to my insurance company but it never was accepted and they knew nothing about the insurance company canceling the policy for non payment. They sent me a timeline of how they went back and forth trying to send payment to the insurance company. I spoke to the insurance company and they state they never received payment from them so they canceled it, but I had no knowledge any of this was even happening. I have absolutely no access to my escrow account therefore I am only responsible for providing my declaration page and information of insurance and making my payments and Rocket Mortgage is responsible of making sure that my insurance received that payment. They failed to get that payment to them and never told me anything until it was time to submit my renewal 12 months later and this created a 12 month lapse in my home insurance and then rocket mortgage decided to place a lender placed insurance policy for that time period and took {$4800.00} from my escrow account for those months that they did not do their job to get the payment to my insurance. None of this was my fault and that amount is ridiculous for an error I am not responsible for. That is more than 4 times my insurance policy amount!! They were negligent in making sure the insurance company received their payment and they also failed to communicate with me and never let me know they did not get the payment to the insurance company. I would have immediately got another insurance policy active if I had known. I have never had any lapse in insurance whatsoever. I have tried to get this resolved and tried to discuss it with that particular insurance policy but because Rocket Mortgage lapsed my insurance for 12 months it is impossible to reinstate that insurance for that time period and the only one suffering a loss because of their negligence is me. This is just robbery at this point and beyond negligent. My escrow account is now extremely negative because they took ALL of the money out to put their expensive lender placed insurance for XXXX XXXX. Meanwhile I thought all along the payment had been sent by them and my home was insured. This has also costed me a new higher policy amount because it was difficult to find a new insurance with having a lapse on my record due to their negligence. When I reached out to them they just go back and forth pointing fingers at the insurance company for lack of communication with them but refuse to acknowledge their mismanagement and negligence in communication with me. I should have been told that their payments were being returned and their checks were not being accepted. If I had known any of this was going on I would have had home insurance reinstated before it hit a 12 month lapse and now I am stuck with a negative escrow and a {$4800.00} balance! This is bad business.