Consumer complaint received 2024-07-11
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — Payment process
Company: Rocket Mortgage, LLC (MD)

Without my knowledge or communication, Rocket Mortgage unilaterally cancelled my mortgage account 's bi-weekly autopayment, that was initially established on XXXX, XXXX XXXX and went uninterrupted ( and had my account consistently paid ahead ) until XX/XX/XXXX. Once my mortgage became past due because of the unilateral and uncommunicated cancellation of the auto payment, they did not notify me of the late payment, assessed late charges, then reported my account as delinquent to the credit bureaus. 

My issue is that the funds were in my account that the auto payments were scheduled to be drafted from. The reasoning that I was given when I called to attempt to resolve the issue with Rocket was that my auto payment was cancelled after a single bi-weekly payment ( XX/XX/XXXX ), to complete my partial payment that was already made towards the month because I pay ahead, was returned as NSF. This is problematic because although they advised me via email of the NSF bi-weekly payment, which I took care of on XX/XX/XXXX to complete my XXXX payment that was due XX/XX/XXXX, nothing in those emails indicate that my auto payment would be cancelled due to the NSF payment. Instead, they sent me a letter via USPS, which I received on XXXX, after my payment was made for the month, stating that as long as I made the payment " by the end of the month '', my auto payment would not be cancelled. 

Since the XX/XX/XXXX NSF payment was in reference to my bi-weekly mortgage payment due on XX/XX/XXXX, the notice was dated for the last day of the month ( XX/XX/XXXX ) and was sent via USPS regular mail, and the letter I received was received by me on XXXX, I made the reasonable assumption that my payment assumption that my payment needed to be made by the end of the month my payment was due in and my XX/XX/XXXX payment for XXXX ( my first late payment - 2 days after the XXXX due date and prior to a another missed installment in my bi-weekly schedule ) was sufficient to keep my auto payment going. 

After cancelling the auto payment, they do not inform me that my XXXX payment is late. I have received no phone calls or emails from them regarding the past due XXXX payment. I only found out that my XXXX payment was past due because I subscribe to credit monitoring services and noticed the 30 day late reporting to the bureaus. I immediately brought my account current, then re-established my auto payment schedule. 

I, then, requested that my credit report be corrected due to the unfair and deceptive approach to how my auto payment was handled. I received an email at both the time I initially scheduled my auto payment in XXXX and again when my auto payment was re-scheduled in XX/XX/XXXX, after they stopped it in XXXX ; however, they did not deem it necessary to communicate that my auto payment was being stopped, which seems to me to be an unfair and deceptive practice to communicate email confirmations to me regarding the scheduling of my bi-weekly auto payment but not communicating changes to my auto payment schedule when it comes to cancelling the schedule of a customer that has been in place for 3 years since the origination of the loan. 

The only communication of a potential cancellation of my auto payment schedule was in a letter received after I had already made my XXXX payment. There was no additional communication made to me regarding any changes to my repayment arrangements and this seems to be a predatory tactic to generate additional late fee revenue as a mortgage servicer ( and interest if they are the holder of the note ). There is no other reason to deny a refund of the XXXX late fee, after unilaterally cancelling an auto payment in place for 3 years, to a customer who prior to the NSF had been paid ahead since my first bi-weekly payment in XXXX of XXXX and not communicating this to them in a reasonable manner. 

I have attached the email communications received from Rocket Mortgage showing the emails, which do not state anything regarding my auto payment being cancelled, along with how Rocket Mortgage communicates the scheduling of a customer 's auto payment vs the lack of communication they provide when cancelling a customers payment. In addition, I have attached the letter I received on XXXX.