Consumer complaint received 2024-05-23
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Trying to communicate with the company to fix an issue while managing or servicing your loan
Company: Onity Group Inc. (VA)

Our mortgage loan has been being serviced by PHH since XX/XX/XXXX. They sent us an initial notice that we were required to have an HO-6 policy under their terms. At that time, we contacted the company to notify them that an HO-6 policy existed within the condo policy purchased by our HOA in our community. They stated the issue was resolved. 

We received another notice in XX/XX/XXXX stating the issue was not resolved and that we were still required to have an additional HO-6 policy or lender-placed coverage would be implemented. We spoke with our insurance agent, who stated that was incorrect and he reached out on our behalf to PHH to resolve the issue. We were again told the issue was resolved. 

Between XX/XX/XXXX and XX/XX/XXXX, we received three additional notices. In each of these instances, we were told that there were several issues, all of which were claimed to be " resolved '' after multiple phone calls to PHH 's customer service line. Initially, they stated the policy was expired. It was not. The coverage dates were correct for the period requested. In a second phone call on XX/XX/XXXX we were told they were unsure of why there was an issue, and the documents we submitted were sufficient for the requested coverage. The issue was still not resolved and in a phone call on XX/XX/XXXX, we were told the coverage was not approved because it was not in the equivalent amount to the price of our home. Our insurance agent called PHH again on our behalf, and we were then told the issue had been resolved. I placed follow-up phone calls on XX/XX/XXXX, XXXX, and XXXX XXXX, as the website did not reflect that our documents were approved, and were told " The system is catching up, the information we have is correct. '' We continued to received notices stating our policy was expired and we would incur lender-placed coverage if not corrected. I called on XX/XX/XXXX, and was told, again, that the information we submitted was sufficient and the issue would be resolved " within two business days. '' We received a " final '' notice on XX/XX/XXXX stating that lender-placed coverage had been purchased to satisfy the requirements of the HO-6 policy. After 4 phone calls with the customer service line, two calls from our lender, and requests for escalation. I have asked for this issue to be escalated time and time again without follow-up. To further insure we would not have issues moving forward, we purchased another HO-6 policy privately that covered assets and damages that were not included in our condo policy HO-6, but these were not required legally to be obtained by PHH. Ultimately, I received a call from XXXX XXXX on XX/XX/XXXX who informed us that the lender-placed insurance research task opened to " update the insurance so we would stop receiving these notices about the latch charge ''. We were told this would be completed no later than XX/XX/XXXX. 

Today, XX/XX/XXXX, we have now received a notice claiming our insurance policies were expired. I can not conceive what they could possibly be missing, given that were were explicitly told this issue was resolved. I called XXXX XXXX this morning, as she is the only person who I have a direct contact number for that is not the customer service line, and she has not returned my phone call.