Consumer complaint received 2023-05-22
Product: Mortgage — VA mortgage
Issue: Trouble during payment process — 
Company: Mr. Cooper Group Inc. (VA)

Background : I had 2 mortgages with Mr. Cooper/Nationstar, as I was moving from one city to another, XXXX to XXXX Virginia XXXX Both houses were insured by XXXX XXXX XXXX XXXX. However, the home that I moved to in XXXX Virginia had an escrow included in the monthly payments, whereas the home I was moving away from in XXXX Virginia did not have an escrow account. Also I do not pay property taxes on my home in XXXX Virginia because my husband receives a tax exempt status for life with XXXX XXXX of XXXX due to his military status. In XXXX of this year I sold my former home in XXXX Virginia and I discontinued my homeowners insurance with XXXX XXXX XXXXXXXX XXXX. I made sure that at the time I discontinued/canceled my insurance for the home in XXXX, that the home in XXXX would be unaffected by this change. 
In XXXX of XXXX, I received a letter from Mr. Cooper/Nationstar stating that I had canceled my homeowners insurance for the home located in XXXX Virginia XXXX At that time I called Mr. Cooper/Nationstar and together we communicated with XXXX XXXX XXXX . I sent in documentation sent to me by XXXX XXXX stating that my insured had been paid in full up until XX/XX/XXXX and that there had not been any lapse in coverage since XXXX  when I first created this account. The next payment would be due before XX/XX/XXXXXXXX  and on XX/XX/XXXX SXXXX XXXX XXXX XXXX received payment in the amount of {$3500.00} to cover the insurance policy from XXXX. However, on XX/XX/XXXX, I received in the mail a letter from Mr. Cooper/Nationstar stating that I had a lapse in coverage from XXXX XXXX I also received a copy of the lender placed hazard insurance that was retroactively placed on my home on XX/XX/XXXX, for coverage that ended 1 month prior to the writing of the policy. This insurance that was retroactively placed cost me {$1900.00}. I contacted Mr. Cooper/Nationstar on XX/XX/XXXX and spoke with XXXX in the Escrow Department XXXX After trying and failing to get her to understand the issue I was having I asked to speak with a manager. XXXX instead called XXXX XXXX, which was the 3rd party Broker that sold me.my insurance policy and has no direct affiliation with Mr. Cooper/Nationstar or XXXX XXXX XXXX XXXX Again we asked XXXX to speak with a manager in the Escrow Department and instead she transferred us to a woman named XXXX in the Escalation Department. XXXX told us there was no way to get anything done today, because XXXX XXXX was closed. She asked that we submit paperwork XXXXXXXX that would support our claim that we had never lapsed in coverage. We explained to her that we submitted all of that paperwork back in XXXX of XXXX, but we still submitted it again at the above email location because both XXXX and XXXX stated that the Escrow Department did not keep any of the prior paperwork and that they could not see any of the prior notes associated with our account. They also stated that it would tak between 2 and 5 days before they could access the paperwork. However, the following day I received an email for Mr. Cooper/Nationstar stating that not only had they received all my paperwork, but had already concluded that they would not change the charges associated with my Escrow account. I called XXXX back directly and left a message. Then my husband and I called the Escrow Department. After some confusion we ended up talking to a XXXX who worked for the Escrow Department at the same time we talked with XXXX from the Escalation Department. When then found out that the Escrow Department was charging our account a shortage amount of {$3500.00}. Additionally, that starting on XX/XX/XXXX our monthly mortgage payment would increase to {$2500.00} a monthy. The increased amount of {$630.00} was to cover a shortfall of {$1900.00} lender place insurance they claimed we retroactively owed, property taxes for XXXX XXXX XXXX XXXXXXXX for which my husband is exempt and had supplied documentation for when first got the house in XX/XX/XXXX and supplied again when we refinanced in XXXX, and an inflation increase for the insurance policy with XXXX XXXX that will be due in XXXX. We explained the situation again to both XXXX XXXX XXXX ). And each said that they would investigate the separate matters further and get back with us by XX/XX/XXXX. XXXX from the Escalation Department called us back on XX/XX/XXXX. She informed us that she tried to contact XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX to check XXXXXXXX XXXX  tax exempt status, but because we were not on the phone to verify our private information, they could not speak with her. Therefore, she informed the 3rd party company that handles payment of taxes to cities and counties and they decided to send payment to XXXX XXXXXXXX XXXX XXXX in the amount of {$1800.00}, for back taxes they believed we owed even though they had never received a bill in that amount. To clarify our County tax bill is XXXX for storm water twice yearly. {$12.00} will be due for us in the month of XX/XX/XXXX. Mr. Cooper/Nationstar previously paid out {$12.00} to XXXX XXXXXXXX XXXX XXXXXXXX in XX/XX/XXXX. The is not a delinquent bill with XXXX XXXXXXXX XXXX XXXX. We asked her why she just didn't call us to help her straightened the situation out and she basically said that was her job. The additional moeny that Mr. Cooper/Nationstar claims to have sent to XXXX XXXXXXXX XXXX XXXXXXXX was not added into the previous balance, so I fully expect for Mr. Cooper/Nationstar to further increase what they claim we owe.