Consumer complaint received 2021-07-07
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: PNC Bank N.A. (NY)

Our flood insurance was set to renew on XX/XX/XXXX of XXXX. On XX/XX/XXXX I began calling insurance companies to ensure we would have new flood set up in a timely matter.On XX/XX/XXXX I signed flood insurance documents digitally through XXXX XXXX. I signed policy # XXXX. They were supposed to send the plan over to PNC bank as flood insurance is required to go through escrow. PNC would remit payment on our behalf. I was in touch with XXXX from the flood insurance company who kept advising me they had not send payment. I finally contacted PNC around XX/XX/XXXX as I was tracking our escrow account and saw they had not send payment, even though policy would expire in a matter of days. I called requesting they would send payment. PNC bank sent a payment of {$1300.00} and I saw this being taken from our escrow account. I assumed all was good since I noticed the amount was paid and I knew PNC was supposed to be in charge of the account. A few weeks later, now XXXX I noticed that the policy I signed on application for was in the amount of {$1400.00}. I noticed the discrepancy in payment. I contacted PNC for weeks who was no help in explaining why they sent that amount or to who they send it to. I even had PNC on a three way call with the flood insurance company. I began my own research calling the flood insurance companies. I learned that PNC never paid the policy I signed for on XX/XX/XXXX and instead paid a different policy with a different company which we had not approved. However PNC did not pay the full amount and so technically money was still owed if we wanted to keep insurance with this company. Therefore I discovered I had no active flood insurance. The flood insurance company told me there was not technically an active policy on the account since the payment they received did not match the amount due on any policies. They also could not reinstate any policies that day since it was past 30 days since the quote. They told me they would have to shop a new policy for me. The flood insurance company shopped a new policy for me. I immediately paid this new policy the flood insurance offered me in full and out of pocket to ensure we would not have a lapse in coverage. This was now XX/XX/XXXX. I had them start the policy this same day. This policy had a start date of XX/XX/XXXX. I called PNC to let them know of the all the errors they had made and provide them proof of coverage. I also requested they remove our insurance from escrow so we can track and pay it on our own after the horrific experience we endured. Which is our second horrific experience, since last year PNC didn't submit our taxes on time to our local village. Very frustrating that they are in charge of our money and consistently make errors with our money.They told me this wasn't possible. On XX/XX/XXXX I received a letter dated XX/XX/XXXX from PNC stating they are charging me {$270.00} for not having flood insurance XXXX. It was PNC 's error that left me without insurance when they submitted payment in the wrong amount, to the wrong company. I would still be in this mess without my own due diligence of tracking our escrow and paperwork. I signed an application on XX/XX/XXXX to ensure we would have an active flood policy. It is not my fault that due to their errors in payment there was a lapse in coverage and I will not be responsible for the {$270.00} charge that exists because of their own errors.I called PNC on both XX/XX/XXXX and XX/XX/XXXX to try and solve this situation. They have refused to work with me.