Consumer complaint received 2019-04-12
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: PLATINUM HOME MORTGAGE CORPORATION (CA)

I have been trying to get information regarding the removal of PMI and this process has been more than frustrating. 

In summary : I contacted Platinum sometime in late XXXX XXXX and asked very specific questions regarding the PMI removal process. I was told that the LTV needed to be at 80 % for this to happen. I specifically asked whether it was 80 % or if it was 75 %. I was told during this initial call that 80 % LTV, along with a new appraisal, was the requirement for consideration of PMI removal. I was very clear with my questions and even made sure to confirm this information so there would be no confusion on my part. The Platinum representative told me 80 % LTV plus a new appraisal. 

On XX/XX/XXXX I contacted Platinum and paid for the appraisal. The {$420.00} was paid over the phone on that day. After making the payment, I was told that I would be contacted by Platinum to schedule the appraisal. The woman stated I should be contacted by a certain date ( cant remember the exact date but approximately 3 weeks ) and if I havent heard from Platinum by that date, I should call back. 

Around XX/XX/XXXX I still had not heard from Platinum so I called back as directed. I was told that I owed an additional {$150.00} for the appraisal as the initial {$420.00} was not sufficient. Im not sure how I was supposed to know this as I was never contacted by Platinum to inform me of this. I paid the additional {$150.00} over the phone as instructed by the employee from Platinum. This was all done the same day. I was again told that I should hear something from Platinum within the next couple of weeks. I was given a date but Im not exactly sure what the date was exactly. I want to say that it was sometime around Christmas. Well, that day came and went and once again, no contact from Platinum regarding the appraisal. I called Platinum and explained the situation and stated that Platinum had failed to contact me ( by the dates the had provided ) on two separate occasions. An appraisal was ultimately scheduled for XX/XX/XXXX. 

On XX/XX/XXXX the appraisal was completed. The appraiser was very polite and was a pleasure to work with. I was told ( by the appraiser ) that his report would be given to Platinum in 3 days or so. After waiting a few days, I called Platinum to check the status of the process. I was told the appraisal had been received and was under review. I would be contacted with Platinums decision in a few weeks. Again, I was given a date that I do not remember. 

As had happened twice before, I did not hear anything from Platinum by the date I was provided. On XX/XX/XXXX I called Platinum for an update. I was told that our home appraised for {$660000.00} but the request to remove PMI was denied. I was told the LTV % used to make this determination was with the original purchase price of {$620000.00} and not the {$660000.00} that the appraisal stated. I was also told that the LTV needed to be 75 % LTV and not the 80 % LTV that I had been previously told.

Not only was it now 75 % LTV, it was 75 % LTV of the original price and NOT the new appraised value. I explained that I had been told differently during my previous conversations with Platinum. I also asked why the {$660000.00} value was not used. I was told that Platinum decided to use the original value instead of the new appraised value. I asked why would anyone pay {$580.00} for an appraisal if Platinum was just going to use the original purchase price as their baseline value? If Platinum was going to use the original value, it would make no sense for anyone to pay for a new appraisal. The woman on the phone had no reasonable explanation for using the original purchase price value. 

I then asked why Platinum could decide to use whatever value they wanted when it had been Platinum who required the appraisal in the first place. There was no explanation provided other than that was the value they ( Platinum ) had decided to use. I was also told that my PMI would be automatically removed once the loan balance was at 78 % LTV or {$480000.00}. 

All of this information came as a shock to me as it was completely contradictory to what I had been previously told. Why would anyone pay for an appraisal if Platinum could chose whatever amount they wanted to use? Of course Platinum would chose the lower value and keep themselves protected by continuing to collect PMI. 

This conversation ended as I was now thoroughly frustrated with the process. I explained to the customer service agent that I had been given bad information and that I did not blame her for my frustrations with the company. I did however, want her to know what Platinum had told me in previous conversations. Im sure those calls are recorded and Im confident that this employee knew I was not shooting the messenger as she was just relaying the information provided to her. 

The next day or the day after, my wife contacted Platinum for more information regarding this decision. My wife asked to speak with a supervisor and instead, was given a local branch employee ( XXXX XXXX XXXX ) contact information. My wife and I have both contacted XXXX and she has been in contact with Platinum on our behalf. XXXX has been more than helpful and I appreciate all the effort she has put in to help us resolve this issue. She really has been the only bright spot in the entire ordeal. 

XXXX contacted Platinum on our behalf and she was given the same 80 % LTV information that I was initially given. Per my conversation with XXXX, who had been in contact with Platinum customer service, Im certain that both XXXX and I believed the PMI would be removed at 80 % LTV of the new appraised value of {$660000.00}.

Using the 80 % LTV number that she was given, I added an additional {$1000.00} to our XX/XX/XXXX payment. This would guarantee that our LTV % was below the 80 % LTV that both she and I had been told. XXXX then told me to send an additional request to remove PMI, along with a copy of the appraisal. 

Once the XX/XX/XXXX regular payment, along with the additional {$1000.00} had cleared, I knew we had met the 80 % LTV requirement. On XX/XX/XXXX I sent Platinum a second request to remove PMI and attached a copy of the appraisal. 

Platinum acknowledged receipt of my request and I was told, via an automated email response, that the request would be processed in 15-20 days. 

As had previously happened ( twice before ) the self imposed date came and went with no response from Platinum. Nothing was sent to us, no phone calls were made, and we still did not have an answer. 

When the next monthly statement arrived ( XX/XX/XXXX ), the PMI was still applied to the loan and another {$220.00} PMI payment was due. There was no additional information regarding our request on the XXXX statement. 

On XX/XX/XXXX, I sent another request to Platinum asking about the status of our request. I also stated how disappointed I was in the customer service and lack of communication from the company ( not XXXX ). On XX/XX/XXXX I missed a phone call from Platinum as we were flying home from a vacation in Florida. A voicemail was left however it was too late in the day for me to call Platinum back. 

On XX/XX/XXXX I called the number provided in the voicemail. After jumping through the hoops of the automated phone tree, I spoke with a woman named XXXX. I explained the situation and stated I was returning a call from Platinum. XXXX had no idea what the call was about and stated she could not find any notes regarding the reason for Platinums voicemail. As XXXX continued to search for the reason behind the voice mail that Platinum had left me, I received a call from the same number that I had reached XXXX with. This number was ( XXXX ) XXXX. I told XXXX that it appeared Platinum was now calling me while I had her on the phone. I told XXXX I would answer that call and maybe the person on the other end would know about my situation. 

When I answered the call from Platinum, and in the process placed XXXX on hold, I was greeted by a recorded message telling me to call Platinum at the same number. There was no one on the other end of the line. I hung up and expected to return to my call with XXXX. When I hung up, XXXX was now gone and the call disconnected. Frustrated even more by the ridiculousness of this situation, I called my wife and asked her to call Platinum as I needed to get back to work. 

Later in the day ( still on XX/XX/XXXX ) my wife called Platinum to speak about the second request for PMI removal. My wife was told that the PMI removal was denied. When asked for the reason for the denial, no reason was given. My wife was told that Platinum would send an email to us ( me ) within the hour. This email would explain the reasons for the denial of our request to remove PMI. It is now almost XXXX XXXX. on XX/XX/XXXX and no email from Platinum was received. 

Its sad to say that I am not surprised by this. Given our experience with this PMI removal process, Id say this is par for the course as the customer service and communication from Platinum has been nothing short of horrible. 

In summary, it appears I paid {$580.00} for an appraisal that I apparently did not need as the higher appraised value was not going to be used by Platinum. Im still wrestling with the fact that Platinum requested this appraisal as part of the process. Platinum also selected the appraiser, and then chose not to use the new appraised value in their decision making process. 

Im also wondering why so much contradictory information regarding the LTV % was provided to me during this process. I feel like I asked all of the right questions when I initially inquired about the removal of PMI. Im also extremely disappointed in the horrible communication that Platinum has provided to me as EVERY promised date was ignored by the company and instead, I had to reach out to the company every step of the way. 

There can be no good reason that several weeks went by because I owed an additional {$150.00} for the appraisal. I was told {$420.00} the day I ordered the appraisal, not {$580.00}. Platinum never even called to say it would cost more. When I called to inquire, I was then told that I owed the additional money. I have no idea how I was supposed to know this information. 

After resolving the appraisal cost issue, Platinum never met their own ( self imposed ) timelines they had provided to me in regards to the scheduling of the appraisal and the decision to remove PMI. This was beyond frustrating to say the least. 

Even so, after speaking with XXXX, I was optimistic that the situation had been resolved. I agreed to pay an additional {$1000.00} to ensure that we met the LTV % requirement that both XXXX and I had been told. Even after doing so, and re-submitting the PMI removal request as told, the request was again denied for some unknown reason. Platinum then ( again ) stated they would send an email with the hour, with an explanation for the denial. No email was sent and I am still without answers. 

I feel like I have wasted the {$580.00} for the appraisal. I also took {$1000.00} out of my savings that I apparently did not need to. I am extremely frustrated and absolutely disappointed in Platinum. I absolutely despise the fact that I have to send Platinum another payment as I would never support any company that provides such poor customer service. 

Hopefully Platinum can get everyone on the same page and provide consistent and accurate information to their customers. Doing so may ensure that no one else has to go through this horrendous process that I have dealt with since XXXX of XXXX. XXXX XXXX in XXXX XXXX has been great with us. This email is no reflection of the interactions we have had with her. She has been more than helpful and the folks at Platinum should aspire to be as helpful as she is. 

After I sent the above complaint to Platinum ( on XX/XX/XXXX ) I was contacted by a local branch employee on XX/XX/XXXX, indicating the second request was also denied. Oddly enough, a generic letter indicating the denial was attached. Letter was dated XX/XX/XXXX.