Consumer complaint received 2024-01-25
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: RoundPoint Mortgage Servicing LLC (NC)

Roundpoint Mortgage has failed to act as a fiduciary with regard to our escrow account. We have maintained insurance ( option and then mandatory flood - dues to changing flood maps ; windstorm, and hazard ) for many years prior to Roundpoint becoming our servicer. 

In the fall we were notified we would need to have these insurances ( which are not managed by their escrow department ) for our loan to remain compliant. Understanding this, we paid our annual premiums on our own and provided declaration pages to Roundpoint via email, fax, secure email, and their secure portal ( serviced by a third party website ). We then had our insurance agent provide same again. 

We received confirmation of the uploads. For the past three consecutive months we have been threatened with lender placed insurance ( after confirmation they received our insurance declaration pages and confirmation on the phone they received same ). Then, on XX/XX/XXXX, they placed lender coverage which was - by their own correspondence - not needed as our insurance had been in place. 

After many phone calls and correspondence we were told that insurance was placed and then we were told the lender policy was canceled and we would not be charged. 

Today, XX/XX/XXXX, I received notice that my mortgage payment is increasing $ XXXX because of ... .the need to pay the lender placed ( and canceled by their own letter and confirmation that I had insurance and still have insurance which is sufficient ) insurance. The increase will not only cover the annual premium which was wrongly and improperly placed, but also the shortage for next year 's flood insurance premium. 

When we called into the company we are told that we should have had insurance ( we did and they confirmed they had it ) and that they will need to do another analysis before they will release the change in escrow. In the meantime I am only allowed to make the new mortgage payment amount and if I don't then I could see my account fall into default. For context, I am a month ahead on my mortgage and like to prepay a few months in advance when possible as I'm self employed. When we asked for a supervisor, we are initially told there is nobody to speak to. Then we are told that nobody will take the call. Then we are told we must wait on hold for well over an hour to see if someone will take the call. 

I have asked multiple times to manage my own escrow account ( which I already do for the insurances since I can not trust this company 's record keeping and fiduciary capacity to make sure my home is covered. All that would entail is myself paying the cost of annual property taxes, but I am told that would need another analysis ... which is not comforting since the first analysis resulted in threatening letters, unilateral change in payment amounts and obvious and admitted negligence when it comes to actually confirming we had the insurance in place. Our loan to value is between XXXX and XXXX percent ( owe approx. XXXX on a house which appraises for nearly XXXX ).