Consumer complaint received 2016-07-27
Product: Mortgage — Conventional fixed mortgage
Issue: Loan servicing, payments, escrow account — 
Company: Seterus, Inc. (RI)

My wife and I were rolling my current mortgage with Seterus Inc into a line of credit at XXXX XXXX XXXX. I called Seterus on XXXX XXXX to inform them that a closing was scheduled for XXXX XXXX at XXXX and that my loan with them would end on that date. Since my payments are due at the end of the month and I normally send an online bank check on XX/XX/XXXX, I asked if I needed to send in my XXXX XXXX payment. They said I did not need to send it in. Considering XXXX had called them the week prior for the payoff amount thru XXXX XXXX, they were going to get all that was due to them regardless thru XXXX XXXX. On XXXX XXXX we closed on the XXXX line and on XXXX XXXX I received a letter from Seterus that my loan was closed out and paid in full and that within 30 days they would contact me if they owed me money back for escrow, interest, etc, which they will owe me. On this same exact day, Seterus sent me a generic mailer stating " you 've missed a payment, we can help you. '' We ignored that as simply an auto generated letter. Meanwhile, my daughter and son in law are buying a new home and my wife and I are co-signers. Their mortgage company ran my credit in XX/XX/XXXX for this loan and it was perfect as their co-signers. However, since so much time had passed, they asked on XXXX XXXX if they could run it again, and I OK 'd this. They called me right back stating that Seterus reported to the credit bureaus that I missed my XX/XX/XXXX payment and this in turn dropped my credit score by XXXX+ points and now with this new low score, my daughter 's loan is on hold until this is fixed. I called Seterus immediately and spent over XXXX hour on the phone with them asking them to immediately report this as their error and they stated that they would, but when I asked them to send me a letter in writing confirming this and they said they will not and added that I needed to wait for another department within Seterus to review this and then they would submit it. She said the process will take XXXX to 40 days. My daughters mortgage company said that all they need is a letter from Seterus stating this was their error and that they are withdrawing it from the credit bureaus and we can move forward. Seterus confirmed on the phone call yesterday that I called in on XXXX XXXX and asked if I should make the payment and they instructed me not to. My grave concern with this is that I can not wait 15-40 days and that Seterus has been HORRIBLE at bookkeeping and has made NUMEROUS mistakes on my account in the 20 months they held my mortgage, and I would n't be surprised if it happens again. I need them to fix their error immediately. In fact, one of the reasons we closed out this loan was to get away from this HORRIBLE company. Their first coorespondence to me when XXXX sold my mortgage to them was a letter saying they were foreclosing on my property for non-payment. I called them and asked who they were and they said they just bought my loan and needed immediate payment. My payments went from my web banking to XXXX so XXXX contacted me and said they would forward them my first Seterus payment. XXXX months later they said I was one month behind in my payments and I informed them that I sent them 7 payments over the 6 months they had my loan so I was ahead. They then agreed. They then sent me a letter stating I did n't have any homeowners insurance and they would be adding {$6000.00} to my loan to pay for their own insurance. I called and faxed them my homeowners policy. Six months later they sent the same letter so I sent them the policy again. XX/XX/XXXX they sent me a letter saying my escrow was in the negative by $ XXXX+ so my mortgage was going from $ XXXX/month to $ XXXX+/month to cover it. I called and told them this was impossible as my taxes are $ XXXX/year and I pay my own insurance. A week later they sent me a letter stating my monthly payment was going down to $ XXXX/m