Consumer complaint received 2021-07-01
Product: Mortgage — VA mortgage
Issue: Trouble during payment process — 
Company: PENNYMAC LOAN SERVICES, LLC. (FL)

XX/XX/XXXX PennyMac Loan Services NOTICE OF ERRORS XXXX. XXXX XXXX XXXX XXXX, CA XXXX Re : Notice of Errors 1. Failure to Properly Apply Florida Property Tax Exemption in a Timely Manner 2. Failure to Properly Apply Veteran Administration 100 % XXXX in a Timely Manner 3. Failure to Properly Apply New Property Insurance Company 4. Failure to Properly Apply the Paid In Full Receipt in a Timely Manner 5. Failed to Correct Multiple Mortgage Statements with Misapplied Payments in a Timely Manner 6. Failure to Account for my Mortgage Payments Properly or in a Timely Manner 7. Failure to Apply Our NO ESCROW in a Timely Manner 8. Violations of my Rights under the Fair Credit Reporting Act 9. Violations of my Rights under RESPA 10. Continued Harassment of the Above Offenses PennyMac Mortgage Services : Property Tax Exemption Since XXXX of XXXX, we have attempted to communicate with you, and implement in a timely manner, via many notices of errors, my Florida Property Tax Exemption Status granted to me by the XXXX XXXX, Florida Tax Assessors. As we have explained, and submitted documentation to you numerous times on your errors, that I am Property Tax Exempt due to my 100 % military connected XXXX. The appropriate official documentation from XXXX XXXX, Florida and the Veterans Administration have all been submitted to PennyMac in XXXX of XXXX. It was acknowledge as being received. It is now XX/XX/XXXX and you have failed to acknowledge this properly or implement this correctly, and in a timely manner, and after 30-days as required under RESPA. Failure to archive my important documents, communications, etc., could impact the handling of these in house problems before they are resolved. From the date of submission, you had five days to reply and 30 days to correctly apply this Tax Exemption to my mortgage without delay or mistakes via our Notice of Error and you have fail to do so. 

Property Insurance On XX/XX/XXXX, we switched insurance companies from XXXX since we found a better quote with better coverage to XXXX XXXX. We submitted the appropriate documents immediately to PennyMac, PennyMac refused to acknowledge this PAID IN FULL receipt and instead, contacted our previous Insurance Company and paid them the inflated price without informing us of this action, which was later recalled. To this day, PennyMac has still failed to apply our PAID IN FULL no escrow status correctly even-though, PennyMac has sent us a letter acknowledging as of XX/XX/XXXX we no longer will be escrowing our property insurance or property taxes with PennyMac. ( see attached ) On XX/XX/XXXX, we received a PAID IN FULL letter from in the amount of {$2200.00} from the XXXX XXXX Insurance offices showing this and sent it to PennyMac immediately via the client portal. This PAID IN FULL is through XX/XX/XXXX. PennyMac failed to implement this PAID IN FULL status for more than 30 days after being notified in a timely manner in the Notice of Error so we were told to upload it through the XXXX web page by our previous mortgage servicer. Even-though PennyMac has acknowledged in writing we will no longer be escrowing with PennyMac after XX/XX/XXXX, these changes still have not been implemented for the XXXX and XX/XX/XXXX mortgage statements. This change should have been retroactive back to XX/XX/XXXX when this request was received. From the date of submission, you had five days to reply and 30 days to correctly apply our new insurance via our Notice of Error to our mortgage without delay, mistakes or mishandling of funds and you have fail to do so in a timely manner. 

Misapplied Payments PennyMac has purposely slow walked implementing my Property Tax Exemption and the property insurance PAID IN FULL on its end causing multiple misapplication of funds and inaccurate accounting practices, improperly applying of funds in violation of the terms in the mortgage or deed of trust and overcharging us on our monthly statements by adding in unqualified escrow amounts. PennyMac continues to send us letters claiming we are late on our XX/XX/XXXX payment even after they have received our XX/XX/XXXX mortgage payment, ( Principle and Interest ) in full. 

On XX/XX/XXXX, we mailed our XX/XX/XXXX mortgage payment via USPS certified return receipt in the amount of {$1500.00} with personal check # XXXX. On XX/XX/XXXX, that check cleared my bank and was deposited into PennyMacs XXXX XXXX XXXXXXXX account. That image has been sent to PennyMac and still, our payments have been misapplied for XX/XX/XXXX. PennyMacs reply was they are looking for the lost check and are reviewing our communications. Another slow walk process and continued harassment by PennyMac. On XX/XX/XXXX, XXXX at PennyMac miraculously locates my check and says they will escalate this and have the check applied, some 15 days after it was received. On XX/XX/XXXX in the All Transactions page in the client portal it clearly shows my XXXX payment for {$1500.00} was applied on XX/XX/XXXX, yet I receive letters from PennyMac my payment is late, the check was lost, and later found on XX/XX/XXXX. Our XX/XX/XXXX statement shows we owe {$4000.00} instead of the correct amount of # XXXX and has not been corrected in a timely manner. 

Conclusion We have complied with every request for documentation from PennyMac, XXXX XXXX XXXX, XXXX XXXX, Florida Tax Assessors and the Veterans Administration and in most cases, submitted the same day as the request. We have communicated with PennyMac multiple times by phone, discussed with many representatives by email, by client portal, spent many hours on repeated mistakes and problems created by PennyMac attempting to get these mistakes resolved. We get slow walked every time, delays or partial implementations, rude representatives, untimely and mishandled funds, misapplied payments, one senior representative says they can fix the problem and they have the training and authority to do so, while others slow walk it through red tape for weeks on end, failure to recognize my Property Tax Exemption with the State of Florida, failure to acknowledge and implement PAID IN FULL property insurance and failure to implement our NO ESCROW request in a timely manner. This is a willful attempt by PennyMac Loan Services LLC to harass me because I am a XXXX veteran with property tax exemption and a PAID IN FULL home owners insurance premium through XX/XX/XXXX. 

We have attempted to get this resolved many times to no avail. It is now XX/XX/XXXX and these problems have still not been corrected. 

RESPA gives us the right to demand that you explain yourself thoroughly and correct all errors in a timely manner, acknowledging and responding to many written Notice of Errors and/or Request for Information. It has been more than 100-days to comply within proper timelines. If PennyMac continues to harass us via the above, we will seek immediate legal relief, compensation for damages for each violation and all legal expenses. PennyMac will be required to make our account whole and correct it going forward with NO penalties or fees, and to rescind any negative reporting to collections and or credit bureaus.