Consumer complaint received 2020-01-23
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: Onity Group Inc. (PA)

Our mortgage is serviced by PHH Mortgage Company. We have been escrowing for taxes and insurance since we took out this loan in XX/XX/XXXX. The loan payments, including escrow, have always been current and we have never been late with any payment. 

However, the second installment of our XXXX property taxes has not been paid. There were more than sufficient funds in the account on the date these taxes were due ( XX/XX/XXXX ). 

On XX/XX/XXXX, we received the attached notice that our taxes had not been paid. We contacted PHH on Monday, XX/XX/XXXX to find out why they had not paid. We were asked to send in copies of the tax bill and the tax notice to a specified email address. We sent those notices as soon as we completed the call. 

For the next couple weeks, we monitored our escrow balance in our account to make sure a payment was made. It did not change at all to indicate a payment had been processed. 

On XX/XX/XXXX, I contacted the tax collector again to confirm that he had not received any payment before contacting PHH. He confirmed he had not received a payment. I spent over 3 hours on the phone that day to reach someone who was helpful and assured me that a payment would be made on Monday, XX/XX/XXXX. 

On XX/XX/XXXX, I called the tax collector again to see if he had received a payment. He stated he had not. I checked the escrow balance again, and it was clear that they had not made any payment. 

On XX/XX/XXXX, I again called PHH to get this situation resolved. I spent over 2 hours on the phone trying to get the right person to assist me in getting this paid. 
When I first called, I had to repeatedly insist to the offshore call center that I needed to be transferred to an account specialist or an escalation manager. The third time I refused to talk to the call center representative and asked to be transferred, I finally was transferred to someone who could help. I was eventually transferred to an escalation manager, who stated she was talking directly with the tax department. She came back to me and stated they could not process the payment because they did not have the billing information. I immediately stated that we had sent that information twice now and they should have it in their records. She said she could see it in our file and would talk to the tax department right now. 

After another long hold, the escalation manager told me they could not process the bill because the penalty information was as of XX/XX/XXXX. They needed an updated copy of the penalty to pay it. The customer service agent told me to get an updated copy of the bill showing the penalties due as of today. I agreed to do so, but questioned why the tax department could not contact the tax collector directly. All of his contact information is on the bill. I was told that the tax department had called the tax collector 's office multiple times and he did not answer. I stated that I would contact him and get the copy today. I obtained the name, agent number and extension of the escalation manager before hanging up. 

I immediately called the tax collector and got him on the first ring. He stated that no one had called him that day. He stated that there were no per diem penalties and that the bill they have in hand is the correct one. Paying that amount will satisfy the obligation. I called the escalation manager back and left a voicemail at XXXX XXXX that told her that information. But, I visited the tax office and picked up the needed information anyway. I faxed the information to the customer service representative from his office. I was unsure the information arrived, so I tried to call the escalation manager to let her know. She was not available and I left a message for her with the escalation department representative that did answer. I did not receive a call back. 

On XX/XX/XXXX at XXXX XXXX ET, I sent a second fax to the escalation manager with the tax statement to be sure that it had arrived. This time, my machine confirmed the fax had been sent. I called the escalation managers extension at XXXX XXXX ET to confirm she received the information and get this resolved. She was not available again. I left another message with the escalation department person who answered the phone. This representative told me he talked to the escalation manager and she would call me back as soon as she is done with this call. 

I received a call from the escalation manager at approximately XXXX XXXX on XX/XX/XXXX telling me that the check was being sent to the tax collector today. She stated that the full amount would be paid by certified check. She said the tax department had contacted the tax collector to let him know the check was on the way. 

I waited for several days after the holidays to give sufficient time for the check to be delivered. On XX/XX/XXXX, I called the tax collector to see if he had received the check that had been sent on XX/XX/XXXX. He stated that no one from PHH had contacted him about the account. He also stated he did not have the check and that the account had gone to a debt collection agency for the township. This meant a tax lien had been placed on our property. The tax collector felt so badly for us, he took my phone number and told me he would contact me as soon as he got the check. 

On XX/XX/XXXX, the tax collector called me and stated he had finally received the check to pay the taxes and penalties. He hand delivered the checks to the debt collection agency for us to finally get this resolved. This was 15 days after we were told that this would be taken care of that day and before a lien would be placed. 

We have had four mortgages at PHH over the years, and they were the company my employer used for transfers. We even recommended them to others based on the quality service we had received. Until the last three years, we were always very happy with the service we received on the loan originations, refinances, and servicing. Until the last three years, we were always very happy with the service we received on the loan originations, refinances, and servicing. However, this has clearly changed and we will not use this company again nor recommending them to others. 

I fully believe that the only reason this bill actually got paid at all is my persistence and refusing to get off the phone until it was paid. We are luckily in the financial position to be able to cancel our escrow account and were only doing this for convenience. We will be canceling our escrow account now that this situation is resolved and PHH has paid all the associated penalties. This shoddy level of customer service is certainly not convenient. Since this is the second time in three years this has happened, we will not be continuing to let PHH use our money for free and put us in this type of situation again. 

I am asking PHH to contact me directly so I can cancel the escrow. I need to speak with a manager with the authority to actually authorize the timely cancellation of our escrow. I expect to have this transaction conducted within 30 days and the full refund of our current escrow balance returned to us within this timeframe. It is our money and we will ensure our bills are paid timely in the future. I no longer trust this company to handle it.