Consumer complaint received 2021-10-20
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: RoundPoint Mortgage Servicing LLC (IL)

My husband and I had inquired about the process to remove the PMI from our mortgage with RoundPoint Mortgage, and were under the impression a large lump sum payment towards principal would lower our monthly payments. During our initial call in on XXXX, we were informed that we would need to submit a PMI Removal Request form for consideration and it REQUIRED 1 ) a new appraisal at our expense, and 2 ) substantial improvement ( s ) to the home which raise the value ( rather than a lump sum payment dropping the loan to 80 % of the home 's value in the most recent appraisal given in XX/XX/XXXX when we refinanced ). Additionally, to drop our monthly payment would require us to submit a Recast Request and it REQUIRED 1 ) a {$300.00} fee, and 2 ) {$10000.00} or more lump sum payment. My husband and I thought it would make sense to first drop the PMI, which drops the monthly payment, and then choose whether or not to submit a Recast Request as it would properly reflect only Principal, Interest & Escrow ( no PMI ). However, upon speaking with XXXX XXXX, the Customer Fulfillment Specialist assigned to our requests on XX/XX/XXXX, I advised our substantial improvement was delayed by the contractor and I would possibly need to then postpone the appraisal scheduling. I mentioned our plans to also submit a Recast Request as I'm XXXX  which has placed me on XXXX and am looking for all the ways to cut our monthly expenses. She placed me on hold to speak with her Recast Team as her loan calculator was not working to calculate the ballpark drop in our monthly payment ( considering the large lump sum payment made on XX/XX/XXXX towards our principal ), and to get her supervisor 's ( who I later found to be XXXX XXXX ) advice on whether holding off on the appraisal would negatively impact our PMI Removal Request given they try to resolve the cases within 30 days. Once she returned, she advised her supervisor did recommend postponing the appraisal as a substantial improvement is required to qualify for PMI Removal, but that it would not pose an issue given the project 's new expected completion date. Additionally, she advised her supervisor had advised the monthly payment would drop to approximately {$1000.00} a month ( P & I exclusively ) considering the {$75000.00} payment, AND that we could submit the Recast Request prior to the PMI Removal Request being carried out/decisioned on since the large payment had been made and she could begin that process with the Recast team. Based on that guidance and number, we decided to submit the Recast Request. However, we then received documents on XXXX in response to the Recast Request stating our new P & I amount of the monthly payment would be {$1300.00} - approximately 34 % higher than what we were promised/told just a couple of weeks prior and why we decided to move forward with the process. Now, I am being told XXXX incorrectly used the calculator to provide us that information- though XXXX mentioned her supervisor had to provide her with that number as her calculator wasn't working/launching - and that they can not honor the monthly payment we were promised on XX/XX/XXXX! This is a complete bait and switch, after lying to our faces to get our application in, and during a time which is already stressful with me being on XXXX to garner less stress. I wish they would have been honest rather than lying to us or giving us inaccurate information/numbers from the beginning so we can make an informed decision and not have expected a different income.