Consumer complaint received 2016-10-13
Product: Mortgage — Conventional fixed mortgage
Issue: Loan servicing, payments, escrow account — 
Company: PENNYMAC LOAN SERVICES, LLC. (CA)

PennyMac took over my loan from the 1st payment XXXX/XXXX/XXXX. They mismanaged my impound account continuously. FIRST, they paid the Hazard Insurance, when it was paid in full when escrow closed XXXX/XXXX/XXXX. SECOND, they did not inform me, nor did I know that there was a supplemental tax bill coming that I was to pay, although they were impounding taxes based on the full new tax amount of {$3000.00} per year, not {$2200.00} as they paid. The penalties were {$110.00}. THIRD, they paid my auto insurance {$1100.00} instead of the HO {$560.00}, and used that amount in my impound analysis. I paid the HO myself, and the refund for auto insurance was returned to my impound account. FOURTH, they raised my impounds by about {$100.00} a month due to these errors. I requested that they HAND analyize my account since it was wrong. This was not done. The last analysis showed my HO was {$1100.00}. By their errors, PENNYMAC caused my shortages and can not read my requests and follow through. 

XXXX XXXX, because of all these errors, I request refund of impounds and control by me, as I do n't need them, I have a XXXX loan. Their customer service said they had to mail me a hard copy of the request and I had to mail it back. It was confusing because there are XXXX boxes to check, XXXX stating I wanted them not to impound for anything, remove escrow from my loan, and the XXXX stating I had 3 months impounds " somewhere ''. The form is ridiculous and I did not check the XXXX little box about having impounds. They DENIED my request. After many messages and phone calls, a customer service rep said she could upload that form to my account, and I could sign and return same way. This did NOT happen. Next, another rep said she would just check the little box for me, and resubmit it to avoid further delay. This did NOT happen as another rep said she was out-of-line and that was NOT going to happen. This is 7 weeks AFTER I initially tried to close my own escrow account with them. 

I ended up writing a XXXX page letter to their ESCALATION department, finding a copy of the form I originally signed in my message box ( you do n't know what 's in your message box unless you open and look in each folder ), downloading it, resigning and checking and dating, then mailing it and also uploading it. 

Last week I received another analysis, same amounts, showing the wrong payments for everything. I received the impound check less the TAX PENALITES. I received a phone call and apologies from their Escrow Insurance department. 

I am only ONE of {>= $1,000,000} in loans they service. What else are they doing to their customers? 

I want my tax penalties back from them. That is {$110.00} I do n't have. They impounded this amount. How am I, a consumer, to know that they impound for taxes for do n't pay for extra tax bills? That is not right. Something is wrong. Every loan in California and many other states, when new, would have a SUPPLEMENTAL TAX BILL. How do they inform each and everyone of those people to pay it themselves? But they collect for the same? Is n't that double jeopardy? 
I never want to use PENNYMAC again, they are so much like XXXX, where most of their executives and managers worked previously. That attitude!!!!!!