Consumer complaint received 2016-01-27
Product: Mortgage — Conventional fixed mortgage
Issue: Loan servicing, payments, escrow account — 
Company: PENNYMAC LOAN SERVICES, LLC. (NY)

- Refinanced my mortgage loan from XXXX to PennyMac on XXXX/XXXX/XXXX for a 30 year fixed at 3.75 % in the amount of {$170000.00} Loan type : Conventional W/O PMI - Was new mortgage analysis I requested XX/XX/XXXX completed? NOT COMPLETED AS OF XXXX/XXXX/XXXX - So far PennyMac has overdrawn our interest bearing bank account almost {$5000.00} ( {$4800.00} ) starting on XXXX/XXXX/XXXX with no reasonable explanation leaving me unable to pay my property taxes. The usual amount was {$820.00} and now its {$2000.00} XXXX Exhibit-A ) - There are XXXX charges and XXXX refund on my loan activity page. Explain what each of them is for. ( Exhibit-A ) - # XXXX XXXX/XXXX/XXXX ( {$5200.00} ) labeled " Miscellaneous Insurance Premium ''?? XXXX confirmed it was for XXXX XXXX Fire Insurance - # XXXX XXXX/XXXX/XXXX ( {$1700.00} ) labeled " Miscellaneous Insurance Premiums ''?? XXXX confirmed this was for Hazard Insurance - # XXXX XXXX/XXXX/XXXX {$1100.00} labeled " Hazard Insurance Refund '' Why was there a credit? What is it for? XXXX could not verify this but I believe it to be a refund for the ( {$1700.00} ) - {$1100.00} = {$620.00} ( one year premium ) divided by 12 months = {$52.00} x 3 months of lapsed insurance = {$150.00} {$150.00} divided by 12 months = {$13.00} {$820.00} + {$13.00} = {$830.00} Monthly mortgage should have been {$830.00} instead of {$2000.00} - # XXXX XXXX/XXXX/XXXX ( {$3400.00} ) labeled " Flood Insurance Premium '' was refunded on XXXX/XXXX/XXXX. So why am I being charged for it? ( Exhibit-A, B, & C ) - Why does the " Annual Escrow Account Disclosure Statement '' letter " Projected Escrow Account Balance as of XXXX/XXXX/XXXX show {$9300.00} when loan activity shows a credit of {$3400.00} given on XXXX/XXXX/XXXX and a cancellation letter for " Flood Insurance '' dated XXXX/XXXX/XXXX. ( Exhibit-A, B & C XXXX - Why then did they start taking out {$2000.00} starting on XXXX/XXXX/XXXX instead of the usual {$820.00} resulting in a depletion of my property tax money from my interest bearing bank account. ( Exhibit-A ) - If they knew my Condominium Unit Owner ( Hazard ) Insurance expired on XXXX/XXXX/XXXX according to their XXXX XXXX, XXXX letter, why did they use a premium of {$20000.00} instead of my last known amount of Condominium Unit Owner ( Hazard ) Insurance coverage that I purchased, as they stated they would do in the letter, which was {$620.00}. ( Exhibit-F & I ) - Why did they take out Condominium Unit Owner ( Hazard ) Insurance worth over XXXX dollars ( {$570000.00} ) for a XXXX sq.ft. apartment when not even the loan amount itself is worth {$170000.00}. I only pay a premium of {$620.00} for the entire year for my Condominium Unit Owner ( Hazard ) Insurance, not {$20000.00} and they would have known this if they knew my Condominium Unit Owner ( Hazard ) Insurance expired on XXXX/XXXX/XXXX ( Exhibit-F & I ) - Why are they charging for three/four months of Condominium Unit Owner ( Hazard ) Insurance if it was placed on XXXX XXXX, XXXX and cancelled XXXX XXXX, XXXX according to their letters. ( Exhibit-D, E, F, G, H & I ) In addition I called on XXXX/XXXX/XXXX and spoke to XXXX XXXX ID # XXXX who assured me the escrow and XXXX. insurance premiums had been removed from my account. XXXX said that in the " Deed of Trust '' Section 5 ( Property Insurance ) they can go back several months and place insurance even though they had not purchased it yet. 
- When did PennyMac switched from XXXX to XXXX insurer and why? Was it because of fraud? XXXX acquired my loan on XXXX/XXXX/XXXX - On XXXX/XXXX/XXXX we spoke with supervisor XXXX XXXX at XXXX Ext : XXXX of the XXXX, TX office he verified several things which are highlighted in blue above. 
- XXXX XXXX, XXXX is the last day to pay my monthly mortgage without penalty. 
- Currently XXXX stated there is a balance owed of {$1000.00} for the 3 months of no Hazard Insurance. Divided by 12 months would bring the monthly value from {$820.00} to {$900.00} or an additional {$86.00} per month. THIS IS UNACCEPTABLE!