Consumer complaint received 2017-01-14
Product: Mortgage — Conventional adjustable mortgage (ARM)
Issue: Loan servicing, payments, escrow account — 
Company: U.S. BANCORP (LA)

My home was flooded on XX/XX/XXXX. Since that date I have been working diligently with my insurance adjuster and my mortgage company to get my damages estimated and the settlement checks negotiated. The 1st check from my insurance company for advance payment to be used for emergency repairs in the amount of $ XXXX was issued to myself and US Bank on XX/XX/XXXX. Once I received the check I endorsed the back of the check and paid to have it overnighted to US Bank on XX/XX/XXXX in order to help expedite the process of getting funds released in order to get started with emergency repairs such as clean up and removal of water damaged finishes to prevent mold growth and replacement of damaged equipment such as air condensing unit. US Bank refused to release any of the funds until I provided them with the Insurance Company Adjusters Worksheet, Signed Contract/Proposal, Contractors Waiver of Lien, Internal Revenue XXXX for my Contractor along with a Copy of the Contractors License. My Insurance adjuster then wrote a letter to US Bank on XX/XX/XXXX explaining these funds were for the Advance Payment for the purpose of EMERGENCY REPAIRS to preformed. I forward my adjuster letter along with my own explain the urgent need of fund to be released in order to start the emergency repairs and clean up. US Bank again denied any funds to be released due to the dollar amount of the check being $ XXXX. They advised me to contact my insurance company and have the check re-issued for a lower dollar amount. Told me had the check been in the amount of $ XXXX they could have released the funds already. My insurance company refused to re-issue another check citing the amount is what the adjuster requested for you to be able to begin the emergency process. I then went back to US Bank asking for an exception to be made to release at least $ XXXX being I was told if check was issued for lower amount I would already have my funds. My request was escalated on XX/XX/XXXX to a resolution team for review but takes 3 to 5 days for review. When I called to follow up on the exception request on the 5th day afterwards XX/XX/XXXX I was told the request was not submitted until XX/XX/XXXX. No explanation as to why it took 2 full days to be submitted. Again I would have to wait 3 to 5 business days before I would have an answer. On XX/XX/XXXX US Bank approved for only $ XXXX of the initial advance payment would be released. A check was then released on XXXX/XXXX/XXXX in the amount of $ XXXX. I have since forwarded all copies of all paid receipts along with all docs required and the 2nd check released from my Insurance company in the amount of $ XXXX. and overnighted to US Bank on XX/XX/XXXX. Followed up with US Bank on XX/XX/XXXX and was told I had to request 1st draw. I requested 1st draw and was told I would receive a check for $ XXXX and would then need to call for inspection once I reached 50 % complete before any more funds would be released. When I received the 1st draw that was requested the check was in the amount of $ XXXX vs $ XXXX as stated. I have placed numerous calls to no avail. I have also requested for my paid receipts that US Bank has had on file since XX/XX/XXXX to be reimbursed and that too has had to be escalated to a committee for review. I was not aware that once I sent in my paid receipts that I would have to request reimbursement until I spoke with someone at US Bank on XX/XX/XXXX in which I immediately requested. Today I was told that the request of reimbursement was not submitted until XX/XX/XXXX. This Customer Service or Lack of Customer Service is unacceptable. US Bank has held onto my Insurance funds and is preventing me from being able to move forward with the rebuild process. There is no way to get to 50 % complete on a 1st draw amount of $ XXXX. I know of no contractors that will work for free and wait to be reimbursed!