Consumer complaint received 08/14/2015 about Mortgage (FHA mortgage) with NATIONSTAR MORTGAGE (NJ).
Issue: Loan servicing, payments, escrow account

Complaint: XXXX XXXX, a loan Consultant from NationStar started a loan application to do an FHA streamline refinance, she gave me a rate and pressured me to lock it. I refused because I wanted to shop for a better one. After a few days, I called her back to continue with the application, she refused and promised to call back. She never call back. Nationstar sent a letter to my house claiming I requested a payoff of {$320000.00} dollars and must be paid in full of the end of this month. I never made such request. I believed this was done because I was shopping around for a better deal. I attempted to refinance again in order to determine if this was a pattern with Nationstar, and spoke to XXXX XXXX XXXX XXXX. he informed he was not able to pull my credit because I have a freeze on my Credit Score. I knew this was a lie because I lifted the Freeze for 30 days. When a loan application was originated by XXXX XXXX, I noticed a XXXX XXXX, 2015 date on the application before the agreement will become null and void. I call him and he explained that he must used the previous date that XXXX XXXX had started because I had locked the rate. This was a lie. He told me instead of 60 days, I will have 45 days to complete the application. I review the application and forward it to XXXX XXXX. I sent over all required documentation except for the Home Insurance Declaration Page. When I contacted my insurance company XXXX, which is affiliated with XXXX, they informed me that my insurance was cancelled due to the fact they did not received payment. I was perplexed because I have an escrow account with Nationstar. In addition, my wife contacted Nationstar XX/XX/XXXX before the insurance was cancelled and spoke to a representative name XXXX XXXX XXXX submitted the necessary information. After reaching out to them to find out what was happening, Nationstar lied and informed me they attempted to reach out to XXXX and sent me letters to inform me they were not able to reach XXXX. I spoke to several representatives XXXX XXXX, XXXX, XXXX and a manager by the name of XXXX on different dates XXXX XXXX XXXX, XXXX, XXXX ] trying to understand why they failed to pay my home insurance. I attempted to buy different home insurance, but was told because of the lapsed with XXXX, they could not offered me one. The only one I received was with XXXX, XXXX, which required payment from me and not through an escrow. I refused because it was Nationstar who made the mistake. Because of Nationstar, I 'm not able to refinance with them or any other company before I have home insurance. They have ruined my name because I can not get home insurance. To matter worse, they sent me a letter on XXXX XXXX, 2015 threatening to place a high premium insurance on the house and lied and stated that I had informed them that I was going to pay Home Insurance directly. To avoid the high premium, I decided to go with XXXX and paid out my pocket {$1200.00}, which is more than I paid before of {$850.00} with XXXX. This a bullying tactic by a major company who is trying to cover its mistake. I did everything right, paid my mortgage, informed them of the Home Owners Insurance company, but yet I 'm the victim of unfair business practice by Nationstar.

Company response to consumer: Closed with explanation