Consumer complaint received 11/26/2017 about Mortgage (Conventional home mortgage) with NATIONSTAR MORTGAGE (TX).
Issue: Trouble during payment process

Complaint: I purchased a house in XX/XX/XXXX through XXXX XXXX XXXX. The loan included {$44.00} for monthly Private Mortgage Insurance ( PMI ). My first mortgage payment was in XX/XX/XXXX to XXXX XXXX XXXX. The XXXX XXXX real estate agent that sold me the house, XXXX XXXX, told me the PMI should be dropped from the loan in XX/XX/XXXX, when my payments would reduce the remaining house balance to the qualifying level. I received notice that the loan had been sold to Nationstar Mortgage Company, with the first payment to them being due XX/XX/XXXX. Nationstar 's notice also advised that any " Optional Payments '' on the account may be cancelled. I called the company immediately upon receiving the letter and asked if the PMI was to be cancelled. Nationstar 's representative told me the loan did not include PMI. I argued with the representative, but to no avail. Over the years, I have contacted Nationstar numerous times about the PMI and they have consistently denied that I am being charged the PMI. The attached mortgage and first payment documents clearly state that PMI is included in the loan. When calling Nationstar after XXXX XXXX Central Time, you are directed to overseas representatives that are extremely hard to communicate with. Several times I 've simply had to hang up because I was unable to understand what the representative was saying. I have called during regular business hours and been told there is no PMI on the loan. I have also used Nationstar 's online application to submit questions about the PMI and have never received a response. Their online application only recently started documenting submitted questions and responses. Since buying the house in XX/XX/XXXX, my monthly mortgage payment has varied several times, due to changes in property taxes and homeowners insurance rates. I have attached all relevant documents, along with all Mortgage Interest Statements ( IRS Form XXXX ) from Nationstar that show no payments for Optional Insurance. 

The above information was submitted as claims to the Texas Dept of Insurance ( TDI ), then to the Texas Dept of Savings and Mortgage Lending ( DSML ). TDI replied that they do not service PMI. Following is a copy of the email I received from DSML 's XXXX XXXX concerning my claim ( note that XXXX XXXX refers to Nationstar by their new name, Mr. Cooper ) : Good afternoon, Thank you for returning my telephone call today. Per our telephone conversation, Mr. Coopers representative confirmed today that the {$44.00} PMI per month charge that has not been charged to your account up till XX/XX/XXXX when they corrected their records. The PMI over the last few years totals about {$1800.00} that is not being charged to your account nor it will be charged to your account, per the email of XX/XX/XXXX, below. 

XXXX XXXX representative response to the DSML reiterates that moving forward, they have corrected their records to reflect the {$44.00} PMI charge to your loan escrow account. Mr. Cooper has since this investigation began completed an out of cycle escrow analysis on XX/XX/XXXX. The new escrow analysis reflect a new payment of {$550.00}, effective with the XX/XX/XXXX installment. 

Once the full file has been reviewed you may be contacted with questions we may have and/or once a determination has been made. 

Note that Nationstar 's response to the claim was that the PMI had been cancelled due to non-payment of the policy, and I was never charged for PMI. 
After receiving this news, I contacted Nationstar on XX/XX/XXXX for a refinance quote. The Nationstar agent documented my house 's market value at {$77000.00}, and left that amount, even after I told him my XX/XX/XXXX County Tax Appraisal was only {$69000.00}. The refinance quote charges XXXX points for a 180 month conventional refi at 3.875 % interest. It would cost a total of {$5100.00} to refinance in order to avoid paying PMI that has not been charged in four years. I have never missed any mortgage payments, nor been late with any payments since the mortgage began. 
My attached letter to Nationstar of XX/XX/XXXX states examples of their unethical service. 

Thank you for any help you can offer.

Company response to consumer: Closed with explanation