Consumer complaint received 2025-07-30 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: PLANET HOME LENDING, LLC
State: IN

Complaint narrative:
On XX/XX/XXXX I received a notification in the mail that my escrow was being raised again. While I can understand some increase as my property tax increased it was noted that for the 3rd time Planet Home Lending had the incorrect insurance premium noted. My insurance premium is over {$400.00} less than what they listed. I decided at this time it would be a better fit for me and my financial situation if I manage my home owner 's insurance and property taxes on my own. With the rising costs of everything I would feel more comfortable just paying my lender the mortgage and interest on my home. Inflating my house payment on incorrect figures and potential overages is not something that most families can afford right now. I submitted the request for escrow removal on XX/XX/XXXXXXXX citing my reasons mentioned above. On XX/XX/XXXX I received the denial stating that my XXXX was at 82.24 % therefore I was not eligible for escrow removal. I contacted Planet Home lending directly and spoke with customer service. I requested the breakdown and the calculations on how they figured my XXXX. The Customer Service Rep stated that they were using the original value of my home from XXXX which was {$300000.00}. My house was not built until XXXX in addition to that- house prices have risen significantly and I requested an updated appraisal. The customer service rep I spoke with asked me to submit another escrow removal request and send documentation of my current land assessment which was {$370000.00} which puts me well below 80 % XXXX. I submitted all of these items on XX/XX/XXXX. I received another denial today citing that my XXXX was still 82.24 %. I immediately contacted Planet Home Lending and requested to speak with a supervisor. Once the supervisor and I were connected I explained the current situation -they looked around again and stated that yes the escrow removal request is denied. When I asked why based on the outdated figures they stated they calculate it on the original home value so they were calculating that based on the appraisal ( which was apparently completed before my home 's construction was completed ). I once again asked for the calculations on this and was the agent refused to provide this. Even using the outdated appraisal of {$300000.00} - I only owe {$230000.00}. This is 76.96 %. I have never been late on my payment. I have excellent credit- there is no reason that I am being denied. They can not provide me with a valid reason or one that even makes sense. In addition- with the inflated escrow they are asking that I pay an additional {$1400.00} a year into my escrow- this is after the property taxes and incorrect insurance amounts. They are claiming that they need the {$1400.00} cushion more than a family with children. I am requesting assistance with getting the escrow removed. It should not be this difficult. Before ending the call I also requested the documents ( as my loan was sold to Planet Home ) showing that I was informed of this prior to closing. They could not provide this. I will continue to review my closing documents but even if it is so they are still wrongly denying my escrow removal and inflating my escrow account.

Company response to consumer: Closed with explanation