Consumer complaint received 2024-11-05 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: Rocket Mortgage, LLC
State: TX

Complaint narrative:
I refinanced my home with Rocket Mortgage in XXXX, XXXX. 
In XXXX, XXXX, Rocket Mortgage escrow supposedly paid for my home owner 's insurance policy dated XX/XX/XXXX until XX/XX/XXXX. 
In XX/XX/XXXX, I received a check from Rocket mortgage escrow. I called them to ask why they sent me the money and was told that it was an over payment. I asked them to verify that I had insurance on my home. They checked the records and assured me that I was insured until XXXX, XXXX. 
In XX/XX/XXXX, Rocket mortgage insurance requested an invoice from XXXX XXXX, the insurance company listed as my carrier. 
They were told that I did not have insurance so it could not be renewed. I then purchased a policy from XXXX XXXX effective XXXX / XXXX which the company paid for out of my escrow. On XX/XX/XXXX, Rocket Mortgage insurance bought lender placed insurance from XXXX XXXX for the previous year dated XXXX / XXXX. 

This is my complaint : ( 1 ) It was the fault of the Rocket Mortgage insurance that my home was not insured for a year and I was lied to about that. ( 2 ) The business of insurance is to protect against a loss. I was uninsured. No insurance company will pay for a claim without a policy in effect. ( 3 ) Rocket Mortgage escrow made this blunder and wants me to pay for their mistake. I find this illogical and unreasonable. For example : If I had a wreck in an uninsured car, no insurance company would allow me to purchase a policy and predate it to the week before. This is the same situation except with homeowner 's insurance. 

Additional info : When I was informed about the lapse of insurance in XX/XX/XXXX, I procured insurance from XXXX which the escrow account paid for ( {$4800.00} ) .This Travelers policy was cancelled effective XX/XX/XXXX ( they did not like my home and trees ) and I received a partial refund mailed to me. On XX/XX/XXXX, I took out a 6 month policy for home owner 's insurance with XXXX  XXXX XXXX. Although I paid in full for a 6 month policy, Rocket Mortgage escrow received the notice of the purchase and paid for a 12 month policy ( {$4000.00} ). I received a refund for my 6 month policy. 
Currently my escrow account has been charged {$4800.00} ( XXXX ), + {$3000.00} ( XXXX  placed XXXX XXXX ) + {$4000.00} ( XXXX  XXXX XXXX ) which has caused my mortgage payments to be increased nearly $ XXXX. Hopefully, this can be adjusted as this problem is resolved. 
Incidentally, I chose to take the refunds and pay my taxes rather than trust this escrow company to pay them. I will be sending them a copy of the receipt. This leaves the topic focused on insurance only. 
I have been speaking to a representative, XXXX XXXX XXXX XXXX XXXX XXXX Rocket Mortgage T ( XXXX ) XXXX F ( XXXX ) XXXX. 
She has been attempting to resolve this and has credited my escrow account {$1400.00} for 2 months shortage of insurance. 
I have requested that they refund the {$3000.00} of XXXX placed insurance as it was not effective for the uninsured year. I currently have a negative balance in my escrow account. 
Rocket Mortgage has refused to credit back the money to my escrow account. 
It is inconceivable that an insurance company would pay in the event of a claim with no policy in effect at the time. You simply can not insure for a time that has already passed. 
I appreciate any help you can give me. 
Sincerely, XXXX XXXX XXXX XXXX XXXX XXXX, Texas XXXX XXXX.

Company response to consumer: Closed with explanation