Consumer complaint received 2025-12-16 00:00:00
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: CARRINGTON MORTGAGE SERVICES, LLC
State: GA

Complaint narrative:
XXXX-escrow balance from previous mortgage company ( XXXX ) XXXX previous mortgage company paid my home owners insurance in the amount of ( XXXX ) XXXXnew escrow balance ( XXXX ) XXXXI made my mortgage payment of {$3700.00} ( of which XXXX was escrow payment ) XXXX-new escrow balance ( XXXX ) XXXX-FHA MI payment posted to account ( XXXX ) XXXX new escrow balance ( XXXX ) XXXX Mortgage account transferred to new servicer showing an outstanding escrow amount of ( XXXX ) XXXX new servicer paid new homeowners insurance since I switched companies effective XX/XX/year> in the amount of {$3000.00} XXXX-new escrow balance ( XXXX ) XXXX I made mortgage payment of {$3700.00} ( of which XXXX was escrow payment ) XXXX New servicer sends mortgage statement stating I was past due in the amount of {$3700.00} and my new shortage amount is ( XXXX ) and I would have to pay the shortage plus ( XXXX ) totaling a new monthly escrow amount of {$800.00} plus the monthly shortage amount of ( XXXX ) divided into 12 monthly payments totaling an escrow payment including shortage of {$1400.00} in addition to my principal and interest which significantly increased my monthly mortgage amount. 

The shortage of ( XXXX ) is my previous year taxes of {$4400.00} + {$2000.00} FHA MI + $ {$3000.00} my new homeowners insurance amount I submitted a check to my new mortgage company on XX/XX/year> for {$4000.00} My new mortgage company paid my new yearly tax amount of {$4500.00} Understanding since my new mortgage company does not charge any additional fees or charges to my account just because it was transferred and I actually saved by switching homeowners insurance company and saving about {$1200.00} for the year premium and my property taxes only went up {$100.00} for the year, I am not why I have to pay {$800.00} escrow payment + {$640.00} monthly for escrow shortage. I understand that I should have one escrow shortage account.

Even if you calculate the transferred escrow balance + the required escrow amount of {$1200.00} it still does not equate to having to pay {$800.00} escrow payment + {$640.00} escrow shortage amount they say + {$2800.00} my principal and interest payment monthly when the only thing that changed was a new mortgage servicer on XX/XX/year>, a decrease in homeowners insurance from {$4200.00} XXXX to {$3000.00} XXXX XXXX on XX/XX/year>, and my property taxes going from {$4400.00} to {$4500.00} for the year, Im not understanding why my monthly payments is calculating double monthly escrow payments. 

I made a payment of {$3600.00} on XX/XX/year> to go towards my mortgage but they have not applied it to my account because they say it is sitting in unapplied funds until the full amount is paid but are unable to provide me with clarification on why my escrow balance is so high. They keep saying that was my balance when it transferred but I have proof from my previous mortgage company that shows what my balance was at the time of transfer on XXXX/XXXX which was ( XXXX ). Please help!! 

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Company response to consumer: Closed with explanation