Consumer complaint received 2021-03-25 00:00:00
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — 
Company: Freedom Mortgage Company
State: CA

Complaint narrative:
On or about XX/XX/XXXX, I received a letter from the processing center at XXXX XXXX XXXX, notifying me that my Flood Policy had been cancelled due to non-sufficient funds or stop payment. 

I contacted FREEDOM MORTGAGE on XX/XX/XXXX, and was connected to the Insurance Department at FREEDOM MORTGAGE. That department person contacted XXXX XXXX XXXX and the two discussed/reviewed the following facts with me on the call : 1. FREEDOM MORTGAGE submitted a payment to XXXX XXXX SERVICES on XX/XX/XXXX. 
XXXX. XXXX XXXX XXXX  failed to cash the check payment for more than 90 days. 
XXXX. Per XXXX XXXX, the check that FREEDOM MORTGAGE submitted on XX/XX/XXXX was returned for XXXX Funds on XX/XX/XXXX. 
XXXX. FREEDOM MORTGAGE stated that it was not a Non-sufficient funds it was a stopped payment of the check- and she provided the check number to the XXXX Agent, adding that FREEDOM MORTGAGE has CHECK CASHING POLICY of 90-days. 

In addition, it was noted by all parties on the call that : XXXX. XXXX XXXX XXXX failed to notify the PolicyHolder AND FREEDOM MORTGAGE of the CANCELLATION of the Policy until XX/XX/XXXX XXXX 9 months later ). 
2. Per the conversation it was agreed that FREEDOM MORTGAGE had the ability to overnight a check to XXXX XXXX XXXX. XXXX XXXX stated that they needed to do further research. I was told that XXXX XXXX XXXX would contact either FREEDOM MORTGAGE Or me if additional information was necessary. 

On XX/XX/XXXX, I received a call from FREEDOM MORTGAGE following up to see if the issue was resolved with XXXX XXXX XXXX. I informed FREEDOM MORTGAGE that no contact had been made. FREEDOM MORTGAGE advised me to continue attempting contact. 

On XX/XX/XXXX FREEDOM MORTGAGE sent me a letter requesting PROOF OF INSURANCE and advising that their records indicated FLOOD INSURANCE POLICY was expired. I contacted FREEDOM MORTGAGE in an attempt to follow up and was unable to reach the Insurance Department and instead had to re-inform a new person with FREEDOM MORTGAGE XXXX as he read the notes on the account ), however, he was unable to assist and was unable to contact the other member of his team. 
Upon review of the ANNUAL TAX AND INTEREST STATEMENT from FREEDOM MORTGAGE, there have always been sufficient funds in the ESCROW account to cover all taxes and Insurance policies for the mortgage of the property. 

I made several attempts to reach XXXX XXXX  XXXX on XX/XX/XXXX, XX/XX/XXXX and XXXX, with no success. 

Negligence by both Freedom Mortgage and XXXX XXXX XXXX and their disregard to take corrective action to a situation they have both created, leave me no other option. I have tried to communicate to no avail. This is an unnecessary hardship during very difficult and challenging times. I have spent hours going through cumbersome answering programs telling my story over and over. 

On XX/XX/XXXX, after multiple attempts to reach customer service at Freedom Mortgage, I was provided a link to upload proof of a new Flood Insurance Policy. On the XXXX, when I did not see my account updated, I called Freedom Mortgage again. The customer service rep was not looking at the correct account ( I have 2 ) and when I brought that to her attention she laughed and said " ohhhh, that's probably what happened ''. 

I asked that payment be sent overnight. 

The next day on XX/XX/XXXX, I reviewed my escrow account to find an additional charge for a Flood Insurance Policy that Freedom Mortgage applied to my account without my knowledge or approval. 

I have called Freedom mortgage daily and have been unable to speak to anyone. Its either a dropped call or just a cycle of menus. 

Today XX/XX/XXXX I finally got through to another live person who told me that the charge is to cover the previous year XXXX. She stated that because I did not have coverage, Freedom Mortgage needed to apply it for me. I asked to speak to a Supervisor and there is NEVER one that is available. The customer service staff will do anything to keep you from speaking to anyone else. They always ask you to remain on the line while they look over your account. The customer service rep said that I can call XXXX. She said she submitted a request for a review on my account and someone should contact me by XX/XX/XXXX. In the meantime, my escrow balance is negative {$340.00}. Freedom Mortgage failed to notify me when they stopped payment on the Flood Insurance check. They did nothing to alert me knowing that Flood Insurance is a requirement on my mortgage. Now that I have provided them with proof they want to go back and charge me for coverage I did not have. I have tried to reason with them and they say nothing, however, they have no problem tacking on charges and applying predatory lending type penalties.

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation