Consumer complaint received 2025-10-31 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Struggling to pay mortgage — Trying to communicate with the company to fix an issue related to modification, forbearance, short sale, deed-in-lieu, bankruptcy, or foreclosure
Company: PLANET HOME LENDING, LLC
State: CA

Complaint narrative:
Last year, I filed a complaint with the Consumer Financial Protection Bureau ( CFPB ) regarding my servicer, Planet Home Lending. They forced me into escrow accounts, paid my property taxes without my consent, and imposed mortgage insurance without my knowledge. After reporting these issues to the CFPB, Planet Home Lending claimed they had sent me correspondence regarding the forced insurance in response to my inquiry. However, this was false ; I never received any letter concerning the forced mortgage insurance or the property taxes they paid. 

I sent them multiple emails requesting a certified letter, as advised by the postal service. Eventually, they sent me a XXXX  package containing over 30 old letters, which they claimed had already been sent to me. This was concerning, as I had never received a large amount of mail from Planet Home Lending. Additionally, Planet Home Lending made my second installment payment for the XXXX  property tax, which I paid on XX/XX/2023, totaling {$5600.00}. However, customer service has been unable to account for that payment or show evidence that it has been credited to my account. 

As of today, my mortgage payment includes {$2400.00} for principal and interest, {$800.00} for taxes, and an additional {$410.00} for a short escrow. I have not received a clear explanation for this shortfall. I have requested a breakdown of fees for over a year, but no one has provided details. I have been paying between {$460.00} and {$410.00} for over a year, despite my property tax payments being up to date. I signed a promissory note for principal and interest only, totaling {$2400.00}, and I have never missed a payment in the 10 years prior to my loan transfer to Planet Home Lending. Since that time, they have opened an escrow account, which has become misleading and confusing. My experience with Planet Home Lending has worsened significantly. 

Every time I call, I receive a different amount listed as my outstanding balance. The customer service representatives often provide different year-to-date balances than I do. For example, my year-to-date balance of {$38000.00} differs from their YTD balance of {$34000.00}, resulting in a discrepancy of {$3600.00}, which represents a payment that is unaccounted for. 

I have repeatedly asked Planet Home Lending about the additional escrow fees on my account, but no one has provided an answer. Is this a forced insurance charge, property taxes, or penalties? No one seems to have access to that information. I have also requested multiple times to close my escrow account, but Planet Home Lending will not allow it. I am reluctant to permit payments to be made through my checking account because none of the customer service representatives are consistent.

Last week, I paid the amount requested to avoid foreclosure ; yet, 48 hours later, Planet Home Lending changed the amount due.

My account is in default because the lender refuses to clearly explain the additional escrow charges, such as " unapplied balance '' or " total fee, '' that are included in my mortgage balance. They will not provide a written breakdown or explain the additional fees charged that are part of the escrow balances owed, paid, or outstanding. The terminology they use often confuses or diverts borrowers from a clear understanding of the escrow balance.

Planet Home Lending systematically limits borrowers ' access to information on its website, making it difficult to make payments online and preventing them from doing so. The terminology used by customer service representatives is designed to confuse, often involving scripted rebuttals. They intentionally use confusing language to obscure borrowers ' understanding. This could all be avoided if Planet Home Lending were more transparent and provided all their fees upfront, rather than hiding them. Once they force a borrower into their escrow process, they take control of the situation. Customer service has limited access to account information, refuses online payment options, and does not allow online payments except by speaking directly with a representative, who often acts as a credit collection agent.

Now, they are sending threatening letters pushing for foreclosure.

It is clear that Planet Home Lending 's practices are systematically pushing borrowers into foreclosure. They have damaged my credit, and I no longer have access to credit for conducting business. This company has provided the worst experience I have ever had with a lender. The CFPB needs to investigate this company.

Company response to consumer: Closed with explanation