Consumer complaint received 2025-08-29 00:00:00
Product: Mortgage — USDA mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: Village Capital & Investment LLC
State: OK

Complaint narrative:
We are writing to file a formal complaint regarding serious escrow mismanagement by our loan servicer, Village Capital & Investment , LLC, on our USDA XXXX XXXX XXXX. Since they took over servicing our mortgage in XX/XX/XXXX, they have consistently charged us far more in escrow than is required for our actual property taxes, hazard insurance, and USDA fee. 


In XXXX, our county property taxes were {$970.00} and our USDA annual fee was {$680.00}. This meant our escrow should have been about {$130.00} per month. Instead, Village Capital collected about {$620.00} per month, more than four times the necessary amount. In XXXX, their own escrow analysis dated XX/XX/XXXX showed actual bills of {$4600.00} ( covering taxes, lender-placed insurance, and the USDA fee ), which equals about {$380.00} per month. Despite this, they charged us {$900.00} per month ( {$570.00} base escrow plus {$320.00} shortage ). They also claimed we had a shortage of {$3900.00}, even though we were overpaying. We paid {$1500.00} toward this shortage, but the money was not applied correctly. After we filed a complaint with the XXXX XXXX XXXX Village Capital lowered our payment by only about {$100.00} rather than fully correcting it. 


In XXXX, their escrow analysis dated XX/XX/XXXX showed actual bills of {$4900.00} ( including taxes of {$1100.00}, insurance of {$3000.00}, and the USDA fee of {$680.00} ). This equals about {$410.00} per month. Village Capital, however, charged us {$740.00} per month ( {$570.00} base escrow plus {$160.00} shortage ). Once again, their figures did not match the real county and insurance bills.

As a result of this mismanagement, our current mortgage payment is {$1700.00} when it should be closer to {$1500.00}. Over the past three years, Village Capital has over-collected approximately {$16000.00} from us. We have never been late on this loan. We are now financially drowning under these inflated payments and are afraid of losing our home, not because we fail to pay, but because our servicer is creating false shortages and mishandling our escrow. 


We respectfully request immediate intervention. Specifically, we ask that Village Capital be required to ( 1 ) conduct a full escrow audit, ( 2 ) correct our monthly payment to reflect the actual bills, ( 3 ) refund or credit the excess funds they have collected, and ( 4 ) provide assurance that escrow will be managed properly moving forward in compliance with RESPA and USDA requirements.

We have attached supporting documents, including escrow analyses, mortgage statements , county tax receipts, and insurance notices, which clearly show the discrepancy between the actual costs and what Village Capital has been collecting. 


Thank you for your attention to this matter. We trust that USDA, CFPB, and the Oklahoma Attorney General will take this issue seriously and hold Village Capital accountable for its actions. 


Sincerely, XXXX XXXX XXXX XXXX XXXX

Company response to consumer: Closed with explanation