Consumer complaint received 2025-06-11 00:00:00
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — Fees charged
Company: CARRINGTON MORTGAGE SERVICES, LLC
State: HI

Complaint narrative:
Carrington Mortgage has charged me a {$30.00} late fee for XX/XX/XXXX, and a {$30.00} ACH payment return on XX/XX/XXXX. I contested both fees, and have accepted that I need to pay the ACH payment return from XX/XX/XXXX. Carrington applied my additional fee payment to the latest fee, which I never should have been charged, and has charged me interest and late fee on the first fee ( which I paid ). They have taken off the late fee and interest charge for now, but will not credit payment of the second fee towards the first. Also stating that I can not contest the second fee because it is already paid. These fee practices are unlawful and I have detailed the situation below : XX/XX/XXXX I called Carrington about the returned ACH payment from my XX/XX/XXXX mortgage payment. I spoke to an agent who told me that the payment is not automatically re-processed and I would have to resubmit the payment. I was going to do this online on this day, but the agent told me that he could take the payment over the phone now, and that the payment would be processed on XX/XX/XXXX. I asked if this would make it late, being that I thought that the payment is late after the XXXX. He assured me that I have until the XXXX to make the payment, so I took his advice, made the payment over the phone that day, and the payment was processed on XX/XX/XXXX ( see statement screenshot ). No late fee was assessed. 

I was contesting the returned ACH payment charge, since the money was in my bank account. I asked about this on the same XX/XX/XXXX phone call and the agent said that the request to contest the fee would have to be in writing. I wrote a letter to Carrington to the address he provided and they responded with a letter that the request was declined and I still owed the {$30.00} fee. After I received the letter, I paid off the {$30.00} ACH fee in XX/XX/XXXX. 

Unbeknowst to me, the bank had charged me a {$30.00} late fee for my XXXX mortgage payment made XX/XX/XXXX ( see statement screenshot ). They did not notify me about the fee by mail, email, or by other means. I had paid the balance of my mortgage as per the instructions of the last agent I spoke to. I didn't understand why the payment in XXXX was not late, but XXXX was late. Both payments were made on the XXXX ( see statement screenshot ). 

When I made my XXXX mortgage payment, with the additional {$30.00} payment for the ACH fee, I noticed a new fee of {$53.00}. I called Carrington XX/XX/XXXX to ask about the fee. I spoke with a customer service agent and then later an escalation manager. They explained that I had been assessed a late charge and interest penalty on the {$30.00} ACH fee, since the additional {$30.00} XXXX payment for the ACH fee went to pay the XXXX late fee. They removed the penalty and interest of {$23.00}, but said the XXXX fee is still unpaid. I asked the manager to please review my phone conversation with Carrington agent from XX/XX/XXXX to hear him tell me that the payment could be paid on the XXXX without being late. She said she would and get back to me. 

I received a voicemail message XX/XX/XXXX from Carrington to call them back but with no other info. I called Carrington back XX/XX/XXXX and an agent told me that the late fee from XXXX could not be reversed since I already paid it. 

I had no intention of paying the {$30.00} late fee from XXXX, since I did not know I had this fee and would have not paid it, being that I was on time with my XXXX payment. I also do not want to pay additional interest and late fees for the {$30.00} XXXX fee since I already paid it ( even though they will not apply my payment to the earlier fee ). I am not happy with Carrington or its ability to self regulate. Their system is only in favor of collecting fees without regard to lawful bank fee charging and collection.

Company response to consumer: Closed with explanation