Consumer complaint received 2017-11-26 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — 
Company: CARRINGTON MORTGAGE SERVICES, LLC
State: FL

Complaint narrative:
In XX/XX/XXXX work was completed on a kitchen renovation caused by a water leak. The following is the log of events where I have been trying to get the mortgage company to release the insurance checks XX/XX/XXXX, paid contractor for work completed, received final invoice and release of lien from contractor. Mailed both to Carrington on XX/XX/XXXX Was out of town XX/XX/XXXX to XX/XX/XXXX. I had informed the coordinator for the inspection and was told they would contact me the XX/XX/XXXX to schedule the inspector. 
XX/XX/XXXX, Still had not heard from the inspection scheduler. Called Carrington to inform them that I was still waiting on the inspection. Was told they would take care of it right away XX/XX/XXXX, Carrington called to say the inspection would be scheduled for XX/XX/XXXX. 
1 Month past completion of work and payment of contractor.

XX/XX/XXXX, Inspector came to house and completed inspection of Kitchen. She said I should call Carrington in about 5 business days. 
XX/XX/XXXX Called Carrington to ensure they got the report from the inspector and that they had everything they needed. I was told they had the inspection report but were missing the contractor license and final invoice. Did not understand why they did not have the final invoice as I had mailed it to them in XX/XX/XXXX. Told representative I would send both documents. 
XX/XX/XXXX contacted contractor and had them email me a copy of their license and the final invoice. Forwarded those documents to Carrington XXXX XXXX on XX/XX/XXXX. 
XX/XX/XXXX, Called to confirm that they had received the contractor license and final invoice that I had emailed the day before. Was told that they had received the documents and they had everything they need. The packet is being sent for review and a check should be sent within 5 to 7 business days. 
XX/XX/XXXX to XX/XX/XXXX out of country. 
2 Months past completion of work and payment of contractor. 
XX/XX/XXXX, Called to ask why I had still not received my disbursement check that I was told XX/XX/XXXX should be out in 5 to 7 business days. Was told that the check was not sent because they did not have the release of lien. I stated that I had sent that along with the final invoice around the XX/XX/XXXX via postal mail. They claimed that they did not have it and I would need to contact the contractor to get another copy. 
XX/XX/XXXX, Called back to ask if the release of lien was really needed as the loss packet they sent me said it was only needed for claims over {$20000.00} and they were only holding {$16000.00} of the insurance money. She put me on hold to look into it then came back and said that was correct I would not need the release of lien. I explained to her that this has dragged out since XX/XX/XXXX and I was floating the cost of the repairs on a credit card, so I really needed some assurance that everything was correct and the check would be forthcoming. She stated she would note the account accordingly and they would get a check out within 5 to 7 business days. 
( XX/XX/XXXX note : apparently the {$20000.00} limit noted in the packet was in respect to the entire insurance claim not to the amount of money held by the mortgage company. The total insurance claim was over {$30000.00}. Ok my mistake but the representative I spoke to on the XX/XX/XXXX should have known this. Also why did Carrington not attempt to contact me to say they still needed the release of lien? ) XX/XX/XXXX,  Received check for {$12000.00} expected {$16000.00} also check made out to myself and a different contractor from who I used. Called loss drafts was told XXXX was due to initial estimate not matching the release of lien. ( note : this is the same release of lien that I was told they do not have when I called on XX/XX/XXXX. I never sent another copy having thought that it was no longer needed ) The release of lien document states that the upon receipt of {$12000.00} ( amount I paid ) the contractor will waive the right to impose a lien on the property. Seems pretty straight forward and binding so why does the estimate need to match the release of lien other than as an excuse for the mortgage company to hold my money longer. Asked to speak to a supervisor. Was transferred to XXXX. She again stated the initial estimate and the release of lien needs to match. I asked her why and all she could say was that is the process. ( this really sounds like a ploy to delay payment. Rarely does a final invoice match the original estimate so they are inserting a process that requires one to redo the bid at the end of work. She said it was because they needed to know what had changed between the initial estimate and the final invoice. Why? what do they care about the reason? As long as the work is complete, the bill is paid and passes inspection their concerns should be addressed. ) Also, I pointed out again that we did not use the contractor that they had included on the check to do the work as I have pointed out numerous times in the past plus the fact that all documents submitted since XX/XX/XXXX have been from the correct contractor. She apologized and said she would cancel the check but I would need to mail it back to them before she could cut another check. ( I will of course mail it back but this is their mistake and they are cancelling the check why do I need to mail it back? My insurance company did not make me return a check that they had written to the same contractor, they just canceled it and send a new one. Again sounds like a delaying tactic ) She also said I should have provided a written notice that I was switching contractors, I stated I had never been told that in the last 4 months. She also said she would need a verbal from the original contractor saying they did not do any work. Do not understand this either as I never signed a contract with this contractor where is the liability? She also said she needed a verbal from the correct contractor that they did the work for the stated amount. Again, why? Should the invoice not be sufficient? This all just looks like delaying tactics for Carrington to keep using my money. I asked her, when she contacts the contractor for the verbal that she ask them for what she needs for the bid and lien release so that she gets what she needs. She said she would do this. Ended call that she would get back with me on Friday. Follow on thought, when she calls on Friday ( if she calls ) ask if she is going to send another check for XXXX to me right away or are they now holding that money until all these other conditions are met. 

XX/XX/XXXX, called back to Carrington customer service. Explained I am having issues with the loss draft department asked to speak to a customer service supervisor above the loss draft department. Was handed off to a Loss Draft Representative not even a supervisor ( this is not what I asked for ). Took the opportunity to ask her to reference the contractor bid to ensure that I was looking at the same copy that they have. Turns out they do not even have a contractor bid from the contractor. So what were the two people from the previous call looking at? This has been a continuous problem with this department ... I explained that I sent that bid back in XX/XX/XXXX ( would have been at the same time that I sent the XXXX which they did have ) she said that they do not have it and I need to get a new bid that matches the release of lien. 
Due to the holiday it is unlikely that the loss draft supervisor will get any of the things she is asking for before the XX/XX/XXXX meaning that I can not expect a check before the second week of XXXX a full 3 months after work was completed. That is providing they do not come up with yet another reason whey they will not disburse the money. 
I fully understand that the mortgage company needs to ensure that insurance claims are properly addressed and paid for but that has all been completed and verified there is at this point no risk on the part of the mortgage company. This is really looking like a scam to allow the mortgage company to keep using money that rightfully should be mine. 

Just an additional comment the mortgage company has been using this {$16000.00} at whatever interest rate banks get for money 8/10 %? while I am paying credit card interest on this same amount. This is money I will not recover.

Company response to consumer: Closed with explanation