Consumer complaint received 2023-09-08 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: Mr. Cooper Group Inc.
State: FL

Complaint narrative:
This message was sent with High importance. 
XXXX XXXX XXXX XXXX XXXX XXXX ; XXXX Also, I received the attached letter as well and I have now paid over XXXX in XXXX, including {$1200.00} that was put into escrow for flood insurance! Mr. Cooper/Nationstar continues to engage in unfair and deceptive acts and the accounting errors have caused continuing and irreparable harm. The forced placed coverage was placed in bad faith, and a violation of the RESPA Act, since there was no reasonable basis to believe flood coverage was not secured as the deceleration pages were sent almost monthly and by multiple sources ; myself, the insurance broker, and our management company. It was never removed and Mr. Cooper/Nationstar has held the funds for the forced placed insurance despite informing me that it was being refunded. This is the only reason I elected forbearance last XXXX. This is negligent misrepresentation as it was confirmed by Mr. Cooper/Nationstar that proof of flood insurance was received, each year, clearly with the intent to induce reliance on the misrepresentation that the flood insurance declaration pages were received so that Mr. Cooper/Nationstar could hold onto my funds in a very critical time, with the state of our economy, lockdowns, and the fact that I was caring for my elderly mother. 
It appears customers must check everyday with Mr. Cooper /Nationstar to confirm the accounting and what they're told is correct. No one has time for that. 

Regards, XXXX XXXX XXXX From : XXXX XXXX XXXX Sent : Friday, XX/XX/XXXX XXXX AM To : XXXX XXXX XXXX Cc XXXX XXXX XXXX ; XXXX XXXX ; XXXX XXXX ; XXXX XXXX ; XXXX XXXX ; XXXX XXXX ; XXXX XXXX ; XXXX XXXX Subject : Re : Forced placed hazard insurance Good morning, As mentioned in my previous email, I spoke with XXXX and suddenly the flood coverage declaration page from XXXX was found, and all was good. He transferred me to the escrow department to find out how and when I will get my payments back from XXXX, that have been promised since XXXX. The escrow department could not answer why {$650.00} and {$610.00} were again taken for flood insurance. Our insurance broker, XXXX sent it in XXXX of XXXX, I sent it again and a XXXX called XXXX and obtained another copy, how could a company be so incompetent? The escrow rep asked me if I was coming off forbearance. XXXX discussed this with her, so why was she asking me? He went over everything and was simply transferring me to her so she could tell me how my funds would be returned ; they should be returned with interest. Obviously, I was coming off forbearance since I paid so much more than was required. I did mention that no one would ever sent me the terms of the agreement in writing. She said she would and that I was owed {$2500.00} that she put in a request for that to be sent to me. I had been requesting that the funds be put toward my mortgage since XXXX but that never works, so I didn't even want to discuss that. I will have to do my own accounting as that is still off, but as I mentioned I have to work and have spent way too much time on calls with Mr. Cooper 's very disorganized departments. 

I received the attached letter this morning, and XXXX and behold it is a letter to extend forbearance. I can not deal with this incompetence much longer. What is going on with your organization? 

Regards, XXXX XXXX : XXXX XXXX XXXX Sent : Thursday, XX/XX/XXXX XXXX PM To : XXXX XXXX XXXX Cc XXXX XXXX XXXX ; XXXX XXXX ; XXXX XXXX Subject : Re : Forced placed hazard insurance Yes, I do work and have spent more time on calls with Mr. Cooper monthly for the last few years Please read my email and submit the requested information. I received notice in the portal on XX/XX/XXXX stating the XXXX proof of flood was missing. This is the shenanigans I am referring to, out of the monthly calls and emails Mr. Cooper suddenly does this have the XXXX, when they were all sent together from our management company. No, that is unacceptable. Mr. Cooper/NationStar has been dragging its heels on its commitment under the terms of the contract, for 4 years, in promising to cancel the forced placed coverage 15 days after receiving proof from me, the insurance carrier and our management company multiple times within the year. 

In looking through he statements for XXXX, Mr. Cooper has failed to timely and accurately apply payments made by me and failed to maintain accurate account statements. These deceptive practices took funds from my principal and interest for a policy that was already in place through my HOA, despite monthly calls Mr. Cooper maintained these policies for 4 years, in amounts in excess of what is required and outlined in the agreement essentially force placing a second policy after sending proof of flood insurance repeatedly. I spoke to XXXX today who magically realized there was no lapse in coverage, despite the letter received last week. The stress and aggravation caused by Mr.Cooper 's inaccurate accounting is unconscionable. XXXX transferred me to the escrow department and they still couldn't answer why {$650.00} and {$610.00} was put into escrow for flood insurance in XXXX and XXXX of this year. 
Additionally, I paid over {$7000.00} prior to XX/XX/XXXX, and I see " partial payments '' that are allocated everywhere, but nothing adds up to what I paid in. Another question was on XX/XX/XXXX the portal stated I paid XXXX out of XXXX escrow payments the amount due {$0.00}, then it showed {$4700.00} with {$0.00} owed for XXXX. I paid {$4800.00} to round up, then the amount changed to over {$5800.00} owed please explain and reply to the questions in my previous email. 
I don't want to talk to anyone on the phone, nothing ever gets resolved. 

Regards, XXXX XXXX : XXXX XXXX XXXX Sent : Thursday, XX/XX/XXXX XXXX PM To : XXXX XXXX XXXX Cc : XXXX XXXX ; XXXX XXXX Subject : RE : Forced placed hazard insurance Hi XXXX, I received notification that a XXXX XXXX has tried calling you today , but received your voicemail. She left you a message. 

Her email is : XXXX Thank you and hope you will be able to get things resolved with her. 
From : XXXX XXXX XXXX Sent : Thursday, XX/XX/XXXX XXXX PM To : XXXX XXXX XXXX Cc XXXX XXXX ; XXXX Subject : Re : Forced placed hazard insurance I found XXXX XXXX, whose account my funds were allocated to. XXXX is a reporter for the XXXX XXXX XXXX, perhaps he would like to do a story on Mr. Cooper/Nationstar Mortgage 's deceptive practices. 

From : XXXX XXXX XXXX Sent : Saturday, XX/XX/XXXX XXXX PM To : XXXX XXXX Cc XXXX XXXX XXXX ; XXXX XXXX ; XXXX XXXX Subject : Forced placed hazard insurance Image removed by XXXX XXXX XXXX XXXX XXXX XXXX Image removed by sender.XXXX  XXXX wrong XXXX XXXX Image removed by XXXX XXXX XXXX XXXX, It is beyond belief XXXX XXXX has taken so much time to straighten out the forced place flood insurance that XXXX XXXX continues to charge year after year. I am attaching the documents with dates, times customer service reps names and also have recorded every conversation with consent, you can hear this on the recording. The proof of insurance has been sent multiple times every year and I have confirmation that it was received. I called monthly to be told it was indeed received and all was fine. Last XXXX, I spoke to the insurance department and was told, and I quote, " I wouldn't pay us any more money either, we owe you money ''. I explained I only wanted it to be put towards my mortgage payment. She had to transfer me to customer service, and she said to let them know and it would be done. It was {$2500.00} at that time and my mortgage payment is {$850.00}, although I've been paying much more since the forced placed hazard has been in added since XXXX. The XXXX said I had to wait for a check to be mailed and call back to void it then they could put it towards my mortgage. That is not logical, and I explained that it wouldn't be efficient as I travel often for business and she said that is the only way it can be done, despite my insistence she seemed to want to push me into a forbearance. It does appear that your reps have scripts and seem to steer customers into situations that aren't in their best interest. But it does seem that your XXXX 's have scripts to talk customers into forbearance although I question the technology since I learned my XX/XX/XXXX payment was drawn from an account that was closed in XXXX of XXXX! I physically added my TD Bank account online to make the payment, I would not allow ach with Mr. Cooper due to the incompetencies I've experienced. XXXX XXXX told me the system was being changed and it was " pulling historical data '' With the high incidence of identity theft, which I've been a victim of, I question the safety of the technology Mr. Cooper has in place. Other CSRs said that was not true. and In looking through my confirmation emails from Mr. cooper, I noticed XXXX was applied to a insured named XXXX XXXX,! The incompetency of Mr. Cooper 's operations and accounting is reprehensible. XXXX only knows how much of my funds have been allocated to other customers ' accounts. some of the funds my other funds have been allocated. 

The attached snapshot is my XX/XX/XXXX statement which includes {$610.00} for flood insurance, and you can see it has been deducted from the previous month as well, and there is also a deduction on the XX/XX/XXXX statement. This is following XXXX XXXX 's promise to make sure the statements would reflect the removal of flood insurance. She too confirmed all proof was received. I have the recorded conversations. 
On XX/XX/XXXX in XXXX of the monthly phone calls, I was transferred to the insurance department and the rep, XXXX, took the name and number of our insurer and said she would get a copy directly from the agency, XXXX XXXX, they hold the master policy. Additionally, just to be sure, since Mr. Cooper confirms receipt of the proof yet keep charging me, I requested our management company send all declaration pages from XXXX directly to Mr. cooper, prior to XXXX XXXX, it was through XXXX for years. .them. This is after they automatically sent it proactively for all of the residents and I sent it personally to XXXX As mentioned, I've called monthly, and these aren't quick calls. I'm often passed around to XXXX reps and have been on the calls XXXX hours. XXXX XXXX said she'd be personally monitoring and helping me, but I haven't heard from her and multiple calls to her this week I learned she was out, and her mailbox is full. She obviously didn't help because I just received the attached letter stating there was a gap in coverage in XXXX and XXXX! This is beyond incompetent. 

Your app is awful as each time I attempt to open a " ticket '', it stops working and erases the information while typing ; the reason I am sending this email to you both. 



As of XX/XX/XXXX the portal indicates XXXX of XXXX forbearance payments were made, and my escrow is now in excess of {$3000.00}, that's probably incorrect as your portal changes daily ; according to my calculations it is more. However, I will go through every payment again as it appears you've paid other people 's insurance with my funds and possibly their loans as well. I tried to make payment on the portal, and it still says {$0.00} owed on XXXX however I wanted to pay the {$4700.00} indicated in the portal to come off forbearance, and the portal would not allow me to, isn't that odd? No, it's not, always moving the goalpost with the shady tactics, I called the customer service number and was able to pay by phone, and silly me overpaid, just in case and rounded up to {$4800.00}. I'm also including the letter stating that you now discovered the gap in coverage and the proof of coverage that all of the customer service reps I've spoken to on recorded calls have confirmed were received and applied, even XXXX XXXX 's, I hope he appreciates me paying his flood insurance, whoever he is. 
Finally, I fully expect the target to move once again, because that's how Mr. Cooper/Nationstar seems to operate. I'm considering hiring my own attorney as I can no longer spend countless hours neglecting my business and getting aggravated to straighten out these deceitful practices. 

Regards, XXXX XXXX XXXX

Company response to consumer: Closed with explanation