Consumer complaint received 2025-07-21 00:00:00
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: M&T BANK CORPORATION
State: IL

Complaint narrative:
I am filing a formal complaint against M & T Bank regarding ongoing errors with my escrow analysis, which remain unresolved despite multiple outreach efforts. In XXXX and XX/XX/XXXX, I received three separate escrow analyses, all with different balances, projections, and calculations that do not align with actual payments or disbursements. 

Summary of Mismanagement and Miscalculations Although a shortage did exist due to under-escrowing for actual taxes and insurance disbursements, M & T Bank 's analyses grossly inflated that shortage due to multiple internal missteps : 1. M & T Bank reclassified my hazard insurance as a new escrow-paid expense in XX/XX/XXXX despite the fact that M & T had already been paying my insurance from escrow since at least XXXX. 

2. M & T Bank placed a full-year lender-placed insurance ( LPI ) policy on my account for {$9600.00} due to a temporary lapse in coverage from XXXX through XX/XX/XXXX. 

3. M & T Bank then issued an escrow advance of {$7500.00} to cover that charge, followed by an {$8100.00} refund for the LPI after my personal policy was accepted ( effective XX/XX/XXXX ). 

4. M & T Bank charged {$4400.00} for my reinstated personal policy, and then placed another unexplained escrow advance of XXXX XXXX.Despite all these adjustments, no new escrow analysis was run to reflect the corrected insurance amounts or reconcile the overlapping transactions. Instead, M & T Banks system continued projecting disbursements and shortages based on the uncorrected full-year LPI and misapplied advances.

What Should Have Happened If managed properly, the following would have occurred : - The lender-placed policy would have been prorated for XXXX only : XX/XX/XXXX {$9600.00} = $ XXXX Only the prorated LPI amount would have been included in the disbursement history.- The {$8100.00} refund and {$7500.00} advance would have been reconciled correctly and netted out, removing duplicative impacts.- A new escrow analysis would have been performed using actual disbursements and accounting corrections, rather than layered over old errors. 

__________________________________________ Specific Concerns : Incorrect Escrow Calculations : I received analyses dated XX/XX/XXXX, XX/XX/XXXX, and XX/XX/XXXX ( attached ), each with inconsistent figures and math that doesnt reconcile. One projected a {$9600.00} hazard insurance disbursement, though my actual premium is {$4400.00} with a prorated ~ {$2000.00} in lender-placed insurance ( prorated XXXX ), as I was told it would be adjusted when my personal insurance was accepted. Some analyses show duplicate charges for XXXX totaling {$14000.00}. Additionally, in at least 2 of the reports the the monthly escrow amount, multiplied by 12 exceeds the annual escrow projection of what will be needed ( {$20000.00} vs {$13000.00} ). 

Failure to Acknowledge Corrections : Though M & T conducted an escrow research, the errors werent fixed. The XX/XX/XXXX analysis omitted a YTD breakdown, making it impossible to verify the new figures and raising further concerns about transparency. The XXXX report is also riddled with mathematical errors and oversight even without the YTD breakout Refusal to Rerun Correct Analysis : When I requested a revised analysis, I was told one had already been run and no further review would occur. This is unacceptable, especially as prior errors remain and the XX/XX/XXXX statement includes inaccurate totals. Impact : My monthly mortgage has been inflated by nearly {$1000.00} Im being held responsible for charges I should not owe Ive lost trust in M & Ts ability to manage my account or correct known issues

Company public response: Company has responded to the consumer and the CFPB and chooses not to provide a public response
Company response to consumer: Closed with explanation