Consumer complaint received 2023-09-20 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: STOCKTON MORTGAGE
State: FL

Complaint narrative:
I am the borrower and the insurance broker for my own property. There are multiple issues pertaining to the servicing of my loan including but not limited fiduciary negligence on behalf of the mortgage company and or the servicing company they have hired to service the loan. 

In XXXX the property was completely renovated to the XXXX of XXXX. As result of that renovation the new XXXX was 58 %. We made several requested to have the property re-evaluated to remove the PMI from the account on XX/XX/XXXX the price quoted for this service was {$150.00} which was approved. XXXX came and went - nothing. In XX/XX/XXXX I reached back out to them to find out where this was. I was informed that the payment had not been taken. While on the phone they processed the payment. I was told I would hear from them within XXXX business days about providing access to the XXXX for the XXXX. Again I got nothing. XXXX ( XXXX ) days later I get an email informing me that their fees went up as of XX/XX/XXXX from {$150.00} to {$190.00} they thanked me for my payment but are waiting for me to remit the additional {$40.00} before they would schedule the XXXX. After several days of going back and forth in writing, and final communication with me informing them of filing a complaint with the state. Stockton Mortgage and or their servicing company they outsourced to decided to comply with the original agreement and charges disclosed. The BPO was done XX/XX/XXXX and the new value {$730000.00}. Amount owed against the property at that time was approx. {$430000.00}. that's was a 59 % XXXX. We informed on XX/XX/XXXX the PMI was removed. The process which was supposed to be a 30 day process was actually 90 Days ( from the time they finally agreed to do it as quoted it was a total 29 days - the 60 day delay was caused by their negligence and misrepresentations and wanting to collect additional fees ). 

In the month of XXXX we revised our insurance coverages to address th increase costs to replace due top the renovations. The new insurance coverage ; windstorm was submitted through their portal ihveinsurance.com, their fax number and mail on XX/XX/XXXX. 

I typically do not use online payment options for mortgages as instructed by my CPA. However, I decided due to use their payment portal due to the ease as I have been traveling due to ailing parents for the past 12 months - I can pay it form anywhere. On XX/XX/XXXX I made my XX/XX/XXXX payment on XX/XX/XXXX through their portal the fund were withdrawn from my bank account. 

On XX/XX/XXXX I followed with Stockton Mortgage and or its outsourced service provider as to the new windstorm coverage. I was then informed by their representative they did not see anything about he new windstorm coverage invoice, XXXX page - nothing! I explained to them I received fax confirmation of their receipt of it, the email; was not returned to me as undeliverable and we had email confirmation. They could not explain what happened but I was asked to submit again. This time it was through email and fax only. We received confirmation of receipt again. 

On XX/XX/XXXX I submitted the new XXXX coverage for my unit to Stockton Mortgage and or its outsourced service company via email and fax. I again got a reply confirming receipt via email. On XX/XX/XXXX I returned home from dealing with ailing parents to find a letter from Stockton Mortgage stating my XX/XX/XXXX payment was not made. I immediately checked my bank account and found were it was withdrawn from account on the XXXX the fill amount that was due. I called them to find out what was going on. a ticket was opened to find out what was going on. On XX/XX/XXXX I called back to follow up on the insurance XXXX invoice that still had not been paid. During that conversation they could not explain as to why the payment had not been issued, they verified the policy with men and informed the payment was being expedited out that day. Needless to say that did not happen either. I again had to follow up with them to find out what was going on. I was then informed the reason the payment was not sent out was because they were unable to verify the insurance company - my company. I asked if they tried to call me or th office - Answer No, Neither the company or myself never received any emails about needing any further verification, confirmation or request for additional information. So again I had to - reverify everything from the company, to the coverages and the new cost of {$3500.00}. I explained due to their failure to pay the insurance premium in a timely manner my insurance company was going have to pay it so as not have the policy cancel due to non-payment and then have to deal with their forced insurance. I was informed they were mailing out the reimbursement check. This time they did send out the payment over XXXX as promised but they did not pay the entire policy instead they sent out {$1700.00}. It's not like the money wasn't sitting there in the escrow account. 

It was at that time I decided to have the escrowing/impound account removed due to their fiduciary negligence. I reach out to them and the emailed me the packet and the requirements to do just that. While all of this is going on I am receiving phone calls from Stockton Mortgage 's outsourced servicing company about the updated flood insurance certificate. I forwarded the new insurance certificate of the XXXX XXXX for XXXX 's flood insurance, so did the insurance agent for the XXXX XXXX - that was done in XXXX, and again in early XXXX. I stills receiving phone calls about this so in My XX/XX/XXXX certified packet that I submitted for the removal of the escrow/impound account I included a copy of the Flood insurance certificate. 

On XX/XX/XXXX Stockton Mortgage and or its outsourced servicing company raided my escrow account to pay for forced placed insurance to the tune of {$3600.00}. Amazing they were able to pay their forced placed insurance and pay it in XXXX IMMEDIATELY. They paid it after numerous submissions of our XXXX insurance certificate- Yet they could not pay the windstorm in a timely manner, and they have yet to complete paying for the XXXX- they still owe {$1700.00} in reimbursement from the/my escrow account for their fiduciary negligence. 

Given the multiple failures to pay insurance policies from my escrow account and a missing payment - I made the decision to send in via certified mail a replacement check for the XX/XX/XXXX so there would be no negative credit reporting as well as the payment being considered late let alone as not made. The mortgage company and or its servicing company was advised as such. They received the payment it was posted. We are still in the process of researching the missing payment that was withdrawn from our bank account. 

Doing my review of this mortgage I realized as of XX/XX/XXXX Stockton Mortgage 's and or it's servicing company 's payment portal ceased sending me confirmation of a scheduled payment and or payment confirmations. As a result I made a request of a full and complete payment history from inception to date so my team could reconcile it. This was provided. 

Yesterday I receive and email from Stockton Mortgage and to its outsourced servicing company. My request was denied based on the following ; - Flood insurance is a requirement on the loan and can not be removed from the escrow account. 
- The XXXX on the account is greater than 80 %. The XXXX is currently at XXXX percent. 
- A 30 day late payment in the last 12 months, due to the XX/XX/XXXX, payment is still being researched. 

XXXX XXXX is not part of my impound and escrow account as it is paid through XXXX XXXX ( it has never been part of my escrow/impiund account ). 

Somehow the XXXX went from 59 % in XX/XX/XXXX to 84.9 % in XX/XX/XXXX ( 5 months and 24 days ). Yes we can remove the PMI because your XXXX is 59 % ( well below the 80 % requirement ) yet somehow we can not remove the escrow/impound account because your XXXX 84.9 %???? How does that happen. 

The XXXX late payment??? A payment they lost, I voluntarily replaced while the research is ongoing to avoid any such reporting and they agreed to it. 

This denial further demonstrates the ineptitude of Stockton Mortgage and or its outsourced service company. They can not pay insurance invoices on time except for forced placed. They acknowledge new XXXX prepared based on updated values by an XXXX they hired, but when they want to deny the removal of the escrow/impound account the XXXX all XXXX sudden and unilaterally changes to 84.9 % - there wasn't another XXXX that came out and came to that determination - THEY UNILATERALLY IN COMPLETE DISREGARD OF THEIR OWN IN HOUSE UPDATED APPRAISAL.

Company response to consumer: Closed with explanation