Consumer complaint received 2025-03-14 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Trying to communicate with the company to fix an issue while managing or servicing your loan
Company: U.S. BANCORP
State: CA

Complaint narrative:
In XX/XX/XXXX, I purchased my first home. In XX/XX/XXXX, I had the first issue with US bank regarding flood insurance. My community XXXX has a flood insurance policy that covers our units. I provided the US Bank with our flood insurance, but was rejected and lender placed flood insurance was put on my account without my knowledge. They did not reach out to me letting me know that the flood insurance policy was supposedly unacceptable, they sent a letter XXXX months later saying they took money out of my escrow account and started charging me for flood insurance. I reached out and spent over XXXX hours on the phone with them over a period of XXXX weeks discussing this. Every time they would give me a different excuse for why it was not acceptable. Excuses ranged from not being able to read that my unit was included in the flood insurance policy ( It was clearly visible ), to not being able to see how many buildings there were ( it was shown ), etc. After speaking with them, they supposedly refunded me although they never gave me a breakdown of what was additionally charged. They said they now knew how to read my policy and this would not happen again. XXXX XXXX the exact same thing happened. XXXX XXXX the exact same thing happened, XX/XX/XXXX, the exact same thing happened. Each year brings a different excuse. They never reach out to me saying theres an issue with it or try to reach out to the insurance company until they place lender insurance on my account. They place the lender insurance on my account and then after placing it will send me a later saying they did so. When i call they will take about XXXX weeks to actually find someone who will reach out and do what they are supposed to do. They further have told me in the past they would put a not on my account to make sure this didn't happen again. They did not put a note to explain how to read my insurance. Per recorded phone calls with employees, the process they should be taking is once they receive an insurance policy, they will review it. If there are issues they will send an email to the customer or reach out to the insurance agency. Neither of those things have ever happened. Once this happens if no resolution occurs then they will place lender based flood insurance on the account. They also never provide me a breakdown of the total amounts they have taken from my account So i can never confirm that I have been totally and completely refunded This causes my mortgage payments to go high. As discussed with the agents, this is reminiscent of a fraud scheme. The Company will place flood insurance on accounts they think they can make money off of and who will not pay attention to their accounts. For example, I am a single white female living alone who has had this happen XXXX years in a row. Additionally, i have spoken to other homeowners in the XXXX and they have all stated the form our HOA provides to us that we provide to the banks on an annual basis is sufficient and they have never had any issues or flood insurance placed on their accounts. These are both male and female homeowners. I spend XXXX hours a year on phone calls with them during my work hours trying to fix this. It is causing me to lose money at my job and not only does the lender placed insurance increase my escrow payment and takes months to get fixed, but they will not compensate me for the time I am losing money not working. Further, we spoke with an insurance agent who provides this policy to our community and they stated the request for additional information that US bank wanted was not a request they had ever received before. I believe the company is committing fraud and unknowing customers are over paying each year. Additionally, i believe they are discriminating against me and not providing me with the proper basic customer service. Further, i believe they have not fully refunded me the amounts they have taken out of my accounts over the last XXXX  years.

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