Consumer complaint received 2026-06-15 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: Freedom Mortgage Company
State: WA

Complaint narrative:
Consumer Financial Protection Bureau Complaint I am submitting this complaint regarding Freedom Mortgage 's handling of an escrow refund check associated with mortgage account ending in XXXX. The original escrow refund check, in the amount of approximately {$6400.00}, was issued jointly to XXXX XXXX XXXX ( Borrower # 1 ) and XXXX XXXX XXXX ( Borrower # 2 ), as both parties were borrowers on the loan. After the original check was not negotiated, Freedom Mortgage subsequently reissued the escrow refund solely to XXXX XXXX XXXX without my authorization, consent, or involvement. What concerns me most is that I contacted Freedom Mortgage on multiple occasions and was specifically informed that the company does not become involved in disputes between borrowers and would not reissue funds to only one party. Despite those representations, Freedom Mortgage later reissued the entire refund to Borrower # 2 only, effectively determining ownership of jointly issued funds. The divorce decree between myself and XXXX XXXX XXXX does not award the escrow refund to either party. There is no court order, judgment, settlement agreement, or provision within the divorce documents directing Freedom Mortgage to issue the funds solely to one borrower. I acknowledge that XXXX XXXX XXXX was awarded ownership of the property pursuant to our divorce decree. However, the award of the property did not include any provision awarding the escrow refund funds solely to her. The escrow refund arose from funds that accumulated in the mortgage escrow account while both borrowers were obligated on the loan. Therefore, the transfer of ownership of the property should not, by itself, have been treated as authority to reissue the entire escrow refund to one borrower while excluding the other. If Freedom Mortgage relied upon the property award as justification for its decision, I request that it identify the legal or contractual basis for doing so. I contributed to the escrow account for more than fourteen years and had a legitimate ownership interest in those funds. By reissuing the check solely to Borrower # 2, Freedom Mortgage deprived me of access to funds that were originally issued jointly. Freedom Mortgage 's decision to reissue the entire refund to Borrower # 2 was not a neutral administrative action. It effectively determined ownership of jointly issued funds despite the company 's prior representations that it would not involve itself in disputes between co-borrowers. I am requesting that Freedom Mortgage : 1. Provide a detailed written explanation of why the escrow refund was reissued solely to Borrower # 2. 2. Provide copies of all documentation, authorizations, court orders, requests, internal records, policies, and communications relied upon when making that decision. 3. Explain the policy or authority that permitted reissuance to a single borrower after representatives advised me that Freedom Mortgage would not intervene in disputes between co-borrowers and would not reissue funds to only one party. 4. Identify whether Freedom Mortgage considered my ownership interest in the escrow funds before reissuing the refund and, if so, how that determination was made. 5. Take appropriate corrective action to address my ownership interest in the escrow refund. I further demand that Freedom Mortgage compensate me for my ownership interest in the escrow refund funds that were reissued solely to XXXX XXXX XXXX. If Freedom Mortgage contends that it was authorized to issue the entire refund to Borrower # 2, I request that it provide all documentation and legal authority supporting that determination. If no such authority exists, I demand that Freedom Mortgage reimburse me for my share of the escrow refund and provide a written explanation of how it intends to resolve the financial harm caused by its actions. I am seeking transparency regarding Freedom Mortgage 's decision-making process, accountability for the inconsistent handling of jointly owned funds, and a fair financial resolution of this matter. I respectfully request that the CFPB investigate this matter and require Freedom Mortgage to provide a substantive written response addressing the concerns outlined above. Sincerely, XXXX XXXX XXXXXXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX XXXX, WA XXXX ( XXXX ) XXXX XXXX XXXX

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