Consumer complaint received 2024-11-25 00:00:00
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — Escrow, taxes, or insurance
Company: Freedom Mortgage Company
State: GA

Complaint narrative:
As a customer, we have an expectation that companies treat us fairly and honestly. As a Freedom Mortgage customer, I have grave concerns with the companies accounting practices and operational procedures servicing mortgage loans. Based on my Freedom Mortgage account experience, the company is overinflating my escrow account projections. For example, if thousands of accounts are overinflated this could result in millions of earned interest profits to the corporation. For customer protection, this should be investigated by the Consumer Financial Protection Bureau, XXXX XXXX XXXX, and XXXX XXXX of the Inspector General regulating mortgage companies and FHA loans for potential fraud, and performance of servicer based on agency standards when servicing loans. 

On XX/XX/XXXX, I provided a message to Freedom Mortgage via their website ( see attached message below ) of the inflated escrow amounts for my account with evidence attached but the company disregarded my concerns by stating no amount had been disbursed for county tax ( when in in-fact they had paid XXXX XXXX tax ) and indicated they confirmed city tax was {$1900.00} ( it appears they only confirmed what Freedom Mortgage system records indicated the XXXX projected amount in their response correspondence ). 

A copy of my secure message to Freedom Mortgage, XX/XX/XXXX Freedom Mortgage Corporation, This written message serves as my request for a review and update to the monthly escrow payment. The amount Freedom Mortgage Corporation has projected for city ( XXXX, XXXX  ) XXXX XXXX ( XXXX ) taxes are extremely inflated. The XXXX XXXX Account Disclosure Statement dated XX/XX/XXXX did not use prior year actual ( XXXX ) tax amounts paid to make XXXX adjustments/projections. In XX/XX/XXXX {$220.00} was paid for XXXX XXXX tax and XX/XX/XXXX {$360.00} was paid for city tax. It should be noted the XXXX XXXX XXXX tax bill due XX/XX/XXXX is {$570.00} ( I attached a copy of XXXX XXXX bill ). The use of {$1900.00} for city and county tax projection amounts are extremely over inflated, have no creditable accounting basis, and no historical property tax documentary evidence to support continued use in the escrow tax calculations. I request prior year tax amounts paid be used as projection amounts and a revised XXXX Account XXXX XXXX with new monthly payment amount be generated. 

XXXX XXXX On XX/XX/XXXX Freedom Mortgage responded via secure message : Re : Escrow Account ( Taxes or Insurance ) Received Date : XX/XX/XXXX Account : AC ... XXXX Dear XXXX XXXX, Thank you for contacting Freedom Mortgage Corporation ( Freedom Mortgage ). We received your request via our website on XX/XX/XXXX, regarding your property tax amounts. We appreciate the opportunity to assist you and hope you find the following information helpful. 

We have verified with XXXX XXXX parcel number XXXX XXXX that there are no prior year taxes due on the account. No disbursements were made at this time ; the tax lines will be automatically updated with future tax amounts. Additionally, we have verified with XXXX XXXX parcel number XXXX XXXX that no taxes are due on the account. 

The next disbursement from your escrow account is scheduled to XXXX XXXX for XX/XX/XXXX in the amount of {$1900.00}. 


If you need to speak with a Customer Care Representative, please call Monday through Friday XXXX to XXXX, and Saturday XXXX to XXXX, Eastern Time at ( XXXX XXXX XXXX. 


Sincerely, Customer Care TeamFreedom Mortgage Corporation On XX/XX/XXXX Freedom Mortgage sent me an email : From : Freedom Mortgage Corporation XXXX Date : Thursday, XX/XX/XXXX Subject : Confirmation of disbursement for your taxes and insurance To : XXXX Taxes & Insurance Disbursement Confirmation Dear XXXX, As the servicer of your mortgage loan, Freedom Mortgage pays your tax and/or insurance premium bills on your behalf. These bills are paid through your escrow account. 

The following payment ( or payments ) was completed on XX/XX/XXXX for the account ending in XXXX. 

XXXX XXXX XXXX to : XXXX XXXX XXXX paid : {$570.00} No action is required on your part. If you have questions about the amounts listed in this email, please contact your local tax office or insurance company. 

For more information about escrow, review our FAQs. 

Sincerely, The Freedom Mortgage Customer Care Team

Company response to consumer: Closed with explanation