Consumer complaint received 2023-01-13 00:00:00
Product: Mortgage — FHA mortgage
Issue: Trouble during payment process — 
Company: Mr. Cooper Group Inc.
State: FL

Complaint narrative:
On XX/XX/XXXX, we received our annual Escrow Statement from Mr. Cooper. It reflected a deficit of {$830.00} which resulted in an increase in monthly Escrow payments of {$91.00}. In turn, this would increase our monthly mortgage payment from {$1500.00} to {$1600.00}. 

However, at the time of this Escrow Statement, we were also behind by two monthly payments. On XX/XX/XXXX, we made those two monthly payments bringing our account to 100 % fully current. Our Escrow Account was then brought from a deficit of {$830.00} to a surplus of {$390.00}. Due to this being before the end of the year, we promptly requested, in writing, an Escrow Account recalculation from Mr. Cooper to reflect this change as now there wasn't a need for our monthly to increase as we were no longer in a large deficit but in a surplus. 

The Escrow Statement we received from them clearly states, " The shortage amount listed assumes there are no outstanding payments owed. If you have past due amounts, please sign in to your account at www.mrcooper.com for the correct amount. '' At that time when we were behind by two payments, this of course applied to us. When I logged into my account, the amount was exactly the same. Mr. Cooper literally is playing games at this point. Nowhere did it ever show an Escrow Balance projecting what my account would look like if my account were not behind payments, like this statement suggests. How is this legal? 

XX/XX/XXXX we receive a response from Mr. Cooper acknowledging us and stating they need more time. 

Today, XX/XX/XXXX, we receive a long response that is nothing short of pure stupidity. The beginning explains what an Escrow Account is and what causes a shortage as if I haven't had a mortgage and Escrow Account before. Really? 

However, it goes on with this : " Due to changes in tax and insurance premiums, Mr. Cooper completes an analysis each year to ensure that your escrow account is funded correctly and adjusts your monthly payment accordingly. Because your escrow account has less money than needed, there is a shortage of {$830.00}. Due to this shortage and changes in your taxes and insurance premiums, your monthly escrow payment will increase by {$91.00}. Your current escrow balance is {$390.00}. 

You may deposit the escrow shortage in full. Upon receipt of this deposit, your shortage and monthly payment will be adjusted accordingly. '' My Escrow account was - $ XXXX at the time of the analysis which resulted in this. Making my two monthly payments resulted in the surplus of {$390.00}. Whoever responded to my request literally took the information from my old Escrow Statement and combined it with my current balance without recalculation. 

So here I am, requesting once again that someone from Mr. Cooper recalculate our Escrow Account with the SURPLUS amount of {$390.00} and not the - $ XXXX it was on XX/XX/XXXX when we were behind two mortgage payments. The deficit of {$830.00} will no longer exist.

Company response to consumer: Closed with explanation