Consumer complaint received 2024-09-22 00:00:00
Product: Mortgage — Conventional home mortgage
Issue: Trouble during payment process — Private mortgage insurance (PMI)
Company: RoundPoint Mortgage Servicing LLC
State: CO

Complaint narrative:
In XX/XX/XXXX, my husband and I purchased our home in XXXX, Colorado, using a conventional loan that required Private Mortgage Insurance ( PMI ) for XXXX year. We were advised by our lender and real estate agent that, due to our 10 % down payment and the significant appreciation in home values in our area, we would likely own more than 20 % of our home by the end of the first year, thus qualifying for PMI removal. 

In early XX/XX/XXXX, after our mortgage had been sold to XXXX Bank, we reached out to them to request the removal of PMI. XXXX reviewed our request, and on XX/XX/XXXX, officially removed our PMI, as confirmed by an official letter from them, which I will include as evidence. 

However, our mortgage was sold to XXXX  Mortgage on XX/XX/XXXX. XXXX reinstated our PMI without notifying us and, on XX/XX/XXXX, charged us {$420.00} twice on the same day for PMI. We did not notice this error initially as we had set up automatic payments and assumed everything was proceeding correctly. 

We discovered this issue in XXXX and immediately contacted XXXX to resolve the matter. On XX/XX/XXXX, I sent Roundpoint an email detailing the issue, along with a filled-out PMI cancellation request form and the letter from XXXX confirming the PMI removal. I received an automated response acknowledging receipt of my email but heard nothing further. 

On XX/XX/XXXX, I called XXXX customer service and spoke with XXXX, who informed me that they were reviewing my case and that I would receive a call with an update that day or the next. No one contacted me, so I called again on XX/XX/XXXX and spoke with XXXX, who stated there were no notes regarding a planned call or any decision. He further advised that the PMI cancellation review could take up to XXXX business days and that I would not hear back until XXXX. 

After my call with XXXX, I reviewed my payment history and discovered the duplicate PMI charge on XX/XX/XXXX. I immediately emailed XXXX again, providing proof of this error via a screenshot from their website. I sent this information to both the initial email address ( XXXX ) and the email address XXXX had given me ( XXXX ). I received no response. 

On XX/XX/XXXX, I called again and spoke with XXXX, who stated that they had tried to contact me the previous week, but I never received any calls or voicemails. XXXX informed me that my request to cancel the PMI had been denied. There was no prior communication from XXXX regarding this decision. When I asked about the criteria used to deny the request, XXXX could not provide specific details and demonstrated a lack of understanding regarding basic concepts such as home appraisals. 

During our conversation, XXXX made several contradictory statements, including claiming that PMI was still in effect when XXXX acquired our mortgage and that the letter from XXXX confirming PMI removal was an error. She also incorrectly stated that XXXX did not acquire our mortgage until XX/XX/XXXX and that no PMI charges were made until then. After I showed her the payment history, she acknowledged that XXXX took over our mortgage in XX/XX/XXXX but continued to insist that the XXXX letter was sent in error. 

I challenged her on this, pointing out that XXXX did not charge us PMI in XX/XX/XXXX, further supporting the authenticity of their letter. XXXX ultimately stated that I needed to contact XXXX for additional proof of the PMI cancellation, despite my having already provided the letter. Her insistence that it is not Roundpoints responsibility to understand the terms of the loans they acquire is deeply concerning and reflects a fundamental misunderstanding of mortgage servicing obligations. 

Due to the errors in communication, lack of transparency, and contradictory information provided by XXXX, I am filing this complaint with the CFPB. I am seeking a full refund of all PMI charges applied since XX/XX/XXXX and immediate cancellation of the PMI on our mortgage.

Company response to consumer: Closed with explanation